Japan's antitrust authority issued a cease-and-desist order against Alphabet Inc.'s Google on Tuesday, accusing the tech giant of anticompetitive practices tied to its Android smartphone software. The Japan Fair Trade Commission (JFTC) directed Google to immediately halt agreements that mandate the pre-installation of its search app and Chrome browser on Android devices sold in Japan.
Google expressed disappointment with the regulator's decision. "Google Japan said in a statement that it found the action 'regrettable,'" and emphasized its commitment to collaborating with Japanese authorities "to ensure Android remains a competitive choice."
The JFTC claims that Google used its influential position as controller of the Google Play app store to pressure phone makers into giving preferential placement to Google's apps, including setting Chrome as the default browser and prominently displaying both Chrome and Google Search icons on device home screens.
The regulator also stated that Google offered financial incentives to smartphone manufacturers, sharing portions of its ad revenue in return for exclusive arrangements. At least six Android manufacturers had entered such revenue-sharing agreements as recently as December.
Google has faced similar antitrust scrutiny globally, including in the United States and Europe. In the U.S., Federal Judge Amit Mehta previously labeled Google as "a monopolist" in the search market, recommending the company divest its Chrome browser. Google continues to contest those allegations.
The Japanese investigation, launched in October 2023, represents the JFTC's first significant regulatory action against a major global technology company. It coincides with broader U.S.-Japan economic discussions, including trade negotiations set to take place this week involving Japan's Economy Minister Ryosei Akazawa.
