Meta and Google are pushing back against a proposed fee by Australian regulators. Both companies argue that their existing contributions already provide substantial value to local publishers and question the fairness of the additional financial demand.
Meta Defends Its Impact on Publisher Revenue
Meta, the parent company of Facebook, asserts that it plays a critical role in supporting Australian publishers. In 2023, Facebook’s Feed drove over 2.3 billion free clicks to Australian media websites. These clicks generated an estimated 115 million Australian dollars, or $73 million, in revenue for publishers.
In a blog post published in March, Meta Australia emphasized these figures to highlight its contributions. The company views this free traffic as a vital source of revenue for publishers. Meta argues that it has consistently supported Australian journalism without imposing any additional costs.
Google Reevaluates Media Partnerships
Google, a significant supporter of Australian media, has established partnerships with more than 80 local news organizations since 2021. These agreements, formed under the media bargaining code, have provided critical financial backing for journalism and strengthened collaboration.
However, the proposed fee has led Google to reconsider these partnerships. Although the company initially pledged to renew its agreements, it now expresses concerns about the financial impact of the new regulation. Google is reassessing whether it can sustain its current level of support under the proposed changes.
Both companies have emphasized their significant contributions to the Australian media ecosystem. They caution that the new fee could undermine existing systems and make future investments less viable. As regulators push for increased financial commitments, Meta and Google must decide how to proceed. Their decisions will likely shape the future of digital journalism in Australia.
