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Apple Japan Settlement: Developers Can Now Link Externally

September 2, 2021
Apple Japan Settlement: Developers Can Now Link Externally

Apple Modifies App Store Policy in Japan Following Regulatory Settlement

A settlement has been reached between Apple and the Japanese regulatory body, the Japan Fair Trade Commission (JFTC). This agreement will permit developers of reader apps to directly link to their own websites.

This change enables users to manage their accounts outside of the Apple ecosystem, and is scheduled to take effect in early 2022.

Increased Scrutiny of Apple’s Payment Systems

Apple is currently under investigation in several international markets, including the United States and South Korea. The core of the issue revolves around the company’s requirement that developers utilize its proprietary payment systems.

Critics allege that these practices are anti-competitive, potentially stifling innovation and limiting consumer choice.

Defining “Reader Apps” and the Scope of the Settlement

The JFTC’s settlement mandates alterations to Apple’s policies concerning reader apps. These apps are defined as those providing access to digitally purchased or subscribed content.

This encompasses a broad range of applications, extending beyond simple e-readers to include services like Netflix, Spotify, Audible, and Dropbox.

Specifically, the policy change applies to digital magazines, newspapers, books, audio content, music, and video streaming services.

Implementation and Global Application

Prior to the policy’s implementation next year, Apple will continue refining its guidelines and review procedures for reader app developers.

Importantly, Apple has committed to applying this change on a global scale, extending the benefits to all reader apps available on its App Store worldwide.

Apple’s Response and Statement

Phill Schiller, overseeing the App Stores at Apple, expressed the company’s respect for the JFTC and acknowledged the collaborative effort.

He stated that the changes will facilitate easier account setup and management for users, all while safeguarding their privacy and maintaining trust.

Broader Trend of Policy Adjustments

Apple appears to be responding to growing concerns from lawmakers, developers, and the general public. Recently, the company announced several updates designed to offer developers increased flexibility.

Furthermore, a News Partner Program was launched to provide support for local journalism initiatives.

Apple’s Stated Rationale for Existing Policies

For years, Apple has defended its App Store practices, asserting that they are implemented to protect consumers and ensure a consistent user experience.

The company maintains that its policies prioritize user safety and a streamlined interface.

Evolving Landscape and Regulatory Pressure

However, as technology, payment methods, and consumer behaviors have evolved, criticism of Apple’s policies has intensified.

Beyond Asia and the US, lawmakers in other regions are also beginning to take action regarding these issues.

Australia’s Competition and Consumer Commission is currently evaluating regulations surrounding digital payment systems, which would impact not only Apple but also other major players like Google and WeChat.

South Korea Leads the Way in Regulation

South Korea recently became the first nation to legally restrict Apple and Google from mandating their own payment systems for in-app purchases.

Developer Base

Apple currently boasts a developer community exceeding 30 million registered individuals creating applications for the iOS platform.

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