Facebook to block news on Australian sites after new law, riling lawmakers

By Byron Kaye and Jonathan Barrett

 

FILE PHOTO: A Facebook logo is pictured on an Apple's Ipad in Bordeaux, southwestern France, March 10, 2016. REUTERS/Regis Duvignau

 

SYDNEY (Reuters) - Facebook Inc on Tuesday said it would stop Australians sharing news content on its platforms if a proposal to make it pay local media outlets for their content becomes law, further escalating tension with the Australian government.

 

Under Australia's closely watched internet reforms, the country will become the first to make the social media behemoth and Alphabet Inc's <GOOGL.O> Google pay for news sourced from local providers under a royalty-style system.

 

Facebook's plan to block the sharing of news on Australian user accounts, rather than pay royalties, puts the firm broadly in step with Google on the matter and pushes the prospect of an agreement with the government further out of reach.

 

"Assuming this draft code becomes law, we will reluctantly stop allowing publishers and people in Australia from sharing local and international news on Facebook and Instagram," Facebook Australia Managing Director Will Easton said in a blog post, referring to two Facebook-owned platforms.

 

"This is not our first choice - it is our last. It is the only way to protect against an outcome that defies logic and will hurt, not help, the long-term vibrancy of Australia's news and media sector".

 

Australian Treasurer Josh Frydenberg hit back, saying the proposed law was in the national interest, followed 18 months of public inquiry and would create a more sustainable local media industry where original content was paid for.

 

"We don't respond to coercion or heavy handed threats wherever they come from," Frydenberg said in an email to Reuters' request for comment.

 

Bridget Fair, chief executive of Free TV Australia, a lobby group for free-to-air broadcasters, said Facebook's plan amounted to "bullying" and that the U.S. firm would "say and do anything to avoid making a fair payment for news content".

 

"Australian Facebook users are being held to ransom as a tactic to intimidate the Australian government into backing down on this issue," she said in a statement.

 

The proposed law was "the only reasonable way to even up the bargaining power between Facebook, Google and Australian News Media Businesses," Fair said.

 

Facebook's Easton in his blog post called the proposed law "unprecedented in its reach", and said the company could either remove news entirely or agree to pay publishers for as much content as they wanted at a price with no clear limits.

 

"Unfortunately, no business can operate that way," he wrote.

 

Like in most countries, Australia's traditional media companies in recent years have seen their mainstay advertising income streams eroded by online competitors, and consumers shy away from paid subscription.

 

The Australian Competition and Consumer Commission, which drafted the proposed law, was not immediately available for comment on Tuesday. It has argued the law would allow news businesses to negotiate fair payment for journalists' work.

 

Last month, Google began an advertising campaign using pop-up ads on its main search page that said its free service would be "at risk" and users' personal data could be shared if the firm is made to pay news organisations for their content. The ACCC called the statements "misinformation".

 

-- © Copyright Reuters 2020-09-01

 

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Interested to see how this pans out. Might be the pointy end of the wedge as far as sharing news around the world.

Morrison trying to blackmail the tech companies and keep Aussies more unaware than usual....

39 minutes ago, UncleMhee said:

Morrison trying to blackmail the tech companies and keep Aussies more unaware than usual....

He would be doing Australians a service if he shut the thing down.

Bridget Fair, chief executive of Free TV Australia, a lobby group for free-to-air broadcasters, said Facebook's plan amounted to "bullying" and that the U.S. firm would "say and do anything to avoid making a fair payment for news content".

 

I am mystified by all this nonsense.  Australia's attempt to monetize Facebook when they are not a News site makes no sense.  It is entirely within Facebook's rights to ban news from any source.  Australia should tax their citizens if they need additional revenue.

 

Facebook is for social media, not national news.

FB should be blocked from sharing news in every country of the world.

Good legislation.  For the last 10 years or so, "news" agencies have been even more agenda driven than they have historically.  Hopefully another income source will mean less reliance on confirmation bias to sell papers.  Would be nice to see some actual news for once, rather than opinions dressed up as news.

32 minutes ago, Mick501 said:

Good legislation.  For the last 10 years or so, "news" agencies have been even more agenda driven than they have historically.  Hopefully another income source will mean less reliance on confirmation bias to sell papers.  Would be nice to see some actual news for once, rather than opinions dressed up as news.

I agree whole heartedly with you.  Newspapers have become comics and all tending to the gutter.  To get real news one is searching around the world.  Maybe WSJ, maybe the Economist [still to liberal], maybe Al Jazeera, Maybe the FT owned by Nikei.  It is hard work.

3 hours ago, car720 said:

Imagine how much more you would have to put up with from the missus if there was no facebook.

No, she could go back to weeding the garden.

31 minutes ago, GreasyFingers said:

No, she could go back to weeding the garden.

And draining the spuds!

If I understand this proposed new law correctly, Facebook would have to pay a royalty fee whenever a Facebook user quotes content from a news site or posts a link to a news article. Therefore, any news site, including a small backstreet operation, could earn good money from royalties by starting a social media drive to have people post quotes and links on Facebook, and in addition get increased income from the ads on the site. A double-win for the news media (and an incentive for more aggressive click-baiting headlines)

15 minutes ago, Puccini said:

If I understand this proposed new law correctly, Facebook would have to pay a royalty fee whenever a Facebook user quotes content from a news site or posts a link to a news article. Therefore, any news site, including a small backstreet operation, could earn good money from royalties by starting a social media drive to have people post quotes and links on Facebook, and in addition get increased income from the ads on the site. A double-win for the news media (and an incentive for more aggressive click-baiting headlines)

555 I will accept your point of view, soon as you provide a full quote fron the Bangkok Post.

no need to worry, as the Real unadulterated unbiassed News is online anyway, on facebook...  Alan Jones / Sky News Aust. 

 

All the FTA TV stations have Streaming therefore we can still watch all of whatever had earlier been  presented on free mainstream TV (SBS On Demand/ ABC iView / 9Now etc etc 

 

 

16 minutes ago, tifino said:

no need to worry, as the Real unadulterated unbiassed News is online anyway, on facebook...  Alan Jones / Sky News Aust. 

 

All the FTA TV stations have Streaming therefore we can still watch all of whatever had earlier been  presented on free mainstream TV (SBS On Demand/ ABC iView / 9Now etc etc 

 

 

We all have opinions, but calling Alan Jones unbiased is simply not true.

On 9/2/2020 at 10:02 AM, UncleMhee said:

Morrison trying to blackmail the tech companies and keep Aussies more unaware than usual....

What nonsense you speak ......

facebook is nothing more that <deleted> social media exploiting the young folks for selfies etc ....

when there was no facebook or games or tik tok ....  the young guys would be outside feeding the sheep or helping with the fencing.

It's similar to the drug environment .... nothing but negative comes out of it.   imo

 

I agree with the oz govt. if fb wont pay for content then dont allow it.

I agree with Facebook's decision to block news on Australian accounts I also equally agree with Australia wanting royalties for their news stories.

On 9/1/2020 at 6:48 PM, snoop1130 said:

"We don't respond to coercion or heavy handed threats wherever they come from," Frydenberg said in an email to Reuters' request for comment.

So I've had a long week and might be reading this wrong, but it seems like the Australian government is trying to force Facebook to pay for information shared on FACEBOOK'S platform, and then when Facebook says "Ok, fine, we won't share that sort of information then since we're a company and can do whatever the hell we want with OUR platform" the Australian government calls it coercion? ????

Edited September 4, 20205 yr by SABloke