Google has launched a strong critique of the European Union’s Digital Markets Act (DMA), warning that the landmark legislation is stifling innovation, disrupting digital services, and increasing costs for European consumers and businesses.
The comments were made during a European Commission workshop in Brussels aimed at evaluating the implementation of the regulation.
The workshop, which brought together EU officials, industry representatives, and critics of Big Tech, saw Google take a notably defensive stance. The company argued that its compliance with the DMA—designed to curb the market dominance of major platforms—has produced unintended adverse effects for users and smaller businesses across Europe.
Speaking on behalf of Alphabet Inc.’s Google division, legal counsel Clare Kelly said: “We remain genuinely concerned about real-world consequences of the DMA, which are leading to worse online products and experiences for Europeans.” Kelly cited examples from the travel and hospitality sectors, claiming that adjustments made in response to regulatory demands have negatively affected user convenience and business performance.
Specifically, Kelly pointed to user frustration and increased costs in the travel booking process. According to her remarks, European users are now paying more for travel services due to reduced visibility of direct airline booking links in Google Search. “Users have complained about clunky workarounds, and in some cases, prices are higher as they cannot directly access airline sites,” she said.
Industry feedback provided by Google suggests that European airlines, hotels and restaurants have seen up to a 30% reduction in direct booking traffic since the changes were implemented. The decline, the company argues, is a consequence of reforms that limit Google’s ability to prominently display its own services—such as Google Flights, Hotels, and Shopping—on search results pages.
The Digital Markets Act, which came into force in March 2024, aims to ensure a level playing field between dominant digital platforms and smaller competitors. It includes strict rules for so-called “gatekeepers”, defined as firms with a significant impact on the internal market. Under the DMA, Google is prohibited from giving preferential treatment to its own services. Non-compliance could lead to fines of up to 10% of global annual turnover.
Google’s second legal representative, Oliver Bethell, used the workshop to press the Commission for more specific compliance guidance. “If we can understand precisely what compliance looks like—not just in theory, but taking account of on-the-ground experience—we can launch compliant services quickly and confidently across the EEA,” he said, referring to the European Economic Area, which includes all EU Member States along with Iceland, Liechtenstein and Norway.
Bethell further challenged critics of the company to produce quantifiable evidence of the DMA’s net benefits. “We need help identifying the areas where we should focus. That means bringing real evidence of costs and benefits that we can take account of with the Commission,” he added.
The company’s remarks signal growing tensions between EU regulators and dominant technology firms over the pace and scope of enforcement. Earlier this month, Google proposed additional changes to its search engine interface to enhance visibility of rival services, following concerns that previous modifications did not go far enough to satisfy the Commission’s requirements. However, stakeholders representing smaller tech firms and consumer groups maintain that Google’s adjustments remain insufficient to secure genuine competition.
Brussels officials have so far refrained from issuing a final determination in relation to Google’s compliance status, but the stakes remain high. A formal finding of infringement under the DMA could trigger substantial financial penalties and binding operational reforms.
EU officials present at the workshop declined to comment directly on Google’s claims but reiterated the Commission’s position that dominant platforms must not distort digital markets or restrict consumer choice. A Commission spokesperson stated that the DMA is designed “to open up opportunities for innovation, not to restrict it”.
The European Commission is expected to deliver a progress report on DMA enforcement in the autumn.
