BRUSSELS, Nov 26 (Reuters) - Google plans to make

adjustments to displaying search results on its platform in

Europe after some smaller rivals complained about lower traffic

to their sites following previous tweaks by the Alphabet

unit and as EU regulators probe whether the company

breached EU tech rules.

Under the EU Digital Markets Act (DMA), Google is prohibited

from favouring its products and services on its platform. The

Act kicked in last year and is aimed at reining in the power of

Big Tech.

The world's most popular internet search engine has since

then tried to address conflicting demands from price-comparison

sites, hotels, airlines and small retailers, among others. The

latter three groups said their direct booking clicks have fallen

by 30% due to recent Google changes.

"We have therefore proposed more changes to our European

search results to try to accommodate these requests, while still

meeting the goals set by the DMA," Google's legal director,

Oliver Bethell, said in a blog post on Tuesday.

Changes include introducing expanded and equally formatted

units allowing users to choose between comparison sites and

supplier websites, new formats letting rivals show prices and

pictures on their websites as well as new ad units for

comparison sites.

"We think the latest proposal is the right way to balance

the difficult trade-offs that the DMA involves," Bethell said.

For its search results in Germany, Belgium and Estonia,

Google also plans to remove the map showing the location of

hotels and the results beneath the map, similar to its old "ten

blue links" format from years ago, as part of a short test to

gauge users' interest.

"We're very reluctant to take this step, as removing helpful

features does not benefit consumers or businesses in Europe,"

Bethell said.

The European Commission said it is currently assessing

Google's compliance proposals. Google has been in the

Commission's crosshairs since March. DMA violations can cost

companies as much as 10% of their annuals global turnover.

British price comparison site and Google critic Kelkoo

rejected the proposal.

"They do not resolve the obvious preferential treatment of

Google's own CSS (Comparison Shopping Services) within the

search results, with rivals either limited to far less

favourable display (if they even appear) or forced to act as

customers of Google rather than competitors," Kelkoo Chief

Executive Richard Stables said.

The German Hotel Association said a return to blue links

as demanded by booking and comparison sites would be less

transparent and less convenient for consumers.

"For hotels, particularly independent operators and small

businesses, the return to basic blue links makes it harder to

compete. It diminishes their visibility and increases dependence

on third-party platforms that demand significant commissions,

undermining their profitability and sustainability," it said.

Lobbying group eu travel tech, whose members include

Booking.com, Amadeus, Airbnb and the Expedia Group, said Google

has yet to address its concerns and urged the Commission to

charge the company with DMA breaches.

Google "seems to be stepping away from exploring innovative

and impactful solutions that could resolve the concerns raised

by the Commission and third parties," the group said.