New Zealand to make tech platforms pay for news content

New Zealand’s conservative coalition government announced Tuesday it plans to introduce a bill that would require digital technology platforms to compensate media companies for news content. The initiative aims to address the financial problems local media face as they compete for advertising revenue with tech giants, according to Reuters report.

The Fair Digital News Bargaining Bill, originally introduced by the previous Labor government last year, is set to be introduced to parliament with amendments aimed at strengthening the ability of local media to generate revenue from the news they produce. Communications Minister Paul Goldsmith has highlighted the importance of the bill in supporting New Zealand’s media landscape.

“The amendments to the Bill will bring it more closely into line with Australian Digital Negotiations Law, ensuring that our local media companies can earn a fair revenue for the news they report,” Goldsmith said. Reuters reported.

Australia’s Digital Negotiations Act, which came into effect in March 2021, empowers the government to force internet companies like Facebook-owned Meta Platforms and Alphabet Inc.’s Google to negotiate payment agreements with media outlets if voluntary negotiations fail. This regulatory framework set a precedent that New Zealand hopes to emulate as it seeks to create a more equitable environment for its news media sector.

New Zealand media companies face competition from big technology companies for advertising dollars, which significantly impacts their ability to maintain high-quality news programming.

Source: Reuters