Google investigated by UK watchdog over search dominance
Google is being investigated by the UK competition watchdog over the impact of its search and advertising practices on consumers, news publishers, businesses and rival search engines.The tech company accounts for more than 90% of general searches in the UK, according to the Competition and Markets Authority.The CMA estimates that search advertising costs the equivalent of nearly £500 for each UK household a year, which could be kept down with effective competition.The watchdog announced on Tuesday it will investigate if Google is blocking competitors from entering the market, and whether it is engaging in “potential exploitative conduct” by the mass collection of consumers’ data without informed consent.It will also investigate whether Google is using its position as the pre-eminent search engine to give an unfair advantage to its own shopping and travel services.
The investigation will take up to nine months and could result in Google being forced to share the mountains of data it collects with other businesses, or to give publishers greater control over how their content – books, newspaper articles and music – is used, including by Google’s fast-growing artificial intelligence systems.The investigation is the first launched by the watchdog since a new digital markets competition regime came into force in the UK on 1 January 2025, allowing the UK authorities to issue “conduct requirements” to technology companies.There is increasing anti-regulation pressure from the US before Donald Trump’s inauguration on Monday.Last week, Mark Zuckerberg, the founder of Meta, attacked European nations for “an ever-increasing number of laws institutionalising censorship and making it difficult to build anything innovative”.He promised to “work with President Trump to push back on governments around the world that are going after American companies”.
On Monday, Keir Starmer, the UK prime minister, announced a plan to “mainline AI into the veins” of the UK and be a “trusted partner” to AI companies with a “pro-growth and pro-innovation” approach to regulation.On Tuesday, it was reported that the EU is reassessing its own investigations against US technology companies including Google, Meta and Apple.In the past 10 months it has launched investigations under the EU’s digital markets regulations, but the Financial Times reported that the review could lead to these being scaled back or their remit changed.Sign up to Business TodayGet set for the working day – we'll point you to all the business news and analysis you need every morningafter newsletter promotionThe Google investigation will look into the impact of its standard search, its Google Ads platform and its Gemini AI assistant.Sarah Cardell, the chief executive of the CMA, said: “It’s our job to ensure people get the full benefit of choice and innovation in search services and get a fair deal – for example in how their data is collected and stored.
And for businesses, whether you are a rival search engine, an advertiser or a news organisation, we want to ensure there is a level playing field for all businesses, large and small, to succeed.”The CMA has already said it will launch a second investigation into a big technology company later this month.The investigation process involved the CMA first designating a firm with “strategic market status” in relation to a particular digital activity.To qualify it must have “substantial and entrenched market power” in a digital activity linked to the UK and global turnover of more than £25bn or UK turnover of more than £1bn.A Google spokesperson said: “People across the UK trust Google search to help them find what they need.
Google search supports millions of UK businesses to grow by reaching customers in innovative ways.The CMA’s announcement today recognises that ‘search is vital for economic growth’.We will continue to engage constructively with the CMA to ensure that new rules benefit all types of websites, and still allow people in the UK to benefit from helpful and cutting edge services.”
Frasers Group says two-thirds of retail staff are still on zero-hours contracts
The owner of Sports Direct has confirmed that two-thirds of its retail workforce remain on zero-hours contracts ahead of new legislation designed to limit their use.Frasers Group told MPs who are examining plans to strengthen protection for employees that 11,500 staff were on the contracts, which do not guarantee any weekly working shifts, and did not receive compensation even if shifts were changed at the last minute.MPs on parliament’s business and trade select committee also heard that three-quarters (4,000) of the 5,200 people employed at the group’s main warehouse in Derbyshire are agency workers who can be let go without notice, more than eight years after the company promised MPs it would move them on to permanent contracts.The testimony came from Andy Brown, chief people officer at Frasers Group – which owns House of Fraser, the luxury streetwear chain Flannels, Evans Cycles and Sports Direct. He admitted the pace of change was “certainly not fast”, with an average 200 people a year shifting from agency to permanent contracts over the past three years
New year downers are becoming normal at JD Sports | Nils Pratley
It wasn’t a full-on profits warning – more of a 5%-ish trim to forecasts. But JD Sports’ trading update will feel particularly disappointing to its shareholders because this was the second January in a row that the sportswear retailer has delivered a new year downer on profit expectations. The spiel was also identical, more or less.A year ago, the group blamed “more cautious consumer spending” and “an elevated level of promotional activity during the peak trading period”. On Tuesday it cited “a challenging and volatile market that saw increased promotional activity” as revenues fell 1
US sues Elon Musk for allegedly failing to disclose early Twitter stock purchase
A US financial regulator has sued Elon Musk for allegedly failing to disclose his ownership of Twitter stock and later acquiring shares in the company at “artificially low prices”, stiffing other shareholders.The Securities and Exchange Commission (SEC) filed suit against Musk late on Tuesday in Washington DC federal court for alleged securities violations. According to the suit, Musk did not disclose that he had acquired a 5% stake in the company in a timely manner, which allowed him “to underpay by at least $150 million for shares he purchased after his financial beneficial ownership report was due”.Alex Spiro, a lawyer for Musk, told Bloomberg that the SEC’s case amounted to “an admission” that the agency had no case. Musk, Spiro said, “has done nothing wrong and everyone sees this sham for what it is”
Chinese officials reportedly discuss sale of TikTok in US to Elon Musk
Chinese officials have reportedly held preliminary talks about a potential option to sell TikTok’s operations in the US to the billionaire Elon Musk, should the short-video app be unable to avoid an impending ban. Another option is that Musk acts as a broker in a deal to sell the app.Beijing officials prefer that TikTok remains under the control of its Chinese parent, Bytedance, but have discussed other options including a sale to Musk, Bloomberg reported. The Financial Times reported on the same day that the officials had discussed the preliminary possibility of Musk functioning as a go-between for Bytedance and any potential buyer that would prevent the app from being shut down.“We can’t be expected to comment on pure fiction,” a TikTok spokesperson said, responding to the report
Police report says former MLB pitcher Brian Matusz died at 37 of likely overdose
The former Baltimore Orioles pitcher Brian Matusz died at the age of 37 after an apparent drug overdose, according to police documents.The Orioles announced Matusz’s death last week. According to a report by the Phoenix Police Department obtained by the Baltimore Banner, Matusz’s body was found by his mother, Elizabeth, on 6 January after she went to check on him in his home. A lighter, straw and a small square of aluminum foil, often used for ingesting drugs, were near his body. The report says police are not treating the death as suspicious
Man charged with stalking Caitlin Clark disrupts court hearing
A man charged with stalking and harassing basketball star Caitlin Clark was rebuked after becoming disruptive during a court appearance on Tuesday.Michael Lewis, of Denton, Texas, was arrested on Monday at a hotel in Indianapolis, where Clark plays for the Indiana Fever, after allegedly sending threatening messages to the WNBA star, some of which were sexual in nature.The 55-year-old Lewis sat back in his chair when he entered Marion County Superior Court and said “guilty as charged”. He went on to interrupt the proceedings on several occasions, saying “I guess you got the wrong guy”. He also said “I need my medicines” when the court asked him if he had any mental health issues
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