The UK’s landmark ruling against Google is expected to send a ripple effect across the entire tech industry, putting other dominant firms on alert that a new era of tougher regulation has arrived. The decision by the Competition and Market Authority (CMA) to designate Google with “strategic market status” is the first use of a powerful new law, and it is unlikely to be the last.
The “strategic market status” (SMS) designation is a tool specifically created by the Digital Markets, Competition and Consumers Act 2024 to manage the power of the most influential tech companies. While Google’s search business is the first to be targeted, the CMA is already conducting a separate investigation into whether Apple and Google’s mobile platforms should receive the same designation.
This signals a systematic approach by the regulator. The principles applied to Google—addressing overwhelming market share, default settings, and control over a key ecosystem—could easily be applied to other areas, such as social media, e-commerce, or cloud computing, where a single company holds a dominant position.
The potential remedies being considered for Google, such as “choice screens” and rules on fair data access, could become a template for regulating other digital “gatekeepers.” This creates a new layer of compliance and business risk for any tech firm with a significant UK market presence.
As the first company to go through this process, Google’s experience will be a crucial case study for the rest of the industry. Other tech giants will be watching closely as the CMA consults on and implements its new rules, as the outcome will likely shape the future regulatory landscape for all of them in the UK.
Ripple Effect: UK’s Google Ruling Puts Other Tech Giants on Alert
