Google’s Mobile Ecosystem Faces CMA Investigation Over App Distribution and Browser Control

UK Competition Authority Probes Google’s Mobile Ecosystem

The UK’s Competition and Markets Authority (CMA) has launched a formal investigation into Google’s mobile ecosystem, raising questions about the tech giant’s dominance in mobile operating systems, app distribution, and web browsers.

Announced on 23 January 2025, the investigation will assess whether Google should be designated as having Strategic Market Status (SMS) in its mobile-related services. This public consultation, open until 12 February 2025, could lead to new regulations affecting how Google operates in the UK.

Focus of the Investigation: Android, Play Store, and Chrome

The CMA’s investigation centres on three key components of Google’s mobile ecosystem:

1. Mobile Operating System (Android):
   As the world’s most widely used mobile operating system, Android powers billions of devices globally. While Android is technically open-source, Google’s control over critical services and updates has raised concerns about competition. The CMA will examine whether this dominance restricts rival operating systems or device manufacturers from competing effectively.
2. Native App Distribution (Google Play Store):
   Google’s Play Store is the primary gateway for Android users to download apps. The investigation will focus on whether Google’s policies—such as its rules on third-party app stores, sideloading, and pre-installed apps—create barriers for app developers and limit consumer choice. The CMA aims to determine if Google’s control over app distribution stifles competition from other app stores.
3. Mobile Browser and Browser Engine (Chrome and Blink):
   Chrome, along with its Blink browser engine, dominates mobile browsing on Android devices. The CMA will investigate whether Google’s practices limit competition from alternative browsers, especially when Chrome comes pre-installed as the default option. This aspect of the probe will explore how Google’s browser ecosystem impacts both developers and users.

The CMA’s objective is to understand if Google’s practices harm competition by favouring its own products, creating unfair advantages, or limiting consumer options.

SMS investigation into Google’s mobile ecosystem

The CMA is investigating whether to designate Google as having strategic market status (SMS) in the provision of mobile ecosystem services including its mobile operating system, native app distribution platform and mobile browser and browser engine.

GOV.UKCompetition and Markets Authority

What Strategic Market Status Could Mean for Google

The Strategic Market Status (SMS) designation is part of the UK’s framework to regulate large digital firms with entrenched market power.

If the CMA concludes that Google holds SMS in its mobile ecosystem, the company could face new conduct requirements designed to promote fair competition.

These potential obligations might include:

• Allowing greater flexibility for third-party app stores and browsers
• Reducing restrictions on sideloading apps outside the Play Store
• Ensuring fair treatment for rival apps and services on Android devices

Such measures could impact how Google negotiates with app developers, manufacturers, and advertisers in the UK. Importantly, SMS regulations aim to prevent companies from abusing dominant positions without stifling innovation.

The CMA’s consultation process encourages input from stakeholders, including app developers, mobile manufacturers, competitors, and the public. This feedback will help shape the final decision on whether Google’s mobile ecosystem requires regulatory intervention.

CMA to investigate Apple and Google’s mobile ecosystems

Investigations will determine if Apple and Google have strategic market status in their mobile ecosystems, including operating systems, app stores and mobile browsers.

GOV.UKCompetition and Markets Authority