Google abusing advert tech dominance, UK competitors watchdog finds | EUROtoday

Google makes use of anti-competitive practices to dominate the marketplace for internet advertising expertise, a UK watchdog has discovered.

The probably illegal behaviour may very well be harming 1000’s of UK publishers and advertisers, a provisional investigation by the Competition and Markets Authority (CMA) has concluded.

It accuses Google of stopping rivals from “competing on a level playing field” with its personal tech for the billions of kilos spent by UK companies on internet advertising.

Google stated the watchdog’s findings had been “flawed” and stated it might reply.

According to the CMA, the overwhelming majority of companies use Google’s companies when inserting digital advertisements on web sites.

Google maintains it has a powerful enterprise incentive to assist UK corporations thrive, and argues that advertisers select to make use of Google as a result of its merchandise work nicely and assist their companies develop.

The watchdog will now contemplate representations from Google earlier than deciding what motion to take.

If Google is discovered to have damaged competitors regulation, the watchdog may impose a monetary penalty of as much as 10% of annual worldwide group turnover and difficulty legally binding instructions to the agency.

“We’ve provisionally found that Google is using its market power to hinder competition when it comes to the ads people see on websites,” Juliette Enser, the CMA’s interim executive director of enforcement, said in a statement.

She pointed out that many businesses were able to keep their digital content free by using revenue from digital adverts, which reach millions of people across the UK.

“That’s why it’s so important that publishers and advertisers – who enable this free content – can benefit from effective competition and get a fair deal when buying or selling digital advertising space,” she wrote.

But Google’s vice president of global ads, Dan Taylor argued the search giant’s advertising technology helped websites and apps fund their content, and effectively reach new customers.

“The core of this case rests on flawed interpretations of the advert tech sector. We disagree with the CMAs view and we’ll reply accordingly,” he wrote.

Google’s activities in ad tech are also subject to continuing probes by the US Department of Justice and the European Commission.

In 2023, EU competition regulators told Google it might need to sell part of its ad-tech business to address their concerns.

But the tech-giant has argued this would be a “disproportionate” step.