Australia is moving to increase the number of local media organisations that major technology companies must pay for using their news content, as the government seeks to direct more digital advertising revenue towards domestic journalism.
The changes to Australia’s media licensing laws are expected to be introduced in parliament on Thursday.
Under the revised proposal, major digital platforms will have to reach payment agreements with at least eight Australian media companies, up from six under an earlier draft.
The government also plans to ensure smaller and diverse media organisations benefit from the scheme, which is designed to share some of the advertising revenue generated by digital platforms through users’ engagement with news content.
The revised law will also direct 5% of the money raised under the scheme to Australian Associated Press (AAP), the country’s national newswire, which now operates as a non-profit organisation.
Communications Minister Anika Wells said the changes were aimed at reflecting the different ways Australians access news while giving smaller media organisations greater support.
“People access news in different ways and from different sources,” Wells said, adding that the distribution changes were designed to better support smaller and diverse media organisations.
Under the revised rules, no single agreement can account for more than 25% of a platform’s levy liability as the government has also restored a limit on individual deals between technology companies and news organisations.
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The levy is set at the equivalent of 2.5% of a technology company’s Australian advertising revenue, although the amount owed can be reduced by the value of deals struck with local media organisations.
The legislation is part of Australia’s renewed effort to make large technology companies contribute more towards the news industry.
Australia introduced its original media bargaining law in 2021, requiring Google and Meta, the owner of Facebook, to negotiate payment agreements with news organisations.
The framework led to several commercial agreements between technology companies and Australian publishers; however, the government began reviewing the system after Meta announced plans to stop paying for news content in Australia and some other markets.
The government said the inclusion of AAP recognises the important role the newswire plays in supplying news reports, photographs and video to media organisations across Australia.
About the Author
Cecilia Attah is a tech analyst with a degree from Benue State University. She covers tech news and startups at TechRegard with a focus on how technology is transforming Africa and shaping the global landscape.
