• Google submits revised search proposal to EU regulators amid antitrust proceedings.
• Offers competitor boxes at the top of search results, but rivals say changes still not fair.

For years, Google has dominated European search markets while fending off regulatory challenges from Brussels. The tech giant’s practice of prominently featuring its services – Google Shopping, Google Hotels, Google Flights – at the top of search results has long irked competitors who claim they’re being systematically buried in favour of Google’s offerings.

The ongoing tension reached a peak three months ago when the European Commission formally charged Google with violating the Digital Markets Act (DMA), Europe’s landmark legislation designed to rein in big tech’s market power.

The charges allege that Google was systematically favouring its services over rivals, creating unfair competition that stifled innovation and limited consumer choice.

Now, facing the prospect of hefty fines and forced compliance measures, Google has submitted fresh proposals to overhaul how it displays search results in the EU market, according to documents reviewed by Reuters.

The move represents the company’s latest attempt to resolve the escalating Google EU antitrust charges before regulators impose what could be substantial financial penalties.

Google’s struggle with EU regulations

The current case represents the latest chapter in Google’s prolonged battle with European regulators. The company has already faced billions in fines from the EU over various antitrust violations in recent years, and the DMA represents a new regulatory framework specifically designed to curb Big Tech’s market dominance.

The landmark Digital Markets Act establishes clear rules for large technology platforms, aimed at creating more competitive markets and providing consumers with greater choice.

For Google, compliance with these regulations has proven challenging as the company attempts to balance regulatory demands with its business model built around directing users to its services.

The new proposal details

Under Google’s revised proposal, the company would implement a significant change to how competitor services appear in search results. According to the documents seen by Reuters, a vertical search service (VSS) selected through “objective and non-discriminatory criteria” would receive its dedicated box positioned at the top of the search page.

The competitor box would feature the same format, information, and functionality as Google’s service boxes, representing a notable departure from current practices. The box would contain three direct links selected by the competing service, covering categories like hotels, airlines, restaurants, and transport options.

Other vertical search services would continue to appear in search results but would be ranked below the featured competitor box. The services would only receive their prominent display boxes if users specifically clicked on them.

Industry scepticism remains

Despite Google’s concessions, the proposal has met with scepticism from competitors who argue the changes don’t go far enough to ensure genuine market competition.

Several rivals, speaking anonymously to Reuters ahead of a July 8 meeting called by the European Commission, expressed concerns that the modifications still wouldn’t create a level playing field.

The feedback session scheduled for July 8 will provide competitors with an opportunity to respond formally to Google’s proposals before the Commission makes its determination on whether the changes adequately address Google’s EU antitrust violations.

Google’s position

In the documents submitted to both the European Commission and rival companies, Google maintained its disagreement with the preliminary findings but expressed willingness to find a resolution.

“We do not agree with the [Commission’s] preliminary findings’ position but, on a without prejudice basis, we want to find a workable solution to resolve the present proceedings,” the company stated.

What’s at stake

The outcome of the Google EU antitrust proceedings could set important precedents for how major technology platforms operate in the European Union. With the DMA now in effect, companies like Google face increased scrutiny over practices that regulators view as anti-competitive.

For Google, the stakes extend beyond potential fines to include questions about how the company can continue operating its search business model and comply with European competition law.

The company’s ability to promote its services in search results – a key driver of revenue – faces direct challenges under the new regulatory framework.

As the July 8 meeting approaches, all eyes will be on whether Google’s latest concessions prove sufficient to satisfy both regulators and competitors, or whether further modifications will be required to resolve this latest chapter in the ongoing Google EU antitrust saga.