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LEAD: Rakuten seeks antimonopoly probe of Yahoo Japan-Google tie-up.

TOKYO, Oct. 20 Kyodo

(EDS: UPDATING WITH ANNOUNCEMENT)

Online shopping mall operator Rakuten Inc. said Wednesday it has filed a complaint with the antimonopoly watchdog that Yahoo Japan Corp.'s plan to tie up with Google Inc. will hinder fair competition in Japan's Internet market.

After the tie-up was announced in July, drawing immediate criticism from Microsoft Corp., the Japan Fair Trade Commission clarified that it should pose no immediate problems, given that the two firms plan to provide their respective Internet search services separately.

In the complaint filed Oct. 5, the leading Japanese Internet shopping mall operator said the tie-up will result in the U.S. search engine monopolizing information through its Internet technologies, and thus threatens to impair fair competition and sound growth of Japan's online market.

Yahoo Japan said on July 27 that it will adopt Google's Internet search engine and online advertisement technology, unlike its major shareholder Yahoo Inc. of the United States that teams up with Microsoft's Bing service for search-linked ads to counter Google's dominant position in the market.

Yahoo Japan has almost a 60-percent share of the Internet search services market in Japan, while Google has close to 40 percent.
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Comment:LEAD: Rakuten seeks antimonopoly probe of Yahoo Japan-Google tie-up.
Publication:Japan Computer Industry Scan
Geographic Code:9JAPA
Date:Oct 25, 2010
Words:197
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