UK Regulators Move to Rein in Google with “Strategic Market Status” Proposal
The UK’s Competition and Markets Authority (CMA) has proposed granting Google "Strategic Market Status" (SMS) under its Digital Markets, Competition and Consumers Act (DMCC). This would give regulators greater authority to enforce choice screens, ensure fair rankings, and curb anti-competitive practices—a major development in the global effort to regulate Big Tech.
Image Source: gov.uk
What Is “Strategic Market Status”?
Under the new UK digital law:
- Companies with SMS will face stricter scrutiny over how they treat competitors
- They must offer “choice screens” to give users multiple options for search engines, apps, or news feeds
- They must maintain fair, transparent algorithms and prevent self-preferencing
This status applies to companies deemed to have substantial and entrenched power in specific digital sectors.
Why Google?
The CMA argues that:
- Google dominates search, digital advertising, and mobile web access
- Its default positioning on Android devices, alongside opaque ranking methods, limit consumer and business choice
- Previous fines in the EU haven't curbed monopolistic behavior effectively
This move could force Google to open up its ecosystem, particularly in the UK’s search and browser markets.
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What Happens Next?
The CMA is:
- Consulting stakeholders until September 2025
- Expected to finalize SMS designations by Q4 2025
- Likely to expand this model to Amazon, Meta, and Apple, depending on market dominance and public feedback
Global Implications
The UK’s strategy mirrors similar steps taken by:
- The EU’s Digital Markets Act (DMA)
- US antitrust lawsuits against Google and Apple
- India’s CCI probes into Android’s gatekeeping practices
Together, they reflect a growing global consensus on breaking Big Tech’s grip on digital ecosystems.
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