Britain’s competition regulator has unveiled proposals to rein in Google’s dominance of the online search market, in a move that could see the tech giant subjected to tough new restrictions under fresh UK legislation.
The Competition and Markets Authority (CMA) announced on Tuesday that it plans to designate Google as having “strategic market status” — a classification that would impose specific obligations on the company under Britain’s new Digital Markets Competition Regime.
The regime, which came into effect earlier this year, aims to foster greater innovation and competition in key digital markets dominated by a handful of major players. The proposals bear similarities to the European Union’s Digital Markets Act, which allows for significant fines for non-compliance.
The CMA launched a formal investigation into Google’s powerful position in the search market back in January, amid growing concern over how its dominance affects both businesses and consumers. The regulator believes that intervention could open the door to a more dynamic and competitive sector.
“Google Search has delivered tremendous benefits, but there are ways to make these markets more open, competitive and innovative,” said CMA chief executive Sarah Cardell.
Among the potential changes being considered are requirements that would make it easier for users to select and switch between search services, including emerging AI-powered assistants, by legally mandating default choice screens. The regulator is also exploring rules to ensure that Google’s ranking and presentation of search results are conducted in a fair and non-discriminatory manner.
Google has pushed back against the proposals. Oliver Bethell, Google’s competition spokesman, argued that the CMA’s preliminary findings could have far-reaching consequences. “The positive impact of Google Search on the UK is undeniable. Our tools and services contribute billions of pounds to the UK economy every year,” he said.
Bethell also criticised the breadth of the CMA’s proposals, describing them as “broad and unfocused,” and suggested that interventions were being considered before sufficient evidence had been presented.
The CMA stressed that Google controls over 90 percent of the UK’s online search market, with more than 200,000 businesses in Britain relying on Google’s search advertising to reach customers.
The current proposals are subject to consultation, with a final decision expected by October.
