Apple is opening its App Store to competition in Japan

Apple announced that it will allow alternative app stores in Japan and allow developers to process payments for digital goods and services outside of its in-app purchasing system in iOS. The iPhone maker isn’t making these changes because it wants to be more open; It was forced – in this case, to comply with the country’s Mobile Software Competition Act (MSCA), which has now gone into effect.

With this update, Apple’s App Store revenue in another major market is affected due to anti-competition laws and regulations. The company already has to comply with the European Digital Markets Act (DMA), which previously required the tech giant to allow alternative app stores and other changes.

In the US, Apple has been strong-armed into changing the payments system through the courts, following a lawsuit from Fortnite maker Epic Games. Although it was not declared a monopoly, the court decided that Apple needed to give developers the right to process payments outside its system if they chose. (Details on this matter are still being worked out after an appeal partially overturned an earlier ruling.)

As usual, in announcing the changes in Japan, Apple warned that alternative app and payments markets open “new avenues for malware, fraud, fraud, and privacy and security risks.” To mitigate these risks, the company said it has worked with Japanese regulators to require an authorization process for app marketplaces (“authentication”), which it says is designed to specifically protect children from inappropriate content and scams.

The fact that Apple has come up with a process to mitigate risks related to alternative app stores suggests that there has always been a technical solution at hand to balance the needs of openness and security.

As in the EU, Apple has come up with a complex fee structure to ensure it doesn’t lose too much in the form of App Store revenue, while apparently sticking to the letter of the law.

Naturally, Epic Games CEO Tim Sweeney has not been silent on the matter, saying that Fortnite will not return to iOS in Japan because Apple charges a 21% fee on third-party in-app purchases.

In a post on the

He also pointed out the difference between Apple and other game store providers, like Microsoft, by asking: “Can you imagine the uproar that would arise among gamers and regulators if Microsoft required all games from Steam and the Epic Games Store to connect to its commerce monitoring API and report all transactions to Microsoft?”

He added: “This is what Apple just announced in Japan.”

Apple noted that developers will need to approve the latest update to the Apple Developer Software License Agreement, which includes the new options for Japan, by March 17, 2026.