Australia’s proposed news media Cyprus Phone Number bargaining code hopes to restore some of the money lost to advertising in the country’s regional media markets, but Google says the new law could force them out of the country entirely. Is either side right? Can common ground found?
Learn more about the standoff between Cyprus Phone Number Australia and Big Tech, and what implications it may have on digital marketing around the globe.
Shots Fired: How the Australian Government Provoked Google’s Ire
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How did Google and Facebook respond?
Google had threatened to leave Australia if the media bargaining code became law, but has since reached a deal with one of Australia’s largest news media businesses—Seven West Media—to pay for their journalism. In fact, Google has negotiated pay deals with over 450 publications around the world since October 2020, when they announced News Showcase—a USD 1 billion investment in partnerships with news publishers. On the platform, News Showcase is a tab within Google News that showcases licensed content from official partners.
The deal Google reached with Seven West Media was part of News Showcase, not Australia’s media bargaining code. While the largest deal Google has reached with an Australian media company, it wasn’t the first. They’ve reached deals with seven other smaller online publishers under News Showcase.
But where is the money going?
According to a report from The Guardian, the code is expected to see technical changes, particularly to address that question.
In the meantime, Google may already be investing in online journalism publishers, but the fight over Australia’s proposed law is only just beginning. Google is cautious that Australia’s actions could set a precedent for the rest of the world, and for good reason. In fact, Canada and the European Union have already endorsed similar measures.
Mel Silva, managing director of Google Australia, said during a parliamentary hearing that restricted linking would jeopardise the very foundation of online search engines. “The principle of unrestricted linking between websites is fundamental to search,” she said. “This code creates an unreasonable and unmanageable financial and operational risk to our business.”