Report from Bloomberg
In Brief – The European Commission announced that it sent preliminary findings to Google outlining measures the digital giant should take to allow third party search engines, including some AI chatbots, to access its store of search data to comply with the Digital Markets Act (DMA). The regulator believes that Google should allow the competitors to access ranking, query, click and view data, on fair, reasonable and non-discriminatory terms, arguing that this would help alternative search engines improve their services and better compete with Google’s dominant search platform. Potential beneficiaries could include AI companies like OpenAI. Google pushed back on the proposals, warning that they could threaten user privacy and security. The Commission will gather feedback before issuing a binding decision in July.
Context – The DMA regulates 23 core platform services offered by seven gatekeeper companies. Google already faces three investigations accusing it of violating the DMA, including for its app store rules and fees, its treatment of vertical search competitors, and how it ranks publisher websites. The latest proposal on search data sharing is the result of a different DMA process called a “specification proceeding” that directs a company on how to affirmatively comply with the law. In January, the Commission opened two. The other will tell Google how to give third-party AI and chatbot developers free and effective interoperability with features controlled by Google’s Android operating system. Search data sharing mandates for Google are proceeding on both sides of the Atlantic. When US District Judge Amit Mehta issued his remedies order following his landmark 2024 ruling that Google had a search monopoly, he eschewed the harshest requests from US Government, such as forcing Google to divest its Chrome browser. The judge argued that the rapid pace of technological change, particularly the rise of generative AI, backed his approach, which includes requiring Google to share certain search data with qualified competitors, including some AI companies. Google and the Department of Justice have both appealed Mehta’s orders.