A regulation requiring Big Tech companies, like Alphabet Inc. (which owns Google) and Meta Platforms Inc. (Facebook), to pay media companies for the local news material that appears on their feeds is something New Zealand is planning to introduce.
Willie Jackson, the New Zealand minister of broadcasting, reportedly stated on Sunday that the regulation would be comparable to those in Canada and Australia.
From platforms like Facebook and Google, a huge number of people around the world get their news. The tech companies have a say in what news a user sees on her feed and which publications it comes from. The platforms benefit from the material created by news media organizations in terms of clicks, engagement, and money.
This is at a time when media companies are having financial difficulties, particularly if they are tiny newspapers and more and more advertising is moving online. Demands for Big Tech to “properly compensate” news media companies have been made over time and in various parts of the world.
Minister Jackson expressed his hope that the regulation would encourage internet platforms to strike agreements with regional news organisations.
According to Jackson, who was quoted by Reuters, “New Zealand news businesses, particularly small regional and community newspapers, are battling to remain financially sustainable as more advertising moves online.” It is essential that the people who gain from their news material pay for it.
Now that the legislation has been submitted, it will likely be approved by the majority-ruling party in Parliament.
Disclaimer – We have collected this information from various trustworthy sources on the Internet, and the facts have been checked manually and verified by our In House team.
