Amid the widespread global economic chaos of the coronavirus era, big tech companies in Australia are now being asked to share profits with local and domestic media outlets when content created by these makers generates attention on the bigger company’s social media platforms.
Reuters reports today that the Australian government will ask Facebook and Google to set up programs in order to provide financial returns for the use of news media content that is generated by domestic producers.
That makes Australia among the first countries to try this gambit, in order to help prop up domestic players in an online media world where the lion’s share of advertising dollars often goes to these types of global platforms.
Reactions from Facebook and Google were markedly different.
Facebook, for its part, has said it’s committed to helping publishers – last week, we were reporting on Facebook’s voluntary campaign to contribute $20 million to promote local and national journalism efforts.
There’s also an established “audience network” program at Facebook, where publishers can sign up for Facebook royalties of sorts – that may be what spokespersons were talking about when they blasted the Australian government for requiring the new measures:
“We’re disappointed by the government’s announcement, especially as we’ve worked hard to meet their agreed deadline,” Facebook spokespersons said – “We’ve invested millions of dollars locally to support Australian publishers through content arrangements, partnerships and training for the industry,” Facebook Australia and New Zealand Managing Director Will Easton added via an emailed statement, as reported by Reuters.
Here’s how Facebook describes its audience network program according to internal documents:
“FB will work with Publisher to facilitate the placement of third party and/or FB advertisements or other commercial or sponsored content … on certain of Publisher’s properties, which may include Publisher’s mobile applications, as set forth in the Audience NetworkPolicy … and approved by FB in its sole discretion (‘Publisher Properties’). If applicable, FB will work with Publisher to facilitate the placement of Ads on Publisher’s articles displayed on Facebook through use of Facebook Instant Articles or Publisher’s games displayed through Facebook’s products or services through use of Facebook Instant Games, in which case such articles and/or games shall also be deemed ‘Publisher Properties’ hereunder.)”
For its part, Google simply said the following, according to Reuters:
“We have sought to work constructively with industry, the ACCC and government to develop a code of conduct, and we will continue to do so in the revised process set out by the Government today.”
Will the Aussie’s strategy make its way to other countries as coronavirus continues to impact business? We’ll see.
