Apple has announced it is opening iPhones to alternative app stores in Japan to comply with new laws aimed at boosting competition in the smartphone market. Japanese developers can launch their own app marketplaces and pay Apple as little as 5% of sales. Apps in the App Store will also offer alternative in-app payments alongside Apple's system, with commissions still applying.
On December 17, 2025, Apple announced changes to iOS in Japan to comply with the Mobile Software Competition Act (MSCA), which seeks to enhance competition in app distribution and payments, challenging Apple's App Store dominance.
Japanese developers can now operate alternative app stores on iPhones with Apple's authorization, paying just 5% of sales to the company. Apps from these stores undergo Apple's Notarization process—a baseline review combining automated checks and human oversight to verify functionality and screen for malware or security threats—though it is less rigorous than the App Store's full review. Apple acknowledges potential risks like malware, fraud, scams, and privacy issues, and has introduced safeguards, including protections for children against inappropriate content.
For apps on the App Store, developers may include alternative payment methods or links to external websites, presented alongside Apple In-App Purchase. Apple will charge a 15% commission on external link payments and 26% on standard App Store purchases. Protections such as refunds and subscription management remain tied to In-App Purchase, with alternative options potentially exposing users to greater privacy and fraud risks.
The law also mandates interoperability with third-party devices, but Apple can reject requests that threaten user data privacy. Unlike Europe's framework, Japan's allows Apple to approve marketplaces and enforce age ratings. In a blog post, Apple stated, “Across these changes, Apple has worked to reduce new privacy and security risks the law creates to provide users in Japan the best and safest experience possible.”
This follows ongoing U.S. litigation and European mandates, expanding developer options while introducing new vulnerabilities.
