Google revamps Search in Europe under EU antitrust rules

Alphabet rolled out major changes to Google Search in the European Union to comply with the Digital Markets Act. The overhaul follows a €460 million fine imposed by the European Commission in July for favoring Google's own services in categories such as shopping, hotels, transport, and sports. Regulators had given the company 60 days to comply or face periodic penalty payments of up to 5% of its total worldwide turnover.

Under the new format, one specialized search engine appears prominently at the top of the page, followed by two others displaying less detail. Listings for hotels, airlines, and restaurants are placed below them, with features such as real-time prices removed. Google's algorithm will determine the rankings. Nick Fox, Senior Vice President at Google, said users outside the EU will not be affected.

Google told Reuters that the adjustments mark the largest reduction in Search service quality in its 29-year history. The company stated that earlier adjustments under the DMA caused a 30% decline in free, direct booking traffic to European businesses, and it expects the latest format to amplify that impact after testing with millions of European users.

EU regulatory scrutiny extends across other units as well. In July, the EU also issued a separate €430 million fine over restrictions on app developers directing users outside Google Play, prompting an update to its external offers program. According to Reuters, total EU antitrust penalties against Google have reached €10.38 billion over nearly two decades.