Google faces antitrust probe in Japan over smartphone OEM deals

Google Faces Antitrust Action in Japan Over Android Smartphone Deals

Tokyo, April 16, 2025 – Japan’s Fair Trade Commission (JFTC) has taken strong action against Google. The regulator claims Google blocked fair competition in the smartphone market by limiting rival apps and services on Android devices.

This is the first time Japan has issued a cease-and-desist order against the tech giant.


Google Accused of Limiting Competition

The JFTC says Google forced smartphone makers to pre-install Google Search and Chrome. These apps were mandatory if the manufacturers wanted access to the Google Play Store and revenue-sharing deals.

This arrangement, according to the JFTC, left little room for other search engines and browsers to grow. Companies like Yahoo Japan and Microsoft Bing found it hard to compete. As a result, Japanese consumers had fewer choices.

The practices began around July 2020 and affected about 80% of Android devices sold in Japan.


JFTC Orders Google to End Restrictive Practices

The commission ordered Google to revise its agreements with phone manufacturers. It must now remove any conditions that prevent the installation of competing apps.

In addition, Google will need to appoint an independent third party. This monitor will check the company’s compliance for the next five years.

This marks a bold step by Japan in challenging Big Tech’s influence.


Google Defends Its Policies

Google responded with disappointment. A company spokesperson said their agreements helped users access quality apps and services. “We will review the decision carefully and consider our options,” the statement read.

Experts believe this order could force Google to rethink its global contracts with smartphone makers.


Not an Isolated Case

Japan’s move is part of a global trend. Regulators in the EU, U.S., South Korea, and India have taken similar action against Google.

In 2018, the EU fined Google billions for similar behavior in the Android ecosystem.

Governments worldwide now seem more willing to challenge tech monopolies. With smartphones being essential to daily life, officials want to ensure users have real choices.


Impact on Users and Rivals

The JFTC’s ruling may lead to changes in how phones are sold in Japan. Consumers might see more browser and search engine options on new devices. Some phones may even ask users to pick their preferred search app during setup.

Yahoo Japan and other local services could benefit from the decision. They may now have a better chance to compete for users.

Smaller developers could also gain visibility and fair access to users through Android devices.


What’s Next?

The full effects of this decision will appear in the coming months. For now, Japan has sent a clear message: fairness in the digital market matters.

Other countries may take inspiration from Japan’s action. As tech companies face growing global pressure, they may need to change how they operate.

It remains to be seen whether Google will comply quietly or challenge the decision. Either way, this could be a key moment in the global effort to regulate digital giants.