The European Commission has initiated a new investigation into Alphabet Inc.’s Google, a prominent player in the U.S. technology sector, focusing on its methods of ranking news content within its search engine framework.
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Should the inquiry reveal significant infractions, the EU could impose sanctions amounting to 10% of Google’s total global revenue, a considerable addition to the €11 billion in fines the company has accrued from the EU in previous transgressions.
This investigation might also exacerbate already fraught diplomatic relations between the European bloc and the Trump administration.
Is Google Misusing Its Dominance in News Search Rankings?
The European Commission is expressing concerns that Google may be mismanaging its authoritative control over the ranking of news search results on its platform.
On Thursday, the EU regulatory body revealed that early monitoring activities suggested Google’s “site reputation abuse policy” could unjustly penalize various news outlets and publishers by relegating their content to inferior ranks, particularly when their material features contributions from commercial partners.
EU Aims to Safeguard News Publishers
While Google asserts that this policy targets sites that host substandard third-party content attempting to manipulate search rankings by leveraging the credibility of established domains, the Commission is concerned that this may undermine publishers’ potential to monetize their digital offerings.
“Our investigation aims to ensure that news publishers are not deprived of essential revenue at a critically challenging juncture for the industry, and to verify Google’s adherence to the Digital Markets Act,” remarked Teresa Ribera, the Commission’s Executive Vice President for a clean, equitable, and competitive transition.
The watchdog intends to conduct this examination over the next year, post which it will suggest corrective measures for Google. The EU had previously brought Google’s search operations under the ambit of the Digital Markets Act in September 2023.
EU Tightens Control While Revising Guidelines
This latest initiative by the Commission coincides with the EU’s intensified scrutiny of major technology firms, even as it seeks to mitigate certain regulatory constraints.
Reports indicate that the regulatory body is preparing to enforce more stringent content moderation protocols on Meta Platforms while simultaneously aiming to relax privacy regulations and standards concerning artificial intelligence per its AI Act.
The EU is also focusing on online platforms to tackle misinformation and bolster democratic integrity within the region.
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