JAKARTA - Japan plans to bring competition in smartphone application payments by prohibiting application store operators from forcing developers to use their own payment systems.
A Japanese government panel announced plans to encourage competition in smartphone app payments currently dominated by Apple and Google. The plan is to ban large app store operators from forcing software developers to use the operator's payment system, the final panel report released on Friday, June 16.
The report also states that the main providers of smartphone operating systems (OS) must be required to provide users with alternative ways to securely obtain applications other than from their own app stores.
Alphabet's iOS operating system dominates the OS mobile market in Japan.
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Apple only allows users to download the iPhone app through its own app store, while Apple and Google both demand software developers to use a proprietary payment system that charges commissions of up to 30%.
The report states that necessary legislative action will soon be investigated, whileTUis Shimbunreported on Saturday 17 June that the government plans to submit a related bill to parliament as soon as next year.
Members of this government panel include Industry Minister Yasutoshi Nishimura and Economy Minister Shigeyuki Goto.
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