Google changes search features to please EU regulators

Google has announced a number of changes to its search features to comply with the EU’s Digital Markets Act. These changes are aimed at providing a level playing field between the tech giant and third-party comparison sites.

The Alphabet-owned company will introduce a search results layout that will give equal prominence to results from comparison sites and direct supplier websites such as airlines, hotels or retailers. They will also be able to display more detailed information like prices and images on results pages.

Google is also creating special ad units designed for comparison platforms, enabling them to appear more prominently in search results.

Additionally, Google is running a test to understand the impact of simplifying the format of all search results to just a simple blue hyperlink. Starting November 25, it is removing search results features on hotel, vacation rental and comparison websites for users based in Germany, Belgium and Estonia.

These include a map showing hotel locations, hotel results and property information. The idea is to temporarily see what impact reverting back to blue links has on traffic and user experience.

“We are very reluctant to take this step, because removing useful features will not benefit consumers or businesses in Europe,” Google legal director Oliver Bettel wrote in an article. blog post“That’s why we’ve devoted so much product and engineering time to constructive discussion informed by objective data.

“We think the latest proposal is the right way to balance the difficult trade-offs involved in the DMA. We still hope to be able to reach a solution that complies with the law and continues to provide European users and businesses access to assistive technology.

WATCH: Meta and Apple breached Digital Markets Act, EU charges

SEO experts comment on changes made by Google to search features

Alex Moss, SEO expert at Yoast, says these changes will have a positive impact on smaller companies and comparison sites. “This will increase the democratization of information, which is the most natural way to have an objective search experience and allows users to make better and more informed decisions,” he told TechRepublic.

However, he believes that what Google must do to provide a level playing field is “certainly not legally required” by the DMA. “Google will conform to what is legally required of them and nothing more — especially if it impacts profit margins,” he told TechRepublic.

However, Eli Berrebi, an SEO strategist from Cyprus, said that removing search features for hotel and vacation rental businesses is an act of malicious compliance.

“To demonstrate why resisting regulatory compliance is appropriate, they designed a temporary ‘search engine test’ that tested users in Belgium, Estonia and Germany – the EU’s largest countries in terms of GDP and population. Google will remove search features that are very useful for users,” he explained. TechRepublic.

“While the DMA was simply asking for equal treatment from Google, their search experience seems designed to cause frustration and put the European consumer on Google’s side.”

Google’s changes in response to DMA have resulted in fewer clicks for airlines, hotels and small retailers

The DMA prevents Google from prioritizing its services over competitors’ in search results or on other online platforms. Violations could result in a fine of up to 10% of Google’s total worldwide turnover, or 20% for repeat offences.

When DMA came into effect in March, the company made some announcements Significant changes in its products and servicesThat includes temporarily removing some Google search widgets to allow individual businesses to compete on the results page. It also introduced new settings to choose how data is shared between different Google services and a “choice screen” for Android and Chrome to encourage users to choose their preferred browser.

However, a few weeks later, the European Commission launched an investigation into Google’s parent company Alphabet for alleged gatekeeping on apps and browsers – or promoting its own services above those of competitors. It claims that Alphabet’s change in the way it presents Google search results could drive customers back to Google services like shopping, flights or hotels.

Bethel said some of the company’s changes in response to the law have been detrimental to airlines, hotel operators and small retailers while benefiting travel aggregators and comparison sites.

“They report that clicks to free direct bookings have decreased by 30% since we implemented our original changes,” he wrote. “And yet comparison sites insist that our changes need to go even further.”

The EU, Britain and the US are fighting against Google’s anti-competitive practices in online search and advertising

European regulators have put Google firmly in their sights because of its massive dominance in online search and advertising. In September, the European Court €2.42 billion fine upheld Against Google for violating EU antitrust rules by favoring its comparison shopping service, Google Shopping, in search results.

The Commission is investigating whether Google favors its own ad technology services, but a preliminary finding last year said that a “Compulsory Disinvestment” The only way to address competition concerns would be to acquire a stake in its ad tech business.

The EU is not the only country concerned about Google’s alleged anti-competitive practices. In September, the UK’s Competition and Markets Authority provisionally ruled that Google’s dominance in the ad tech market is harmful to competitors.

In 2020, the US Department of Justice and state attorneys general launched an antitrust investigation in Google’s ad tech practices, alleging that it “unlawfully used distribution agreements to thwart competition.” That investigation is ongoing.

Additionally, in August, a federal judge ruled that the tech company held a monopoly on general search services and text ads, breaking antitrust laws.

However, Google isn’t going down without a fight; It successfully overturned a €1.5 billion antitrust fine imposed by the European Commission in 2019 to prevent third parties using its AdSense platform from displaying competing ads next to Google search results.

It was also fined €4.34 billion from the Commission in 2018 for abusing its dominance by pre-installing Google Search on Android devices, but has since appealed to the European Court of Justice.