TLDR
- UK’s Competition and Markets Authority (CMA) launches first investigation of 2025
- Investigation targets Google’s 90%+ search market dominance
- Focus includes both traditional search and AI search developments
- Deadline for public comments is February 3
- CMA plans second Big Tech investigation this month
The UK’s Competition and Markets Authority (CMA) has initiated its first major investigation of 2025, targeting Google’s overwhelming control of the search engine market, where it holds more than 90% market share. The investigation, announced in early January, examines both traditional search capabilities and Google’s emerging AI search features.
The CMA’s chief executive, Sarah Cardell, emphasized the investigation’s importance, noting that millions of UK residents and businesses depend on Google’s search and advertising services. The probe aims to ensure fair competition and optimal outcomes for all stakeholders in the digital marketplace.
The investigation comes as part of the CMA’s newly implemented regulatory framework, which grants the authority enhanced powers to scrutinize major technology companies. This represents the first of two planned investigations into Big Tech firms this month, though the target of the second investigation remains unannounced.
At the core of the investigation is Google’s market position, which exceeds 90% of the UK search market. This dominant position raises questions about competition, innovation, and fair market practices in both traditional and AI-enhanced search services.
The probe will examine how Google collects and stores user data, a crucial aspect of modern search operations. The CMA wants to ensure that consumers receive appropriate value and transparency regarding their personal information.
The investigation extends beyond consumer interests to address business concerns. The CMA aims to create equal opportunities for various stakeholders, including competing search engines, advertisers, and news organizations.
Small businesses particularly stand to be affected by the investigation’s outcomes. The CMA seeks to ensure that companies of all sizes can compete effectively in the digital marketplace without facing unfair disadvantages due to Google’s market position.
The advertising aspect of Google’s search business falls under particular scrutiny. The investigation will examine how Google’s advertising practices impact market competition and whether current practices provide fair access to all advertisers.
The emergence of AI technology in search services adds another layer to the investigation. The CMA recognizes AI’s potential to transform search services and wants to ensure that this transformation occurs within a competitive framework.
The regulatory body has set February 3 as the deadline for interested parties to submit comments regarding the investigation. This public consultation period allows stakeholders to provide input that may influence the investigation’s direction.
The CMA’s approach reflects a broader trend of increased regulatory oversight of major technology companies. The authority’s new powers enable more direct intervention in digital markets than previously possible.
The investigation will assess potential remedies to improve competition in the search market. These solutions could range from operational changes to structural modifications in how Google conducts its search business.
Data handling practices form a key component of the investigation. The CMA will examine how Google collects, stores, and utilizes user data in both its traditional and AI-enhanced search services.
The probe represents one of the most comprehensive investigations into Google’s search operations in the UK market. It encompasses traditional search, advertising, AI developments, and data practices under a single regulatory action.
The timing of this investigation, as the first major action under new regulatory powers, signals the CMA’s commitment to actively addressing competition issues in digital markets throughout 2025.
