British competition regulator objects to Google's ad tech practices

LONDON — Britain's competition watchdog on Friday issued a statement of objections over Google's ad tech practices, which the regulator provisionally found are impacting competition in the U.K.

In a statement, the Competition and Markets Authority alleged that the U.S. internet search titan "has harmed competition by using its dominance in online display advertising to favour its own ad tech services."

The "vast majority" of the U.K.'s thousands of publishers and advertisers use Google's technology in order to bid for and sell space to display ads in a market where players were spending £1.8 billion annually as of a 2019 study, according to the CMA.

The regulator added that it is also "concerned that Google is actively using its dominance in this sector to preference its own services." So-called "self-preferencing" of services by technology giants is a key concern for regulators scrutinizing these companies.

The CMA further noted that Google disadvantages ad technology competitors, preventing them from competing on a "level playing field."

"Many businesses are able to keep their digital content free or cheaper by using online advertising to generate revenue. Adverts on these websites and apps reach millions of people across the UK — assisting the buying and selling of goods and services," Juliette Enser, interim executive director of enforcement at the CMA, said in a statement Friday.

"That's why it's so important that publishers and advertisers — who enable this free content — can benefit from effective competition and get a fair deal when buying or selling digital advertising space," Enser added.

Google did not immediately respond to a CNBC request for comment.

It's not the first time the U.S. tech giant has been said to be