The UK’s Competition and Markets Authority (CMA) has launched a landmark investigation into Google’s dominance in online search, where it holds a staggering 90% market share. The inquiry will determine if Google’s position stifles competition, limits consumer choice, or unfairly advantages its own services.
This investigation is the first under the CMA’s new powers to address firms deemed to have “strategic market status” in digital markets. The CMA aims to ensure fair competition and innovation while promoting a level playing field for businesses.
Google has pledged to cooperate but cautioned against “overly prescriptive digital competition rules.” The tech giant stated it would work constructively to ensure any new regulations benefit users and businesses alike.
The investigation could lead to significant changes, including requiring Google to share user data with rivals or granting publishers more oversight of data used for AI development. The CMA is also probing whether Google collects user data without proper consent or prevents competitors from entering the market.
This inquiry adds to Google’s growing list of global regulatory challenges. In the US, the company faces pressure to divest its Chrome browser over accusations of maintaining an illegal monopoly in search and advertising.
The UK’s Digital Markets, Competition and Consumer (DMCC) Act, which underpins this investigation, reflects a global push to regulate major tech firms. Experts believe the act’s tailored approach to interventions could set a precedent for similar measures worldwide.
Prime Minister Sir Keir Starmer has also highlighted the transformative potential of artificial intelligence, reinforcing the importance of fair digital markets. The CMA has nine months to complete its investigation, which could reshape the UK’s digital economy and redefine Google’s role in it.
