MONOPOLY

Japan's Fair Trade Commission (JFTC) has issued a cease-and-desist order against Google for violating the nation's anti-monopoly law by requiring smartphone manufacturers to preinstall its applications on Android devices. This practice has been in place since at least July 2020 and has hindered competition by making it difficult for rival search engines and browsers to gain a foothold on Android devices sold in Japan. The JFTC found that Google's contracts incentivized manufacturers to set Google Chrome as the default browser and not preinstall competing applications, affecting around 80 percent of Android smartphones in Japan. The JFTC classified these actions as violations of the Antimonopoly Act and mandated Google to stop these practices, develop compliance guidelines, and appoint an independent third party to oversee adherence to the order. Non-compliance could result in significant financial penalties. Google expressed disappointment but indicated a willingness to collaborate with the JFTC.