Facebook Google to pay for news: On Friday Australian competition and consumer commission released a mandatory code of conduct that aimed to make the tech giants pay for reusing news content by Australian media houses. Australia has become the first country to draft such a law to level the playing field. Josh Frydenber, Australian treasurer said, “We want the rules in the digital world to reflect the rules in the physical world.
We want to ensure consumer protection is enhanced, competition is increased and of course, we deliver a sustainable media environment for all Australians for the future. Nothing less than the future of the Australian media landscape is at stake.”
Alphabet the parent company of Google reported their first revenue decline in history meanwhile facebook reported an 11% climb in revenues. Google made a statement that they were deeply disappointed and concerned by this announcement. There are also reports available on Google avoiding such payments for reusing news content.
GoogleNews is an inactive application that Google used to avoid the payment to news agencies in Brazil. Previously, France has also asked Google to pay for reusing news articles of their media companies.
Facebook Google to pay for news According to reports, this norm will be further discussed in the parliament of Australia for a month. The media house and the tech companies will have 3 months to make a deal or the government will assign arbitraries for the purpose after the approval of this norm. they will come up with the most reasonable offer within 45 business days.
“The Code discounts the already significant value Google provides to news publishers across the board — including sending billions of clicks to Australian news publishers for free every year worth $218 million.
It sends a concerning message to businesses and investors that the Australian Government will intervene instead of letting the market work, and undermines Australia’s ambition to become a leading digital economy by 2030,” said Mel Silva, managing director of Google Australia and New Zealand. This event occurred right after the house of representatives summoned tech billionaire CEOs of Apple, Amazon, Google, and Facebook.