Apple has announced that iPhones in Japan will now support alternative app stores, complying with the country’s Mobile Software Competition Act (MSCA).
The MSCA is a new Japanese law which passed in 2024 and that requires Apple, Google, and other mobile platform operators to open their ecosystems to greater competition.
To meet the new rules, Apple said changes to its iOS software now let Japanese developers distribute apps on alternative marketplaces and process app payments for digital goods and services outside of the company’s in-app purchase system.
Apple added that it will charge five per cent on sales made through alternative marketplaces, compared to the traditional 30 per cent commission.
In a statement released on Thursday, Apple emphasised that although alternative app marketplaces will need to be authorised by the tech giant and meet existing requirements to serve developers and users, they will not benefit from the same protections provided by the company through App Review.
For this reason, they could introduce new risks for apps that contain scams, fraud and abuse, or expose users to illegal, objectionable or harmful content not permitted on the App Store, Apple said.
“The MSCA’s requirements for alternative app marketplaces and app payments open new avenues for malware, fraud and scams, and privacy and security risks,” it added.
However, it went on to say that it has worked with Japanese regulators to introduce protections against new threats, including notary certification for iOS apps, an authorisation process for app stores, and requirements that help protect children from inappropriate content and scams.
For example, apps in the Kids category of the App Store will not include links to websites for completing transactions, to reduce the risk of fraud or scams targeting children.
Additionally, for users under the age of 18, all apps in the App Store that use alternative payment methods or link to a website for transactions must include a parental filter that requires younger users to involve their parents or guardians before making a purchase.
“While these safeguards do not eliminate the new risks, they are essential to Apple’s work to ensure iOS remains the best, most secure mobile platform available in Japan,” Apple said.
The EU’s Digital Markets Act (DMA) already forced Apple to allow alternative app distribution earlier in 2025, with the law requiring large technology companies to open up their platforms to competitors and ensure interoperability with third-party devices and services.
In September, Apple claimed that these requirements forced it to postpone the rollout of several features in the EU, including iPhone mirroring to Mac and live translation with AirPods.
The company said at the time it could not find a way to comply with the bloc’s demands without compromising user data, and that its proposed safeguards have been rejected by the European Commission.
“It’s become clear that we can’t solve every problem the DMA creates,” added the company in September. “Over time, it’s become clear that the DMA isn’t helping markets. It’s making it harder to do business in Europe”.
The European Commission responded by reaffirming that compliance with the DMA is an obligation, not a choice.
A spokesperson said: “Gatekeepers, like Apple, must allow interoperability of third-party devices with their operating systems”.
The EU fined Apple €500 million in April for breaching rules related to steering users to external payment options, a decision the company is appealing.
