Apple’s Japan App Store Overhaul: Forced by Law, Priced by Fees
Japan now mandates alternative app stores and outside payments, but Apple’s complex fees and “Notarization” rules keep control firmly in its hands.
Apple is opening its doors in Japan—not by choice, but by mandate. Under the country’s Mobile Software Competition Act (MSCA), iPhone users can now access alternative app marketplaces, and developers can process payments for digital goods outside Apple’s own in-app purchase system. It’s a seismic shift for a market long defined by the security and simplicity of the App Store.
However, this isn’t a sudden pivot toward openness. It’s a regulatory necessity. Much like the European Union’s Digital Markets Act (DMA), which compelled Apple to allow sideloading and third-party payments in Europe, Japan’s MSCA is forcing the tech giant to loosen its grip. In the United States, similar pressure came not from legislation but from the courts, following the high-profile antitrust lawsuit filed by Epic Games. While Apple wasn’t branded a monopoly, a judge ruled it must allow developers to direct users to external payment options—a decision currently tangled in appeals.
Apple’s official stance on these changes is predictably cautious. In its announcement, the company warned that bypassing the App Store opens “new avenues for malware, fraud, scams, and privacy and security risks.” To counter this, Apple introduced an authorization process for alternative marketplaces called “Notarization.” This safety net, developed in coordination with Japanese regulators, focuses heavily on protecting children from inappropriate content and scams.
Crucially, the existence of Notarization reveals a technical truth Apple rarely emphasizes: it has always had the tools to balance openness with robust security. The decision to gatekeep those tools behind the App Store monopoly was a business choice, not a technical limitation.
Apple’s compliance, however, comes with strings attached. As it did in the EU, the company is implementing a complex fee structure designed to protect its bottom line. While developers can now use external payment systems, the cost of doing so remains high. Epic Games CEO Tim Sweeney immediately called out Apple’s strategy as “obstruction and lawbreaking,” citing a proposed 21% fee on third-party in-app purchases in Japan. Consequently, Sweeney announced that Fortnite will not return to iOS in Japan in 2025, despite previous hopes.
Sweeney highlighted a stark double standard: “Can you imagine the gamer and regulator uproar that would ensue if Microsoft required all games from Steam and Epic Games Store to call its commerce surveillance API and report all transactions back to Microsoft?” He argues that Apple’s requirement to report external transactions effectively turns third-party stores into surveillance tools for its own commerce system.
For developers looking to utilize these new options in Japan, time is ticking. Apple has stipulated that developers must agree to the updated Apple Developer Program License Agreement by March 17, 2026, to access the new regional features.
The rollout in Japan marks another dent in the Fort Knox armor of Apple’s App Store revenue, driven by global antitrust momentum. While the doors to iOS are technically opening, the “Apple Tax” appears to be evolving rather than disappearing. For consumers and developers, this offers more choice, but the friction Apple builds into the process ensures the ecosystem remains firmly under its watch.
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