Google to addresses criticism over DMA compliance

Google on antitrust laws: Alphabet's Google is addressing the concerns regarding alterations to its core services mandated by European Union’s tech regulations, according to a draft of remarks by a senior Google executive obtained by Reuters.

Oliver Bethell, leading Google's EMEA competition team, is expected to explain to the regulators and competitors the intricacies of balancing various interests necessitated by the new regulations, the document reveals.

The Digital Markets Act (DMA), which came into effect on March 7, empowers users to uninstall any pre-installed Google software or app, requiring Google to obtain consent for data usage across its services for personalised advertising.

Furthermore, Google is prohibited from exhibiting favouritism towards its services or products over competitors on its platform. The DMA aims to curb the dominance of Big Tech, foster a fair environment for smaller rivals, and provide users with more alternatives. It designates companies controlling access to their platforms, like Google, as gatekeepers.

Critics, including comparison shopping sites, hotels, airlines, and restaurants, argue that Google's adjustments fail to comply with the DMA. Some complain of deteriorating search traffic since the changes.

Bethell acknowledges the complexity of reshaping the company's search engine, citing a necessity to balance the opportunities envisaged by DMA Article 6(11) with user privacy and security risks.

"We need to weigh the potential benefits against the risks to privacy and security," Bethell will state at a workshop organised by the European Commission.

Bethell notes that some demands from vertical search engines exceed DMA requirements, potentially compromising the search experience for European users and businesses.

He also urges other companies designated as gatekeepers under the DMA to prioritise compliance efforts, as breaches could incur penalties of up to 10 per cent of their annual global turnover.

(With Reuters inputs)