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It is a quiet but powerful restructuring with explosive political implications. Google is under enormous pressure in Europe. The accusation: the search engine favors its own services and disadvantages competitors. Now the company is apparently planning changes—presumably to avoid a hefty fine under the European Digital Markets Act (DMA).
What does this mean for businesses, consumers, and digital competition?
The accusation: Google is promoting itself
The EU Commission sees a problem in the presentation of search results. Specifically, this concerns so-called vertical search services—i.e., special areas such as hotels, flights, restaurants, or shopping offers.
According to the EU, Google's own services are displayed particularly prominently in the results in the European Economic Area. Competitive offers, on the other hand, appear further down or are less conspicuous. For example, if you search for a hotel, you will first be presented with Google's own booking or comparison services – and not necessarily independent platforms.
This is precisely where the DMA comes in. The law aims to prevent powerful digital companies from exploiting their position to systematically favor their own products. In this context, the EU refers to possible distortion of competition.
Google reacts – even before the penalty is imposed
Before the investigation is finally concluded, Alphabet apparently wants to take countermeasures. According to a Reuters report, the company plans to adjust search results in Europe. In the future, competing hotel or travel services will be placed more visibly by default—in some cases on a par with Google's own offerings.
The plan is to introduce the changes initially in the area of accommodation searches. Flight searches and other areas will follow later. The goal is clear: the EU Commission should recognize that Google is taking competition more seriously.
Billions at risk in the background
Why is Google taking action now? One possible reason is the threat of sanctions: if a company violates the DMA, it faces heavy fines—up to ten percent of its global annual turnover. For a corporation like Alphabet, that would be no small matter, but rather a sum running into billions.
Google has already had to dig deep into its pockets in the past. According to Reuters, EU fines for various competition violations have totaled €9.71 billion since 2017.
The dispute has long since become more than just an economic issue. In the US, European digital laws such as the DMA and the Digital Services Act (DSA) are sometimes seen as deliberately targeting American tech companies. At the same time, the EU is stepping up its enforcement efforts – despite trade disputes and political tensions.
What does this mean for the market?
If the changes are implemented, the user experience could indeed change. Competitive offers would have a better chance of becoming visible. This would be an important step for smaller providers. For consumers, it could mean more choice and transparency.
However, the crucial question remains: Is a visual adjustment of search results sufficient to ensure genuine competition? Or are more profound structural changes needed?
The coming months will show whether Google will get away with cosmetic changes—or whether Brussels wants to send a clear signal.
Critical commentary
This case shows how heavily regulated digital markets have become. This is understandable when individual companies have enormous power. At the same time, regulation must be designed in such a way that it does not stifle innovation or artificially complicate search results.
Competition does not arise solely from regulations, but from genuine alternatives. If laws merely change the layout but market power remains unaffected, little is gained. Europe is sending a clear signal with the DMA. The decisive factor will be whether this leads to greater fairness in the long term—or just a new playing field with the same dominant players.
Source: heise.de
