AI-Summary – News For Tomorrow
The UK’s CMA designated Google with “Strategic Market Status,” enabling tailored interventions in the British search market. While not a finding of wrongdoing, it allows the CMA to enforce changes in Google’s practices. Google worries about stifling UK innovation, but the CMA promises proportionate actions. Meanwhile, in the US, the Supreme Court denied Google’s request to delay an order mandating an overhaul of the Play Store, following a jury verdict deeming it an illegal monopoly. Google must now loosen its control over Android app distribution by October 22nd, but will continue its legal challenge, citing safety concerns for users.
News summary provided by Gemini AI.
This significant move paves the way for the CMA to use tailored regulatory interventions to compel the Alphabet-owned company to change its operating practices within the British search market.
The watchdog clarified that the SMS designation does not constitute a finding of wrongdoing and does not introduce any immediate requirements for Google.
Google’s Senior Director for Competition Oliver Bethell said: “Many of the ideas for interventions that have been raised in this process would inhibit UK innovation and growth, potentially slowing product launches at a time of profound AI-based innovation.”
Equipped with direct enforcement powers and the ability to impose fines for non-compliance, the CMA has stated its future actions will be “targeted and proportionate”.
Google’s Play Store monopoly: US Supreme Court refuses to grant delay
Google is now facing an immediate, sweeping overhaul of its Android app store after the US Supreme Court refused on Monday to grant protection against a year-old order. This curt, one-sentence decision means Google will shortly have to begin making significant structural changes to the Play Store, a system which a jury previously declared an illegal monopoly designed to stifle competition.
The ruling effectively upholds a December 2023 jury verdict and compels the Mountain View, California, company to loosen its restrictive control over the Play Store—the distribution channel for apps on the Android software that powers the majority of non-Apple smartphones in the United States.
The technology firm confirmed it would comply with the forthcoming 22nd October deadline to begin implementing the changes. However, Google indicated it would continue its legal challenge against what it deems a problematic order, stating: “The changes ordered by the U.S. District Court will jeopardise users’ ability to safely download apps.”
