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Japan Issues ‘Cease And Desist’ Order Against Google Over Anti-competitive Practices

 

Japan’s Fair Trade Commission (FTC) has issued a cease-and-desist order against Alphabet Inc., Google’s parent company, over alleged anti-competitive practices.

The FTC claims Google pressured smartphone manufacturers to prioritize Google Search as the default option on devices, thereby limiting competition in the search engine market. This regulatory action underscores growing scrutiny of the company’s business practices globally.

Google’s Response

In response to the FTC’s ruling, Google expressed disappointment, stating that the commission had not given adequate consideration to its proposed solutions.

“We have continued to work closely with the Japanese government to demonstrate how we are supporting the Android ecosystem and expanding user choice in Japan,” Google said in a statement.

Google also confirmed its intent to present its case during the hearing process but did not disclose details of the allegations or the remedies it had proposed.

Global Regulatory Challenges

The order from Japan’s FTC is one of several regulatory hurdles Alphabet Inc. has faced globally.

  • Turkey: Recently, Turkish regulators fined Google $75 million (2.61 billion lira) for abusing its dominant position in the digital advertising market. Authorities accused Google of giving preferential treatment to its supply-side platform (SSP), creating barriers for competitors, and distorting fair competition in the ad server market.

The FTC’s decision and similar global actions indicate increasing challenges for Alphabet to balance compliance with innovation while addressing concerns about its market dominance.

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