Last December Apple announced changes impacting iOS apps in Japan to comply with the Mobile Software Competition Act (MSCA). However they’re apparently not enough for a coalition representing more than 600 local companies is calling for further regulatory action.
In announcing the changes, Apple said they create new options for developers to distribute apps on alternative app marketplaces and to process app payments for digital goods and services outside of Apple In-App Purchase. Across these changes, Apple said it’s worked to reduce new privacy and security risks the law creates to provide users in Japan the best and safest experience possible.
The MSCA’s requirements for alternative app marketplaces and app payments open new avenues for malware, fraud and scams, and privacy and security risks. Apple has worked with Japanese regulators to introduce protections from new threats — including important safeguards for younger users.
These protections include Notarization for iOS apps, an authorization process for app marketplaces, and requirements that help protect children from inappropriate content and scams.
However, seven IT-related industry groups, including the Computer Entertainment Supplier’s Association, released a joint statement on Thursday calling on Apple and Google to swiftly eliminate new commissions imposed on app companies, reports The Japan News. The groups said the burden of the commissions is so heavy that directing users to external sites for payment “has not become a viable option.”
Before the law took effect, in-app sales required paying a commission of up to 30%, often referred to as the “Apple tax.” In December, Apple and Google announced that in response to the new law they would allow out-of-app billing but would charge up to 15% to 20% commissions on revenue generated on external sites of app companies.
The seven groups criticized the new commissions, saying there is “no economic incentive” to use the newly permitted payment methods. They urged the creation of a market in which “a diverse range of payment methods can genuinely become options.”
According to The Japan Times, they also argued that in the U.S., similar payment methods are offered free of charge. The groups accused Apple and Google of placing Japan’s consumers and businesses at a disadvantage compared to ones in the United States.
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Article provided with permission from AppleWorld.Today
