UK Competition Watchdog Proposes Significant Changes to Google's Search Services
The Competition and Markets Authority (CMA) has tabled a series of measures aimed at fundamentally improving how Google operates its search services within the United Kingdom. This intervention comes after the regulator designated the tech giant with strategic market status in October, recognising its substantial and entrenched market power in the digital search sector.
Fairer Deals for Publishers and Content Creators
Under the proposed conduct requirements, Google must ensure that publishers, including news organisations and other content creators, receive a fairer deal regarding how their material is utilised within the company's artificial intelligence features. Specifically, the measures target Google's AI Overviews and AI Mode, demanding greater choice and transparency for publishers over content usage.
The CMA's proposals would legally require Google to allow publishers to opt out of having their content used to power AI features like AI Overviews or to train AI models outside of Google Search. Furthermore, the tech giant would need to take concrete steps to ensure proper attribution of publisher content within AI-generated search results, addressing long-standing concerns about content exploitation without adequate recognition or reward.
Enhanced User Choice and Market Competition
In a significant move to boost competition, the CMA is proposing to make it a legal requirement for Google to provide default choice screens on Android mobile devices and the Chrome browser. This measure aims to make switching search services considerably easier for UK consumers, potentially breaking Google's dominant market position.
The regulator also wants Google to implement data portability features, making it simpler for both individuals and businesses to utilise their search findings across different platforms. These combined measures represent the first time the CMA has exercised its new powers to set conduct requirements under the recently implemented digital market rules, which allow for targeted interventions against firms designated with strategic market status.
Industry Reactions and Economic Implications
Sarah Cardell, chief executive of the CMA, described the consultation as an important milestone for the UK's digital markets competition regime. She emphasised that these targeted and proportionate actions would give UK businesses and consumers more choice and control over their interactions with Google's search services while unlocking greater innovation opportunities across the tech sector and broader economy.
The News Media Association welcomed the measures as a critical step toward establishing fair competition in the digital economy. Owen Meredith, chief executive of the NMA, acknowledged that the CMA rightly recognises Google's ability to extract valuable data without proper compensation, which harms publishers and creates unfair advantages in the AI model market. However, he expressed scepticism about whether behavioural remedies alone would be sufficient given the seriousness of Google's anti-competitive impact.
Consumer group Which? supported the proposals, with director of policy Rocio Concha stating that Google's vice-like grip on the search engine market currently shuts out competitors, reduces choice, and pushes up costs for consumers. Both organisations urged the CMA to implement measures swiftly and called for government support in enforcing the watchdog's actions.
Google's Response and Implementation Timeline
Ron Eden, Google's principal for product management, responded that the company's goal remains protecting the helpfulness of Search while giving websites appropriate tools to manage their content. He expressed Google's willingness to engage with the CMA's process and continue discussions with website owners and stakeholders, though he cautioned that any new controls must avoid creating fragmented or confusing search experiences for users.
The CMA will now conduct a consultation on the proposed measures, with a deadline for feedback set for February 25. This regulatory intervention comes against the backdrop of Google accounting for more than 90% of searches in the UK, with over 200,000 British businesses using the platform to reach customers and spending more than £10 billion annually on search advertising.
