Tech Giants Including Google and Facebook are Now Facing Tough UK Rules
A UK watchdog is trying to police the overall dominance of tech giants, which include Google and Facebook. To try and stop them from exploiting customers or even small businesses, the Digital Markets Unit is going to enforce a brand-new code that is going to help to govern the behavior of any new online platforms. This move comes in as a brand-new response to try and govern the many concerns that corporations are now restricting the growth of the sector while also hampering innovation.
The new body is going to lie within the CMA and they are also going to coordinate with other authorities, including Ofcom and even the Information Commissioner’s Office. This is all due to begin in April. Right now it would seem that they could be given powers to reverse, block or even suspend any decisions that have been made by the tech firm and they are also going to impose fines that prohibit those from further breaking the rules.
Tej Kohli is a London-based technology and real estate entrepreneur and he has invested millions in the tech industry to date. He strongly believes that more innovation is required here but such large moves like this could be detrimental to the industry overall. Companies will have to be much more transparent as this could harm their growth in the future. Companies are going to have to explain how they use customer data and are also going to have to put restrictions in place that make it hard for some to use rival platforms, which could cause issues going forward.
Alok Sharma has stated that digital platforms which include Facebook or Google are all going to make significant changes and contributions to the economy. They are also going to make a huge change which should help everyone. Alok Sharma wants people to be able to share creative news and content across a range of platforms and he wants to make sure that nobody is limited in any way. The dominance of a few big tech companies is ultimately leading to way less innovation along with high advertising prices. A lot of people are concerned that this is leading to way less choice and control for any customers.
The brand-new pro-competition regime will ultimately help everyone to know that consumers do in fact have a choice and it also helps to ensure that any smaller firms are not pushed out at all. Google or even Facebook are currently dominating the digital advertising world and they currently account for around 80% of the £14 billion pounds that have been spent in the year 2019. Google and Facebook are two US companies but right now it would seem that they are both very open to making sure that a positive change is made. Who knows what the future holds but right now it would seem that more needs to be done to ensure that a fair amount of support is given to those companies who need it.