Google, FB near deals to pay for news
SYDNEY: Google and Facebook are “very close” to deals with major Australian media to pay for news, a top government official said Monday, as the tech giants scramble to avoid landmark regulation.
Australian treasurer Josh Frydenberg said talks with Facebook CEO Mark Zuckerberg and Google CEO Sundar Pichai had made “great progress” in resolving a standoff being closely watched around the world.
Australia is poised to adopt legislation that would force digital companies to pay for news content, something that would create a global precedent and, according to Facebook and Google, wreck the way the internet works. The companies have threatened to partially withdraw services from the country if the rules become law, sparking a war of words with Canberra.
But that disagreement appeared to ease Monday, with Frydenberg telling public broadcaster ABC that talks with the companies “made great progress over the course of the weekend”.
Google and Facebook are “very close” to deals with major Australian media to pay for journalism, a top government official said on Monday, as the tech giants scramble to avoid landmark regulation that would force them to pay for news.
Australian Treasurer Josh Frydenberg said talks with Facebook CEO Mark Zuckerberg and Google CEO Sundar Pichai had made “great progress” in resolving a standoff being closely watched around the world.
Seven West Media, meanwhile, became the largest Australian news media business to strike a deal with Google to pay for journalism in a partnership announced on Monday.
Google and the publicly listed broadcast television, print and online publishing company jointly announced they had agreed on a “long-term partnership” after weekend discussions Australian government ministers had with Zuckerberg and Pichai.
Kerry Stokes, chairman of Seven West Media, which owns 21 publications, thanked the government and the Australian competition regulator for their proposed law that the parliament will consider on Tuesday.
“Their outstanding leadership on the implementation of the proposed news media bargaining code has resulted in us being able to conclude negotiations that result in fair payment and ensure our digital future,” Stokes said in a statement.
“The negotiations with Google recognise the value of quality and original journalism throughout the country and, in particular, in regional areas,” Stokes added.
The deal with Seven West Media was struck under Google’s own model, News Showcase. Google has reached pay deals with more than 450 publications globally since News Showcase was launched in October.
Google announced two weeks ago that it had begun paying seven far smaller Australian websites under News Showcase.
The companies had earlier threatened to partially withdraw services from the country if the rules become law, sparking a war of words.
But on Monday, Frydenberg told public broadcaster ABC, “I think we’re very close to some very significant commercial deals, and in doing so that will transform the domestic media landscape.”