Japanese Regulators Open Probe Into Google Search Monopoly
The probe follows similar investigations in the European Union and the United States.
- The Japan Fair Trade Commission (JFTC) has announced its decision to probe Google on suspicion of violating antitrust laws concerning its search services.
- Google currently accounts for over 70% of the search market in Japan, with policy changes potentially significantly impacting competitors.
Japanese competition regulators have decided to investigate Google over suspicions of violating the country’s antitrust laws. The company has allegedly asked smartphone manufacturers to unfairly give Google preferential treatment in terms of search services during device setup.
The probe follows similar investigations by the U.S. and the E.U., with stricter rules associated with services that Google dominates. The new investigation will also check whether competition is being hurt in the Japanese market.
Google has refuted the allegations, stating that the flexibility and open access of Android operating systems allow users to switch to alternatives easily and that it would completely cooperate with the government officials in the investigation.
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The regulator is also checking on allegations of whether Google had agreements with Android smartphone producers to prevent the installation of rival search engines in exchange for a portion of its ad revenue.
The Japanese watchdog has dealt similarly to other Big Tech companies, including Apple and Amazon. In 2020, Amazon Japan agreed to change business practices, such as charging suppliers for a portion of the discounts in violation of competition laws. In 2021, Apple agreed to change the terms of payment for its reader app in exchange for the investigation being closed.
The Japanese investigation is part of a global movement by governments to rein in Big Tech companies and create new laws to keep up with the ramifications of rapidly changing technologies.
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