UK launches probe against Google

UK launches probe against Google

Competition authority to probe if Google's Privacy Sandbox violates competition laws

The United Kingdom's Competition and Markets Authority (CMA) has initiated a probe into allegations that Google intends to monopolise web advertising by removing the third-party cookies on its browser Chrome. The investigation was initiated on 8 January after complaints poured in that Goole was in the process of removing third party cookies and replacing them with its own tools.

Google had announced in August 2019 the Privacy Sandbox project aimed to overcome cross-site tracking, which is third parties collecting users' browsing date by following them from one site to another and monetizing on the data thus collected to offer personalized services.

Google had announced that the Sandbox project was meant to develop web standards by removing third party cookies to create a secure environment that will protect the users' privacy.

The CMA probe centres around the question if the Google proposals can potentially distort or kill competition under Chapter II of the UK Competition Act, 1998.

The CMA had in the past expressed its reservations regarding digital advertising due to its potential to hit revenue generation of traditional publishers.

The CMA had been holding discussions with various stakeholders including Google and Information Commissioner's Office to dissect Google's Privacy Sandbox proposal to determine how it might breach the existing competition law. The investigation was finally launched last week after it was inundated with complaints, including from Marketers for an Open Web, which is a common platform of newspaper publishers and technology companies. They had expressed their concern that Google was in the process of abusing its dominant position to kill all competition and deprive them of their revenue share.

The CMA said that it has not reached to any conclusion so far on if Google infringed on competition law.

Google's Privacy Sandbox project might not directly impact the users as their experience while browsing on the internet would remain the same, except that how might to tracking their browsing pattern to cash on and attract the advertisers to reach out to the potential customers.