Japan Watchdog Accuses Google of Antitrust Violation, Plans Cease-and-Desist Order

RSS/AFP
Published 2024 Dec 24 Tuesday

Tokyo: The Japan Fair Trade Commission (JFTC) is set to issue a cease-and-desist order against Google over alleged antitrust violations, marking the first such action against a major U.S. tech company in Japan.

The JFTC accuses Google of enforcing "transactions with binding conditions" on Android smartphone manufacturers in Japan. Specifically, the watchdog claims Google mandated the pre-installation of its Google Play app store alongside its Chrome web-browser search app as a package deal.

According to the JFTC, Google Play is so integral to Android devices that without it, the devices become "basically unsellable." Additionally, the JFTC alleges that Google offered financial incentives to smartphone makers to exclude rival search apps, a practice it deems "unfair trading" under Japan's antitrust laws.

A cease-and-desist order will be issued following a hearing, as the JFTC considers this a "fairly strong" measure against Google. The case is the first targeting a GAFAM company—Google, Amazon, Facebook, Apple, and Microsoft—in Japan.

The move comes as other regulatory bodies worldwide, including the United States and the European Union, crack down on Google for antitrust issues. In November, the U.S. government urged a judge to dismantle Google’s Chrome browser operations, while the European Commission recommended similar actions and warned of hefty fines if Google fails to comply.

Japan has also been scrutinizing other tech giants. Last month, the JFTC inspected Amazon Japan’s offices over allegations of abusing its dominance by pressuring sellers to lower prices using its prominent "buy box" feature.

Google Japan has not yet commented on the accusations. As Japan intensifies its antitrust efforts, it signals a broader global push to rein in the market dominance of tech giants.



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