Apple (AAPL) is now allowing third-party app stores on its iPhones in Japan to comply with new laws that aim to boost competition in the Asian country’s smartphone market. Regulators in several countries have been putting pressure on the tech giant to open its iPhones to alternative marketplaces amid antitrust concerns.
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Apple Opens iPhone to Alternative App Stores
In its blog, Apple stated that it is introducing changes in its iOS apps in Japan to comply with the country’s Mobile Software Competition Act (MSCA). These updates create new options for developers in Japan to distribute apps on alternative app marketplaces and offer their own in-app payments.
Under the new rules, Japanese developers can launch their own app marketplaces on iPhones and pay Apple 5% of sales made through their marketplaces and apps. Also, developers using the App Store will pay a 15% commission on transactions for which they provide links to pay outside their apps.
The new rules allow Apple to approve alternative app marketplaces. Also, the new rules require age ratings for apps sold on alternative marketplaces, just as they are required on Apple’s App Store. The company will also conduct a basic security check, called notarization, on all apps distributed via alternative marketplaces.
Apple said that it has added new safeguards to ensure security and privacy as iOS opens up to more competition. The updates are included in iOS 26.2, which was released on December 12.
Is AAPL Stock a Buy, Hold, or Sell?
Currently, Wall Street has a Moderate Buy consensus rating on Apple stock based on 20 Buys, 10 Holds, and two Sell recommendations. The average AAPL stock price target of $299.49 indicates 9.1% upside potential.
