After a face-off between the Australian government and Facebook, in an outcome that has global import, Big Tech will begin paying for using news content from traditional Australian media.
After speaking to Facebook founder and CEO Mark Zuckerberg six times in 36 hours and what the BBC called “robust negotiations,” on Feb. 23 Australian Treasurer Josh Frydenberg hailed the resolution to the internationally high-profile dispute with the precedent-setting outcome. “Australia’s move to put in place a world-leading mandatory code has seen us become a proxy in the battle that involves the rest of the world,” he said with a sense of triumph.
In 2017, Australia’s competition regulator recommended a voluntary code with the aim to redress the negotiating imbalance between the world’s major digital platforms and local media businesses. Acting on its recommendations, in 2019 the government asked media companies to come to an agreement on a voluntary code.