UK CMA Initiates First Probe Under New Act Into Google's Search and Advertising Services, Assessing Strategic Market Status

Jan 14, 2025, 10:31 AM

The UK's Competition and Markets Authority (CMA) has initiated an antitrust investigation into Google's search and search advertising services, marking the first probe under the new UK Digital Markets, Competition and Consumers Act (DMCC). This act aims to prevent anti-competitive behavior in digital markets. The CMA is assessing whether Google should be designated as having 'strategic market status' (SMS), which would enable the regulator to impose changes to ensure fair competition. The investigation focuses on Google's dominance in search and online advertising, with 90% of searches happening on Google's platform and more than 200,000 UK businesses advertising there. The CMA's new powers allow it to examine the impact on consumers, advertisers, news publishers, and rival search engines. The CMA's chief executive, Sarah Cardell, emphasized the need for a level playing field, particularly as artificial intelligence alters online search dynamics. The investigation is expected to conclude by October 2025.