Japan’s Fair Trade Commission (JFTC) is poised to take a significant step in the realm of antitrust enforcement by finding Google in violation of the nation’s competition laws. This marks a notable first, as it represents the JFTC’s inaugural order against a major US technology firm.
Details of the Investigation
According to reports from Reuters, the JFTC plans to issue a cease-and-desist order that will compel Google to discontinue practices identified as monopolistic within the internet search sector. The investigation has uncovered that Google entered into agreements with manufacturers of Android smartphones, making the installation of its search and Chrome browser applications a prerequisite for accessing app stores on these devices.
This anticipated ruling is part of a broader trend, as Google faces similar scrutiny in other significant markets. Recently, the US Department of Justice argued in court for drastic measures against Google, including a potential divestiture of its Chrome browser business and a five-year ban from re-entering the browser market, all aimed at dismantling its search monopoly.
Next Steps for Google
The JFTC has already informed Google of its intended actions and will finalize its decision after considering the company’s response. The Chrome browser, recognized as the most widely utilized web browser globally, is integral to Google’s business strategy, providing essential user data that enhances its advertising targeting capabilities.
As of now, Google has not publicly commented on the impending order from the JFTC. This development aligns Japan with Western regulatory bodies, signaling a concerted effort to address the tech giant’s substantial influence in the market.
