Google has been designated with strategic market status by the UK’s Competition and Markets Authority (CMA) under the new Digital Markets, Competition and Consumers Act, a move that could reshape how search engines operate and how content is ranked online.
This designation, triggered after a CMA probe found that Google handles more than 90 percent of UK searches, grants the regulator the authority to propose targeted interventions meant to unlock competition and curb unfair dominance.
Google has pushed back, warning that any heavy restrictions might stifle innovation. The company says its search operations contributed £118 billion to the UK economy in 2023.
This is the CMA’s first use of its new digital markets powers — and it comes amid rising global scrutiny of big tech in both the EU and United States over practices involving advertising, app stores, and AI.
Why the CMA acted now
When the Digital Markets, Competition and Consumers Act 2024 came into force on 1 January, it gave the CMA new levers to regulate dominant digital platforms.
The regulator began its investigation in January, consulted more than 80 stakeholders, and published a roadmap of potential actions including “choice screens,” fair ranking requirements, and greater publisher control over AI-generated summaries.
In confirming the designation, the CMA excluded Google’s Gemini AI assistant from being immediately in scope, though it said other AI features such as AI Overviews and AI Mode are covered.
Potential reforms on the horizon
Though no immediate measures have been imposed, the CMA now has power to demand changes in how Google operates search in the UK.
Some of the likely interventions under discussion:
•Choice screens that allow users to select non-Google search engines by default.
•Fair ranking rules to prevent self-preferencing of Google’s own services or content.
•Publisher safeguards, such as opt-out of AI summaries or control over how content is used in AI outputs.
•Data portability that lets third parties access user data more easily, enabling competition with emergent rivals.
These changes, if adopted, may take effect gradually, with more complex issues (e.g. how Google handles specialized search competitors) addressed in 2026 or beyond.
Google’s response & broader context
Google argues that many of the proposed interventions could hamper the UK’s competitiveness in AI, delay product rollouts, and raise costs for consumers.
However, the regulator and its supporters point out that Google’s dominance has already sparked concern worldwide. In the US, courts have found Google liable for monopolistic practices in search and advertising.
If the CMA’s designation leads to meaningful changes in how ranking works and how users choose search engines, it could mark a turning point in the way digital gatekeepers are regulated — not just in the UK, but as part of a global wave of antitrust pressure on tech giants.
Upcoming timeline to watch
•The CMA expects to launch consultations on proposed interventions later in 2025.
•A final decision is anticipated by October 2025.
•Some reforms might roll out gradually from 2026 onward, especially in more technical areas like AI regulation and treatment of niche search engines.
