Emergency Joint Statement: Full Implementation of Smartphone Software Competition Promotion Law Announced

Emergency Joint Statement: Full Implementation of Smartphone Software Competition Promotion Law

On February 5, 2026, seven organizations came together to announce an emergency joint statement regarding the full implementation of the "Smartphone Software Competition Promotion Law" on December 18, 2025, in Japan. This law aims to address various issues stemming from the monopolization of the mobile ecosystem, promoting a more innovative society by encouraging diverse players to participate in the market.

We welcome the full enforcement of this law and ardently hope for continued steady development of policy measures comparable to those in the United States and the EU. It is crucial that the business environment related to specific software does not lag behind other countries, and we strongly urge relevant authorities to collaborate carefully to enhance the law's effectiveness and improve competitiveness in Japan's smartphone software market.

Expansive Expectations for a Free and Fair Market

The Smartphone Software Competition Promotion Law introduces a wide range of regulations, including bans on obstructing the provision of alternative app stores and alternative payment methods. We commend the Japanese government for the timely and comprehensive measures taken by the Fair Trade Commission to establish a free and fair smartphone software market. However, economic realities will largely determine whether the ideals of the new law can be fully realized. As industry stakeholders, we will continue to observe developments with a keen interest.

Importantly, the full implementation of this law has led to a significant change in the app distribution sector. Previously, platform providers enforced prohibitions on displaying sales information (such as product details, prices, and promotional campaigns) in-app, but now, both Apple and Google will allow such content to be displayed for free. This marks a crucial step forward for diverse business models that are not constrained by unilateral rules. By enabling app developers to relay information about their services directly to consumers, we believe this will foster various growth models and improve consumer choice.

Achieving International Equal Footing in the Market

Despite these advancements, it remains imperative to address disadvantages faced by Japanese consumers and businesses when compared to global digital trends. In the U.S. market, both Apple and Google provide links to alternative payment options without imposing fees, directly benefiting app developers and consumers. In contrast, new regulations in Japan impose fees and conditions on links to alternative payment options, diminishing the incentives necessary for these alternatives to become viable. This could perpetuate a structure that disproportionately burdens consumers and businesses for the sake of self-interest.

Therefore, we passionately advocate for securing equal footing with current U.S. market conditions and the realization of a free and fair market where diverse payment options can be effectively implemented. The historical analysis by "The Essence of Failure" reminds us that Japan tends to prioritize adaptation over innovation, which often leads to recurring failures. During this transformative era, we must ensure that the law is executed appropriately to foster a growth model from which all can benefit.

Going forward, we will continue to issue statements as an industry body and expect all sectors—government, private, and public—to work together towards realizing these goals. As this process unfolds, our aim remains not just to adapt but to innovate, ensuring that everyone can reap the advantages of competition.

Participating Organizations

Here is a list of the seven organizations that support this statement:
1. Mobile Content Forum (MCF) - 69 members
2. Japan Online Game Association (JOGA) - 65 members
3. Japan eSports Association (JESU) - 85 members
4. Computer Entertainment Association (CESA) - 255 members
5. Japan IT Federation - 35 organizations
6. Startup Ecosystem Association (SEAJ) - Non-public membership count
7. Startup Association - More than 100 members