UK regulator launches investigation into Google’s dominance in the search market

The Competition and Markets Authority (CMA) has announced its first inquiry into Google’s search services.
The goal of the investigation is to determine Google’s position in the search market and search advertising services, and how this impacts consumers and businesses, including advertisers, news publishers, and rival search engine providers.
“Search is vital for economic growth. It facilitates businesses connecting with each other, with investors, and with their customers. And it generates a wealth of data that can be used to develop new AI products and services to foster innovation,” the CMA explains in a press release about the presence of search services.
Given the importance of search engine providers, it’s critical that there is a functioning system in place that allows competition. It’s in the best interest of British consumers in order to offer them greater choice, new and innovative services, and control over their data.
Effective competition also means that people are given access to a wide range of information, and that publishers are treated fairly for the use of their content. For businesses it’s a means of keeping down the costs of search advertising, and allows them to innovate, for example, to ensure AI start-ups to compete with Google and other existing search engine providers.
The CMA is looking into Google’s strategic market status (SMS). The British regulator intends to check to see whether Google is causing obstacles for new players and innovation in the search market. It will also look at whether Google can determine the development of new AI services and interfaces in ways that make competition more difficult in favor of its own search engine.
Furthermore, the CMA will look into potential exploitative conduct by Google. This will include investigating the collection and use of large quantities of consumer data without informed consent, as well as the use of publisher content without fair terms and conditions, including payment terms.
“It’s our job to ensure people get the full benefit of choice and innovation in search services and get a fair deal, for example, in how their data is collected and stored. And for businesses, whether you are a rival search engine, an advertiser or a news organization, we want to ensure there is a level playing field for all businesses, large and small, to succeed,” Chief Executive of the CMA Sarah Cardell says about the upcoming inquiry.
The announcement of the regulator follows Prime Minister Keir Starmer’s declaration to invest billions in the UK’s AI infrastructure to become ‘world leader’ in artificial intelligence. “In a world of fierce competition, we cannot stand by. We must move fast and take action to win the global race,” he said when announcing the investment plans.
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