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CMA (UK) Introduces A New Way To Control Facebook And Google

CMA (UK) Introduces A New Way To Control Facebook And Google

The UK authorities are creating a new Agency within the competition and market Authority (CMA) that will regulate the work of large technology companies in the country, such as the US corporations Google and Facebook.

"The special digital markets Division, which will be set up within the Competition and Markets Authority (CMA), will work closely with regulatory authorities, including Ofcom and The office of the Information Commissioner, to introduce and comply with a new code of regulation for platforms that currently dominate the market, such as Google and Facebook, to ensure that consumers and small businesses are not disadvantaged," the Ministry of Business and the Ministry of Digital Technology, sports and culture said in a joint statement.

"Digital platforms like Google and Facebook make a significant contribution to our economy and play an important role in our daily lives – whether they help us stay in touch with loved ones, share content, or access the latest news. But the dominance of just a few big tech companies leads to fewer innovations, higher ad prices, and less choice and control for consumers. Our new competition-oriented regime for the digital market will guarantee that consumers will have a choice and small companies will not be forced out," said business minister Alok Sharma.

In July this year, it was reported that the UK authorities want to introduce a new regime for regulating advertising on the Facebook and Google platforms, which account for 80% of digital advertising in the United Kingdom. Having studied the existing mechanism for regulating the digital advertising market, the CMA concluded that "existing laws are not suitable for effective regulation." It was reported that the new regime for regulating the digital advertising market should prohibit the use of methods that can reduce trust and transparency in the market.

It was reported that the CMA wants to oblige Google to open data on clicks and queries to competing search engines to allow them to improve their algorithms, but at the same time that there is no transfer of personal data. The Agency also stated that it is necessary to limit the ability of Google to consolidate its position as the default search engine on mobile devices and browsers so that users have more choice.

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