Dominance of IT companies
IT companies of the United States and elsewhere quickly become enormous by taking advantage of their massive amounts of digital data. It is a matter of course that a sense of wariness also grows.
To prevent the ill effects of their market dominance from spreading, the government needs to quickly implement effective regulations.
A governmental panel of experts tasked with considering regulations on IT giants — known as digital platform operators — heard opinions from Google and Apple, both of the United States. Facebook only submitted an opinion paper, and Amazon did not attend the interview.
Google and others expressed their concerns that technological innovation could be impeded if excessive restrictions are placed on them. When the panel pointed out that the IT market is in a state of oligopoly, they reportedly refuted that by saying they are exposed to competition.
The panel will compile a final report shortly. The panel is expected to call on the government to make it obligatory for these digital platform operators to disclose such important information as the terms of the contracts with their trading partners.
The European Union is moving forward with the drafting of regulations to be imposed on IT giants. Japan's government should work out the details of its regulations by using as a reference the regulations being drawn up by the EU.
Digital platform operators have produced innovative technologies, but as they bolstered their market dominance, there have been increasing cases of their buying out newly growing enterprises.
As things stand now, this could result in market competition being restricted, making it likely that the young buds of new technologies and services will be nipped.