Google Revamps EU Search Results to Meet DMA Rules

Alphabet’s Google has introduced major changes to its search results in Europe as it seeks to comply with European Union antitrust rules under the Digital Markets Act (DMA).

Google said Tuesday that the overhaul represents the biggest reduction in its search service quality during its 29-year history. The company argues that the EU-mandated changes will make searching less convenient for European users while increasing costs and reducing direct traffic for local businesses.

EU regulators say the measures are intended to create fairer competition by giving rival services greater visibility on Google Search. Under the revamped system, vertical search services (VSS), including price comparison platforms covering hotels, flights and restaurants, will receive more prominent placement.

Google said platforms such as Expedia and Booking.com could benefit at the expense of individual hotels, airlines, restaurants and other businesses whose websites, phone numbers and addresses previously appeared more directly in search results.

The changes follow a €460 million ($534 million) EU fine imposed on Google in July for allegedly favoring its own shopping, hotel, transport and sports services. Regulators gave the technology giant 60 days to comply with the DMA or potentially face recurring penalties of up to 5% of its worldwide turnover.

Under the new format, Google will display one specialized search service prominently at the top of results, followed by two others offering less information. Carousels featuring hotels, airlines and restaurants will appear further down the page, while useful features such as real-time pricing will be removed. Rankings will continue to be determined by Google's algorithm.

Google Senior Vice President Nick Fox said the changes would benefit online intermediaries while hurting local businesses and removing features European consumers regularly use. Search users outside the EU will not be affected.

Google also said previous DMA-related adjustments caused a 30% decline in free direct booking traffic to European businesses. Tests involving millions of European users reportedly showed significant dissatisfaction with the latest changes.

The company has faced €10.38 billion in EU antitrust penalties over nearly two decades. Separately, Google received another €430 million fine in July over restrictions involving app developers and alternative purchasing channels.

The EU penalties have also drawn criticism from U.S. President Donald Trump, who has threatened an investigation into the bloc's treatment of American technology companies.