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Australia Passes Law Forcing Google and Facebook to Pay Local Media

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The Australian government passed a law that requires Facebook and Google to pay local media to use their content. The legislation is a first of its kind and has captured the world’s interest.

According to news agencies, Australian Treasury Minister Josh Frydenberg says the legal text “will ensure that media outlets receive fair remuneration for the content they generate. This will help to maintain public interest journalism in Australia.”

Prior to the approval Google had already accepted a deal to “pay significant sums” in exchange for content from Rupert Murdoch’s News Corp. press group, favorable to the new law. While Facebook, after a news blockade in that country, agreed to comply with the law provided that a series of amendments were made.

Australia, a role model?

The document could serve as a model for resolving conflicts between global regulators and technology giants and thus balance the relationship between the two in advertising matters.

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The European Union, Canada and other countries are also hoping to regulate the sector. “There is no doubt that the country is leading a battle for the whole planet,” Australian Finance Minister Josh Frydenberg said on Tuesday.