UK CMA Designates Google with Strategic Market Status Over 90% Search Dominance

The UK Competition and Markets Authority (CMA) has formally designated Google as holding a “Strategic Market Status” (SMS) in the fields of search and search advertising services, making it one of the first tech giants to come under heightened scrutiny under the UK’s new digital markets regime. According to the CMA, Google possesses “substantial and entrenched market power” in general search, with its dominance shaping the advertising ecosystem and digital competition.

The CMA first launched the investigation in January 2025 to determine whether Google met the criteria for SMS, and findings showed Google controls over 90% of search traffic in the UK. Will Hayter, Executive Director for Digital Markets at the CMA, said Google maintains a strategic position in search and search advertising and that the market must remain open to competition.

Under the new framework, the CMA can impose proactive interventions, including mandating algorithmic transparency, restricting self-preferencing of proprietary services, and enforcing data interoperability standards. The SMS designation covers Google’s AI Overview and AI Mode features but does not yet extend to the Gemini AI assistant, and the CMA plans to hold a public consultation on potential measures before the year’s end.