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Google offers new search result changes to avoid looming EU antitrust fine

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Google has submitted a fresh set of proposals to the European Commission in an effort to avoid a major antitrust fine, pledging to further modify how its search results display competing services such as Google Shopping, Hotels, and Flights.

According to a document seen by Reuters, Google’s latest offer builds on a July proposal that faced pushback from vertical search services (VSS) — specialized search engines focused on areas like travel, hotels, and restaurants — as well as price comparison sites. These rivals argued Google’s previous plans still favoured its own services.

The new proposal is part of an investigation under the Digital Markets Act (DMA), a sweeping EU law aimed at curbing Big Tech dominance, promoting competition, and offering users more choice.

In the updated framework, Google said it will allow third-party search services to display their own dedicated boxes on search results pages, similar in format to those used for Google’s own services. Each “VSS box” will contain inventory and results directly from the third-party platform, selected through objective, non-discriminatory criteria.

Suppliers — such as hotels, airlines, or restaurants — would appear in boxes placed either above or below depending on query relevance, the company explained. Google also said it would not share competitors’ data with other parties, a key concern among rivals.

While expressing a desire to resolve the EU probe, Google warned that excessive changes could benefit intermediaries at the expense of European businesses selling directly to consumers. “We remain concerned that further changes could prioritise the commercial interests of a small set of intermediaries,” a company spokesperson said.

Meta Unlikely to Further Change Pay-or-Consent Model, Faces Imminent EU Fines: Sources

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Meta Platforms is expected to maintain its current pay-or-consent model without further adjustments, making it nearly certain to face new antitrust charges and significant daily fines from the European Union, according to sources with direct knowledge of the situation.

The European Commission recently warned Meta that limited tweaks to the model would not satisfy the Digital Markets Act (DMA), which aims to limit Big Tech’s market power through strict regulations. Meta was already fined €200 million ($234 million) in April for breaching the DMA with its pay-or-consent approach from November 2023 to November 2024.

Although Meta modified the model in November 2024 to reduce the use of personal data for targeted ads, the EU remains unsatisfied. Sources indicated that unless circumstances change, Meta will not propose further revisions, prompting expected new charges and daily fines that could reach up to 5% of the company’s average daily global revenue, starting from June 27. The final decision on fines has yet to be finalized.

Following the Reuters report, Meta’s shares dropped 1.7% mid-session. Meta declined to comment on the latest developments but reiterated previous statements asserting its compliance with the DMA, highlighting the broad choices offered to European users and accusing the Commission of unfairly targeting its business model.

US-South Korea Trade Talks Focus on Big Tech Regulation, Agriculture, and Strategic Cooperation

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The United States and South Korea continue negotiations aimed at resolving trade issues, including tariffs, digital services regulation, agriculture, and strategic investments. South Korea is seeking to extend a 90-day pause on 25% U.S. tariffs set to expire on July 9 as talks progress.

Key Issues in the Negotiations:

1. Digital Services and Big Tech Regulation

  • South Korea is advancing legislative proposals to regulate major tech companies like Google, Apple, Facebook, and local firms Naver and Kakao, aiming to curb market dominance and protect smaller businesses.

  • U.S. lawmakers have expressed concern that South Korea’s laws mirror the EU’s Digital Markets Act and unfairly target American tech firms while exempting Chinese giants such as ByteDance and Alibaba.

  • The ruling Democratic Party in South Korea is reportedly slowing down antitrust legislation to balance trade sensitivities.

2. Content Providers and Data Restrictions

  • South Korea requires content providers like Netflix to pay network usage fees.

  • Restrictions on exporting location-based data by Google and other providers are a sticking point, linked to national security concerns related to North Korea.

  • South Korea plans to rule on Google’s renewed request to use detailed mapping data outside the country by August 11.

3. Agriculture Access and Market Sensitivities

  • The U.S. seeks greater access to South Korea’s agriculture sector, particularly beef, apples, and potatoes.

  • South Korea restricts imports of beef from animals older than 30 months over mad cow disease concerns.

  • Although tariffs on beef will drop to zero by 2026 under a 2007 pact, farmers remain concerned about further market liberalization.

  • South Korea’s heavy tariff on rice imports (over 500%) has not been raised recently in talks.

4. Defense Costs and Foreign Exchange Policies

  • Discussions on foreign exchange policy and cost-sharing for approximately 28,500 U.S. troops stationed in South Korea are ongoing but handled separately from trade talks.

5. Industrial Cooperation and Investments

  • Both sides emphasize industrial cooperation, particularly in shipbuilding, as a way to revitalize U.S. manufacturing and reduce trade deficits.

  • South Korea is noted as a leader in AI, semiconductors, chips, batteries, and automotive industries.

6. Alaska LNG Project

  • South Korea is cautiously considering energy purchases linked to the $44 billion Alaska LNG project, awaiting more technical details from the U.S. later this year.