British vs. Google. Big tech may be forced to limit its dominant position

Google may be forced to make changes in the UK to give users more choice in how they use its search engines. This is the result of a decision announced by the Competition and Markets Authority (CMA) announced on Friday.

The CMA on Friday granted Google “strategic market status” (SMS) due to its dominant position in search and advertising. The decision does not mean that the regulator has found any wrongdoing on the part of the company at this stage, but it opens the door to what it calls “proportionate and targeted interventions”. The CMA is due to consult on possible interventions later this year.

Google is the first company to be granted such status by the CMA under the digital technologies regulations introduced in January this year. They require companies with undue influence in certain digital markets to be marked as such and to be subject to specific rules. This means that Google must follow a number of rules so as not to abuse its position.

– We found that Google maintains a strategic position in the search and search advertising sector – over 90 percent. UK searches are on its platform, said Will Hayter, executive director of digital markets at the CMA.

“By promoting competition in digital markets such as search and search advertising, we can create opportunities for businesses large and small to support innovation and growth, driving investment across the UK economy,” he added.

The CMA has previously set out a 'roadmap' of potential measures it could take if Google was found to have SMS. He said he could potentially force the tech giant to introduce “choice screens” that would allow users to see alternative search engine providers and also give publishers more control over how their content is used. They also include “fair rules” for how websites are ranked in search results and an “effective complaints process” for companies dissatisfied with their position in search results.

The CMA noted that Google's Gemini AI assistant was not included in the SMS recognition. This decision will be kept under review and may be changed in the future. But other AI-powered search features like AI Overviews and AI Mode have been included in the new status. (PAP)

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