Japan issues cease and desist against Google in unprecedented move
There are more tech troubles in a post-tariff world, and while Google is no stranger to legal wranglings, Japan has apparently made an unprecedented move by issuing a cease and desist against the search engine giant. Google has already been dragged through the courts numerous times before, with a 2020 case seeing 38 state attorneys general successfully sue the tech giant for monopolizing the search engine market and violating the Sherman Antitrust Act.
If that wasn't enough, there has been a recent update on the Justice Department case that claims Google has monopolized the digital advertising industry. Virginia District Judge Leonie Brinkema just ruled in the DOJ's favor in a landmark ruling that could reshape the Google empire.
While we imagine some uncomfortable conversations are going on right now with CEO Sundar Pichai, that's just the start of Google's woes.
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As reported by The Japan Times, Japan's Fair Trade Commission has slapped Google with a cease-and-desist order, claiming it's violated the country's anti-monopoly law. The case says that Google is forcing Japanese customers to preinstall its own apps on their Android smartphones. Echoing similar cases in the United Kingdom and the European Union, Japan's FTC argued that Google is unfairly forcing us to preinstall its software, saying that it effectively shuts out any competition.
It's currently unclear whether Google will take legal action to fight the cease and desist, although an appeals process would likely take years.
After arguing that it has spent 'significantly' to promote innovation in Japan, Google also said that it isn't forcing Android users to download its software, and it's simply a case of it being more popular than what others have to offer. Japan's FTC alleges that since July 2020, Google has forced Android users to install the Google Play and Google Chrome apps on their devices and place them clearly on the home screen. By supposedly freezing out the competition from other search engines, the FTC maintains that Google has violated the anti-monopoly law.
It's said that Google paid part of its advertising revenue to manufacturers, ensuring that they fulfilled conditions that made Google's Chrome the default browser.
Google apparently had agreements with at least six manufacturers in December 2024, with these responsible for around 80% of Android production in Japan.
A Google Japan statement said the action was filled with 'deep regret', while Saiko Nakajima, a senior investigator for digital platform operators at the commission discussed the landmark case and said: "By binding smartphone manufacturers and telecommunication carriers, Google has made it difficult for other competing search engine applications to be used on Android phones."
She added: "Google's conduct in this case has created a risk of impeding fair competition concerning transactions — thus, we have determined that this is an act in violation of the Antimonopoly Act."
There are worries that the case could open a Pandora's Box of litigation, with it marking the first time Japan has issued a cease and desist against and of the major US tech companies that are collectively known as GAFAM (Google, Apple, Facebook, Amazon, and Microsoft).
Google will now have to comply with the cease and desist order, which states it can no longer ask manufacturers to preinstall apps, compile action guidelines for compliance with the law, and stop committing acts that violate the anti-monopoly law. If not, it could face some serious fines.