The UK's Competition & Markets Authority (CMA) on Friday designated Alphabet's Google with 'strategic market status', formally concluding that the tech giant holds "substantial and entrenched market power" in general search and search advertising. This decision, stemming from an investigation initiated in January 2025 under the UK's new digital market competition regime, enables the regulator to consider 'proportionate, targeted interventions' to foster a more competitive market. The CMA noted that over 90% of searches in the UK occur on Google's platform. While the designation itself does not imply wrongdoing, it sets the stage for the CMA to consult on potential remedies later in the year. In response to the announcement, Class C shares of Alphabet saw a modest decline of 0.2% in pre-market trading in New York.