According to Nielsen//NetRatings, Google has more than twice the market share of its nearest rival, MSN Search, with a unique audience of 55.6m and 47.3% reach, compared with MSN's 27.2m.
Google has enjoyed several years at the top of the search market and was widely reported to be preparing a partial flotation earlier this year.
However, with Yahoo! and MSN both developing their own search offerings to make the most of growing revenues from paid-for search listings, Google is facing serious competition for the first time.
At present Yahoo! continues to lag behind in Europe and comes in at number three on the list with 12.7m unique users, but with an improved search service on offer that situation could change.
Tom Ewing, European market analyst, said: "Google's dominance may appear unshakeable but with some of the biggest brands on the internet developing rival search technologies, the next 18 months will prove crucial for this sector."
Top 10 Search Channels in Europe - January 2004
1 Google
2 MSN Search
3 Yahoo! Search
4 Google Image Search
5 AOL Search
6 Virgilio Ricerca
7 T-Online Suche
8 Voila Search
9 Lycos Europe Search
10 Microsoft Search
Source: Nielsen//NetRatings
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