Google Proposes New Search Changes Ahead Of EU Antitrust Showdown

Google, a tech giant owned by Alphabet Inc. (GOOGL) (GOOG), has reportedly put forward fresh adjustments to how it displays search results. 

According to a Reuters report, this move comes just days before a crucial meeting with European rivals and regulators aimed at addressing accusations that it unfairly promotes its own services.

Alphabet stock was trading 1.3% higher in the afternoon on Wednesday after the news.

According to the report, Google has introduced a new proposal, labeled "Option B" in a document circulated among the European Commission and relevant stakeholders. The plan involves placing a vertical search service (VSS) section at the top of its results page, featuring links to niche search platforms for areas like travel, dining, lodging, and transportation. 

Below this section, the company plans to add a second box that highlights unpaid links to direct providers in these categories, with Google managing the display of content from these suppliers.

The tech behemoth argues that this format balances giving suppliers visibility while avoiding the impression that Google itself is favoring a specific vertical search box. 

The move comes after the European Union (EU) charged Google with breaching antitrust rules by prioritizing its own platforms like Google Shopping, Hotels, and Flights over competing services in March.

These charges fall under the Digital Markets Act (DMA), a sweeping EU regulation designed to limit the dominance of major tech companies and foster fairer competition and consumer choice.

Failure to comply could lead to penalties of up to 10% of a firm’s global annual revenue.

Google will present and discuss the new proposal during a workshop scheduled for July 7-8 in Brussels, where European Commission officials and competitors will weigh in. 

In a similar move, Apple Inc. (NASDAQ: AAPL) is said to be preparing additional adjustments to its App Store rules in an effort to stave off intensifying regulatory pressure from the EU.

Alphabet stock has lost over 5% year-to-date and over 3% in the last 12 months.

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