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Google Proposes Latest Search Changes To Avoid EU Fine

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Google has reportedly prepared a new proposal for changes to its search engine, ahead of a meeting next week with EU officials that could lead to a fine over alleged breaches of the bloc’s Digital Markets Act competition rules.

In late June Google reportedly offered to create a box at the top of its search page for what it called a vertical search service (VSS) that would contain links to specialised search engines as well as directly to hotels, airlines restaurants and transport services.

The new offer, called Plan B, is an alternative to that proposal that in addition to the VSS box would also show a box including links to suppliers, according to a Google document.

Google chief executive Sundar Pichai Image credit: Google

Compliance proposal

The document was sent by the European Commission to involved parties and its contents were reported by Reuters.

The box for suppliers such as hotels, restaurants, airlines and travel services would appear below the VSS box and Google would organise its contents, according to the document.

The Option B proposal is designed to provide opportunities to suppliers that would not be part of “a box that can be characterised as a Google VSS”, Google said in the document.

The proposal comes ahead of a workshop on 7-8 July in Munich with Google, competitors and the European Commission to discuss the search provider’s proposals to come into compliance with DMA rules.

The rules were brought in to increase competition in the face of the overwhelming dominance of large tech companies and provide greater user choice choice.

Google said in a statement that it has made hundreds of alterations to its products as part of DMA compliance, while complaining that the DMA is leading to “worse online products and experiences” for Europeans.

The Commission in March issued preliminary findings charging Google with two violations of the DMA, one of which relates to Google’s alleged preferencing of its own services in Google Search.

Self-preferencing

Google search services such as shopping, hotel booking, transport, or financial and sports results are treated more favourably in Google Search results than similar services from third parties, the Commission said at the time.

“More specifically, (Google parent) Alphabet gives its own services more prominent treatment compared to others by displaying them at the top of Google Search results or on dedicated spaces, with enhanced visual formats and filtering mechanisms,” the executive agency said.

The second charge stated that Google breaches the DMA in its measures to restrict developers from informing users of better deals outside of Google’s Play Store app store.

“Alphabet technically prevents certain aspects of steering, for instance, by preventing app developers from steering customers to the offers and distribution channels of their choice,” said the Commission in a statement.

It said the fees charged by Google for facilitating the initial acquisition of a new customer by an app developer via Google Play go “beyond what is justified”.

The Commission has also targeted Apple, Facebook parent Meta Platforms and others over DMA violations.



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