UK competition watchdog to investigate Google’s search and search advertising services

The UK Competition and Markets Authority (CMA) has launched an investigation into Google’s search and search advertising services under the new digital markets competition law. 

The investigation is designed to assess whether Google, which accounts for more than 90% of search queries in the UK, holds a strategic market status, and whether its services deliver favourable outcomes for people and businesses. 

More than 200,000 advertisers use Google’s search advertising, showing the tech giant’s significant influence in this space. 

As part of the investigation, the CMA will look into whether Google leverages its market dominance to favour its own services or whether it engages in exploitative practices such as collecting user data without consent.

It will also evaluate competition levels. This will include looking at potential barriers to entry for new competitors and whether Google’s position stifles innovation, particularly around AI services and new interfaces. 

In addition, the CMA will engage with a range of stakeholders, including advertisers, publishers and user groups, as well as gathering evidence from Google. It plans to complete its assessment and reach a decision by October 2025.

It has also invited other interested parties to give their views on the matter by 3 February 2025.

Based on the findings, the CMA could impose conduct requirements on Google or propose pro-competition measures. 

Sarah Cardell, chief executive of the CMA, said: “Millions of people and businesses across the UK rely on Google’s search and advertising services – with 90% of searches happening on their platform and more than 200,000 UK businesses advertising there. That’s why it’s so important to ensure these services are delivering good outcomes for people and businesses and that there is a level playing field, especially as AI has the potential to transform search services.

“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 organisation, we want to ensure there is a level playing field for all businesses, large and small, to succeed.”

A number of similar investigations against Google are being conducted by authorities across the US, Europe and Australia.

In the US, the Google versus the Department of Justice (DOJ) antitrust trial, the DOJ proposed breaking up Google to address its search monopoly including selling its Chrome browser and blocking default search engine contracts with companies like Apple and Samsung. Google, however, argued this could harm innovation and consumer interests. The trial is expected to conclude this year with a final ruling by Judge Amit Mehta expected in the summer of 2025.

This article first appeared on Campaign sister title Performance Marketing World