Japan Designates 5 IT Giants as Control Subjects
Tokyo, April 1 (Jiji Press)--The Japanese industry ministry on Thursday designated 5 giant information technology groups operating cybermalls or selling apps as subjects to the law that seeks to rectify nontransparent business practices so that small firms do not receive unfair treatment.
This is the first designation made based on the Act on Improvement of Transparency and Fairness in Trading on Specified Digital Platforms, which entered into force on Feb. 1 this year.
The designated companies are Amazon Japan G.K., Rakuten Group Inc. <4755> and Yahoo Japan Corp., which are engaged in online shopping businesses, as well as U.S. IT mammoth Google LLC, which runs an app store, and iTunes K.K., which operates websites in Japan jointly with Apple Inc. of the United States.
The law obliges designated IT giants to disclose the terms of contracts with business partners and make prior notices when such terms are revised.
The designated firms are urged to establish systems to deal with complaints and resolve disputes related to their business practices. They are also asked to report annually to the industry minister how they are working on ensuring transparency of their deals and will be given recommendations for correction if wrongful cases are found.
[Copyright The Jiji Press, Ltd.]