The rights of online publishers have become a key focus in the UK’s new regulatory approach to Google, after the competition watchdog designated the tech giant with “strategic market status.” This move by the Competition and Market Authority (CMA) gives it the power to force changes, including providing more control for publishers over how their content is used.
The designation is the first of its kind under the UK’s new digital markets law and is based on Google’s dominant position, controlling over 90% of the country’s search market. The “strategic market status” (SMS) establishes a special regulatory regime to address the market power held by the company.
The CMA has proposed several areas for potential intervention. Alongside ideas like “choice screens” to promote rival search engines, the regulator has specifically highlighted the need to ensure publishers have more control over their content. This is particularly relevant in the age of AI, with concerns over how Google’s AI Overview and other features use and summarize information from websites.
Google has cautioned against heavy-handed regulation, suggesting it could stifle innovation and slow the launch of new services that benefit both users and the wider ecosystem. However, publishers have long argued that the current power imbalance allows Google to benefit from their content without fair compensation or control, an issue the CMA now appears poised to address.
The CMA’s action is not an immediate penalty but the start of a formal process. A consultation on potential remedies, including those related to publisher rights, will begin later this year. This decision marks a pivotal moment for the UK’s digital publishing industry and sets a precedent for how the new Digital Markets, Competition and Consumers Act 2024 will be applied.