CMA Pressures Google Over Advertising Tech

CMA Pressures Google Over Advertising Tech
Depositphotos

The UK’s Competition and Markets Authority jumped on the list of regulators that pressure Google over its open-display advertising technology. The CMA is looking for answers on how the setup works and adding to scrutiny by officials in the EU and the US.

A statement of objections was sent by the CMA to Google in which the authority expressed concerns the search giant may be hampering competition by abusing a dominant position by setting its advertising exchange as a preferred option. The CMA emphasized it was too soon to conclude any infringement of competition law had occurred.

Interim executive director of enforcement Juliette Enser explained provisional findings indicate Google is using its market power to hinder competition when it comes to the ads people see on websites. She noted that many companies rely on advertising to offer digital content cheaply or for free, making it important that publishers and advertisers providing the information get a fair deal when buying or selling digital advertising space.

The CMA began looking into Google’s advertising technology in 2022 citing concerns the company was favouring its services. It combined this work with a separate investigation into the search giant’s header bidding services due to the interrelationship of the facts and conduct between the probes. Google is expected to provide responses to the CMA’s statement of objections between December this year and March 2025, with the regulator set to spend up to nine months considering those before deciding its next steps.