Google could have to make dramatic changes to its search engine, the UK’s competition regulator has warned.
The company may have too much control over its search engine and the internet more broadly, according to the Competitions and Markets Authority.
It suggested that it might be required to allow publishers to have more of a say over how their content is used, pointing to Google’s controversial AI responses to queries.
Potential changes could see the regulator force Google to give internet users the option to use an alternative search engine.
The tech giant is the first company being targeted by the regulator under a new set of digital market laws.
Google accounts for more than 90% of searches in the UK, while it is also used by more than 200,000 UK businesses to reach customers.
Google said it would work “constructively” with the CMA but highlighted that its plans presented “challenges” to the business.
The CMA, which launched its investigation into Google in January, said it is minded to give the tech firm “strategic market status”, which would require it to abide by a number of rules over its conduct.
It could be forced to introduce new “fair ranking” measures so users can compared its search results.
Measures could also include Google providing “choice screens” for users so they can use alternative search services.
The regulator said publishers could also receive more control over how their content is used, including how or whether it is presented in AI-generated responses.
A final decision is set to be made by October following a consultation process.
Oliver Bethell, senior director of competition at Google, said: “The CMA has today reiterated that ‘strategic market status’ does not imply that anti-competitive behaviour has taken place – yet this announcement presents clear challenges to critical areas of our business in the UK.
“We’re concerned that the scope of the CMA’s considerations remains broad and unfocused, with a range of interventions being considered before any evidence has been provided.
“The UK has historically benefited from early access to our latest innovations, but punitive regulations could change that.
“Proportionate, evidence-based regulation will be essential to preventing the CMA’s roadmap from becoming a roadblock to growth in the UK.”
Sarah Cardell, chief executive of the CMA, said: “Google search has delivered tremendous benefits – but our investigation so far suggests there are ways to make these markets more open, competitive and innovative.
“Today marks an important milestone in our implementation of the new Digital Markets Competition Regime in the UK.
“Alongside our proposed designation of Google’s search activities, we have set out a roadmap of possible future action to improve outcomes for people and businesses in the UK.
“These targeted and proportionate actions would give UK businesses and consumers more choice and control over how they interact with Google’s search services – as well as unlocking greater opportunities for innovation across the UK tech sector and broader economy.”
Additional reporting by agencies
