The probe is one of two strategic market status (SMS) designation investigations which are intended to be the first probes under a new regime introduced by the Digital Markets, Competition and Consumers Act 2024 with effect from 1 January 2025.

Under the new regime, the CMA may designate firms with SMS in relation to a particular digital activity. Once designated, the CMA can impose conduct requirements or propose pro-competition interventions to achieve positive outcomes for UK consumers and businesses.   

The CMA’s investigation will assess whether Google has SMS in the UK search and search advertising sectors and, in parallel, consider whether conduct requirements should be imposed in the event of a final designation decision.

The investigation will include an assessment of whether barriers to entry are preventing other competitors from entering the search market, and in particular whether Google is able to shape the development of new AI services and interfaces, including ‘answer engines’, in ways which limit the competitive constraint they impose on Google Search.

It will also look at whether Google is using its position in the market to self-preference its own services, for example specialised search services covering shopping and travel.

Another aspect of the investigation will examine the potential collection and use of large quantities of consumer data without informed consent, and the potential use of publisher content without fair terms and conditions, including payment terms.

The CMA could impose conduct requirements including, for example, requirements on Google to make the data it collects available to other businesses or giving publishers more control over how their data is used including in Google’s AI services.

The investigation will run for no longer than nine months and will engage with stakeholders including advertising firms, news publishers and user groups, as well as gathering evidence from Google, before reaching a decision by October 2025.

Sarah Cardell, chief executive of the CMA, said: “Millions of people and businesses across the UK rely on Google’s search and advertising services — with 90 per cent of searches happening on their platform and more than 200,000 UK businesses advertising there.

“That’s why it’s so important to ensure these services are delivering good outcomes for people and businesses and that there is a level playing field, especially as AI has the potential to transform search services.

“It’s our job to ensure people get the full benefit of choice and innovation in search services and get a fair deal — for example in how their data is collected and stored.

“And for businesses, whether you are a rival search engine, an advertiser or a news organisation, we want to ensure there is a level playing field for all businesses, large and small, to succeed.”