Google has committed to taking further steps to address the issue of fake reviews on its platform, including sanctions against UK businesses and individuals manipulating star ratings, according to a statement from Britain’s competition watchdog, the Competition and Markets Authority (CMA), on Friday. This follows an extensive investigation into the matter, which started in 2021.
Google to Crack Down on Fake Reviews in the UK, Says Competition Regulator
As part of its efforts, the U.S. tech giant will add warning labels on the profiles of UK businesses found to have used fake reviews to inflate their ratings. The CMA emphasized that this initiative would help boost consumer trust in online reviews, which are increasingly used to guide purchasing decisions.
The investigation, which was launched in response to concerns that both Amazon and Google were failing to adequately address the growing problem of fake reviews, has seen some progress, although the CMA noted that its inquiry into Amazon is still ongoing. The authority cited the influence of online reviews on UK consumer spending, estimating that up to £23 billion ($29 billion) in annual expenditure could be impacted by these reviews. In fact, 89% of consumers rely on online reviews when researching products or services, per the regulator.
Related: UK Watchdog Targets Google’s Search Monopoly in First Major Digital Rules Probe
CMA chief executive Sarah Cardell remarked, “The changes we’ve secured from Google ensure robust processes are in place, so people can have confidence in reviews and make the best possible choices.” She also added that this initiative is essential for fairness—both for businesses and consumers—and urged the broader sector to take note of these actions.
In response, a Google spokesperson explained that the company’s ongoing collaboration with regulators, including the CMA, is part of its broader efforts to “fight fake content and bad actors.” This action is part of a series of measures as the company works to maintain integrity on its platform. Additionally, from April, the CMA will gain new powers to decide on consumer law violations independently, without having to take cases to court.
The CMA has been intensifying its scrutiny of major tech companies, recently launching investigations into Google’s search services and the mobile ecosystems of both Apple and Google. However, the appointment of a former Amazon executive as the head of the CMA has raised concerns among competition lawyers and industry experts, with some viewing it as a signal of potential conflicts in the regulator’s approach to overseeing big tech.
Source: Reuters