UK to study internet giants’ market power

The British government is launching a study of internet giants’ dominance in areas like digital advertising, a move that could potentially lead to tougher restrictions for companies like Facebook and Google.

The UK Competition and Markets Authority (CMA) said on Wednesday that the probe is aimed at shedding light on opaque internet business models.

“Much about these fast-changing markets is a closed book to most people,” CMA Chairman Andrew Tyrie said in a statement. “The work we do will open them up to greater scrutiny, and should give Parliament and the public a better grip on what global online platforms are doing.”

The study will focus on three areas: competition between internet platforms, how they collect and use data from consumers and competition for digital ad revenue.

The regulator also invited public comment on the issues to be submitted by July 30.

The move comes as other European countries and the EU are scrutinizing internet giants over their market dominance and handling of user data.