Apple Opens iPhone to Alternative App Stores in Japan Under New Competition Law

Apple has announced a major shift in its App Store policies in Japan, opening iPhones and other Apple devices to alternative app stores in order to comply with new competition laws aimed at reshaping the country’s smartphone market. The move makes Japan the latest major market to challenge Apple’s long-standing App Store business model, which has historically required developers to pay commissions of up to 30% on digital goods and services.

Under the new rules, Japanese developers will be allowed to create and operate their own app marketplaces on iPhones. Developers using these alternative app stores can pay Apple commissions as low as 5% on sales generated through those platforms, significantly reducing costs compared with traditional App Store fees. Apple says this change is designed to support competition while still maintaining safeguards for users.

In addition, developers distributing apps through Apple’s official App Store in Japan will be able to offer alternative in-app payment options. These options must be presented alongside Apple’s own in-app payment system, and developers will continue to pay commissions. Apps that link to external payment systems will be subject to a 15% commission, while standard App Store purchases in Japan will now be charged a 26% fee instead of the previous 30%.

Japan’s approach differs notably from Europe’s Digital Markets Act, which requires Apple to allow alternative app marketplaces with less direct control. In Japan, Apple retains the authority to approve third-party app stores and requires them to meet standards such as age ratings similar to those in the official App Store. Apple will also apply a basic security process known as notarization to all apps distributed through alternative marketplaces to help reduce security risks.

Beyond app distribution, Japan’s new law requires Apple to open certain iPhone hardware features to third-party device makers. Apple has established a system to handle interoperability requests, though it reserves the right to deny requests that could compromise user privacy or expose sensitive data.

Apple emphasized that it has worked to balance compliance with the new law while prioritizing user safety, privacy, and security, stating that the changes are designed to deliver the best possible experience for users in Japan.