British antimonopoly regulator Google search engine will undergo an evaluation of its impact on consumers and businesses, including advertisers, news publishers, and competing search engines, following a decision by the Office for Competition and Markets (CMA).
The head of CMA, Sarah Kardell, emphasized the crucial role that search plays in economic development, highlighting the significance of ensuring effective competition in this sector. With millions of users and over 200 thousand companies in the UK relying on Google’s search and advertising services, which account for approximately 90% of search queries, the review is deemed necessary.
Google responded by stating that their services aid in the growth of British companies through innovative client interaction methods. The company expressed willingness to collaborate with CMA in developing new regulations beneficial for all types of websites.
Notably, CMA’s move parallels actions by American authorities, as the US Department of Justice urged Google in November to divest the Chrome browser, share data and search results with competitors, and take other measures to address monopolistic practices in online search.
Under its enhanced authority, CMA is tasked with designating Google with a Strategic Market Status (SMS) in digital technology. The audit will delve into market entry barriers, innovation, and potential exploitation of Google’s dominant position to promote its own services.
The scrutiny will particularly focus on the collection and utilization of user data. Potential outcomes of the investigation may include providing data to competitors or strengthening publishers’ control over the usage of their information, including within Google’s AI services.
The probe is expected to span nine months and could yield substantial market changes, fostering fair competition and innovation in the sector.