Google has introduced major changes to its search results in Europe to comply with European Union antitrust rules, warning that the changes will reduce search quality and increase costs for businesses.
The changes, rolled out on Tuesday, followed a €460 million ($534 million) fine imposed on Google by the European Commission in July for favouring its own services in shopping, hotels, transport and sports results. The commission gave Google 60 days to comply with the EU’s Digital Markets Act or face further penalties.
Google said the new changes represented the largest reduction in search quality in the 29-year history of its search engine.
Under the revised system, specialised search services, also known as vertical search services, will receive greater prominence in results. Services such as Expedia and Booking.com will appear more prominently for searches related to hotels, airlines and restaurants.
Google said local businesses would receive less detailed listings, while features such as real-time prices would be removed from some search results.
The company said the changes were intended by EU regulators to create a more level playing field for competing services. However, Google argued that the new system would instead favour online intermediaries at the expense of local businesses.
Nick Fox, Google’s senior vice-president for knowledge and information, said the changes would degrade the user experience for Europeans by removing features that users rely on and reducing direct visibility for businesses.
Google said previous changes made to comply with the Digital Markets Act had already resulted in a 30% decline in free direct booking traffic to European businesses.
The company said millions of European users had tested the latest changes and reported dissatisfaction, with some users needing to reformulate or repeat searches to find the information they previously accessed directly.
The latest changes apply only to users in the European Union and will not affect Google search results elsewhere.
The European Commission’s July decision found that Google had given preferential treatment to its own services over competing third-party services, violating requirements under the Digital Markets Act that gatekeepers apply fair and non-discriminatory ranking conditions.
Google has accumulated €10.38 billion ($12.05 billion) in EU antitrust penalties over nearly two decades.
The latest dispute adds to growing tensions between major US technology companies and European regulators over the bloc’s efforts to limit the market power of large digital platforms.
Google said it would continue to monitor the impact of the changes as it implements the EU-mandated adjustments across its European search service.
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Emmanuel Abara Benson is a business journalist and editor covering artificial intelligence, global markets, and emerging technology.
He has previously worked with Business Insider Africa and Nairametrics, reporting on finance, startups, and innovation.
His work focuses on AI, digital economy, and global tech trends.
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