Australia Weighs Legal Action to Enforce Meta's Compliance with Media Bargaining Code

Australian government considers enforcing Media Bargaining Code, requiring tech giants like Meta to pay news companies for content shared on their platforms. Meta halted payments to Australian news publishers in March, prompting calls for accountability and fair compensation.

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Nitish Verma
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Australia Weighs Legal Action to Enforce Meta's Compliance with Media Bargaining Code

Australia Weighs Legal Action to Enforce Meta's Compliance with Media Bargaining Code

The Australian government is considering enforcing the 2021 Media Bargaining Code, which mandates that tech giants like Meta pay news companies for content shared on their platforms. This move follows Meta's decision to halt payments to Australian news publishers in March.

Michael Miller, Executive Chairman of News Corp Australasia, has been vocal in urging the government to ensure Meta complies with the code. Miller emphasized the importance of journalism in a democracy, stating, "Media may be a business, but remember, journalism is vital to democracy. It ensures that citizens are informed, engaged, and capable of holding their leaders to account."

The Media Bargaining Code was introduced in 2021 to address the imbalance in bargaining power between tech giants and news companies. The code requires platforms like Meta and Google to negotiate payment deals with news publishers for the use of their content. However, Meta's decision to stop payments has raised concerns about the sustainability of Australian journalism.

Miller has proposed a regulatory framework that would hold tech companies accountable for the content on their platforms. This includes making companies liable for all content, implementing competition laws for digital advertising, and improving the handling of consumer complaints. He also suggested that companies should contribute to mental health programs and face penalties, including being barred from the Australian market, if they do not comply.

The outcome of this debate could have significant implications for the future of journalism in Australia and the relationship between tech giants and news publishers. The government's next steps remain focused on ensuring that news companies are fairly compensated for their content and that social media platforms are held accountable for their impact on society.

The Australian Competition and Consumer Commission (ACCC) has ruled that Meta is an unavoidable trading partner for media companies. This designation is vital as it highlights the significant role Meta plays in the dissemination of news and the advertising revenue it generates. Miller insists that Meta has an obligation to renew agreements and honor Australian laws, stating, "We had a deal - and they walked away. I believe they have an obligation to renew the agreements, and honour our laws."

The debate over Meta's compliance with the Media Bargaining Code comes amid broader concerns about the impact of social media on mental health and the spread of misinformation. Miller highlighted these issues, arguing that social media platforms profit from harmful content, including violence, harassment, and bullying. He stated, "On social media, bad behaviour is good for business."

The Australian government is planning a major Joint Parliamentary Select Committee to investigate the effects of social media on mental health and the spread of misinformation. Communications Minister Michelle Rowland has called for more transparency and accountability across the social media sector.

The outcome of this debate could have significant implications for the future of journalism in Australia and the relationship between tech giants and news publishers. The government's next steps remain focused on ensuring that news companies are fairly compensated for their content and that social media platforms are held accountable for their impact on society.

Key Takeaways

  • Australia considers enforcing Media Bargaining Code, requiring tech giants to pay for news content.
  • Meta halted payments to Australian news publishers in March, sparking concerns for journalism's sustainability.
  • News Corp's Michael Miller proposes regulatory framework to hold tech companies accountable for content.
  • Australian government plans to investigate social media's impact on mental health and misinformation.
  • Outcome could significantly impact journalism in Australia and tech giants' relationships with news publishers.