UK's competition regulator proposes new status for Google in search to increase control

[England Research] solidcolours/iStock via Getty Images The U.K.'s Competition and Markets Authority has proposed to designate Alphabet's (NASDAQ:GOOG [https://seekingalpha.com/symbol/GOOG]) (NASDAQ:GOOGL [https://seekingalpha.com/symbol/GOOGL]) Google with 'strategic market status' under the country's new Digital Markets Competition Regime. If designated, the CMA would be able to introduce [https://www.gov.uk/government/news/cma-takes-first-steps-to-improve-competition-in-search-services-in-the-uk] targeted measures to address specific aspects of how Google operates search services in the U.K., according to the regulator. Google did not immediately respond to a request for comment from Seeking Alpha. The competition watchdog also published a roadmap of potential actions it could take if Google was designated. Early priority measures include requiring choice screens for users to access different search providers; ensuring fair ranking principles for businesses appearing on Google search; more transparency and control for publishers whose content appears in search results; and portability of consumer search data to support innovation in new products and services. "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," said Sarah Cardell, chief executive of the CMA. Google search accounts for more than 90% of all general search queries in the U.K., the agency noted. The CMA said that its investigation has heard concerns, including Google’s index of billions of websites; higher costs of search advertising than would be expected in a more competitive market; limited transparency and fairness in how Google ranks and presents search results; and default agreements with mobile device manufacturers, among other things. The CMA will consult on the proposal ahead of a final decision in October. The CMA plans to consider a second category of actions for more complex issues over a longer period, starting in the first half of 2026. These include concerns about the impact of Google’s bargaining position on publishers, its treatment of rival specialized search firms, and concerns about transparency and control related to search advertising. The CMA said that the proposed SMS designation would include AI-based search features, but not Google's Gemini AI assistant itself. MORE ON ALPHABET * Alphabet's AI Bargain Beats ChatGPT (Rating Upgrade) [https://seekingalpha.com/article/4796663-alphabet-ai-bargain-beats-chatgpt-rating-upgrade] * Alphabet: Arrows Point To Jaw-Dropping Second Quarter [https://seekingalpha.com/article/4796610-alphabet-arrows-point-to-jaw-dropping-second-quarter] * Alphabet Stock Is Flat... But Not For Long [https://seekingalpha.com/article/4796150-alphabet-stock-is-flat-but-not-for-long] * Google reportedly cutting budget in Smart TV biz; looking to bolster YouTube team [https://seekingalpha.com/news/4460793-google-reportedly-cutting-budget-in-smart-tv-biz-looking-to-bolster-youtube-team] * Google delivers on-device AI features in new Chromebook Plus model [https://seekingalpha.com/news/4460795-google-delivers-on-device-ai-features-in-new-chromebook-plus-model]