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The UK's antitrust regulator will keep a closer eye on Google Search
The UK's Competition and Markets Authority (CMA) has designated Google with strategic market status under its new digital markets competition regime. This designation acknowledges Google's substantial and entrenched market power in general search and search advertising services in the UK. The new regime, effective January 1, 2025, aims to foster competition in digital markets and protect consumers and businesses from unfair practices by large tech firms. While not an accusation of wrongdoing, this status allows the CMA to intervene and ensure effective competition in UK search services and fair treatment for businesses. Google's AI Overviews and AI Mode features are included in this designation, but its Gemini AI assistant is not, for now. The CMA is expected to consult on potential interventions later this year. Google has expressed concerns that proposed interventions could stifle innovation, slow product launches, harm businesses, and lead to higher consumer prices. The company argues that the UK has benefited from avoiding costly restrictions on services like Search, unlike other jurisdictions. Google specifically references the European Union's Digital Markets Act, which designated the company as a gatekeeper in 2023.