News media, an industry already on the brink of endangerment, has suffered an unprecedented economic impact due to the ongoing COVID-19 pandemic. Over the past few months, reports of newsrooms and dailies laying off employees, cutting back on paychecks, or ceasing operation completely have become more common.
These desperate times have reignited an ongoing conflict between big-tech and news media outlets regarding the unfair distribution of ad revenue among digital platforms that display headlines as search results and the concerned publishing websites.
To compensate for these losses, many country’s governments are now opening up discourse with Google and Facebook to convince the two tech giants to pay publishers for reusing headlines and snippets from their websites in their search results and news feed.
One such country is Australia, whose competition watchdog ACCC released a proposal about a month ago mandating Google and Facebook specifically to pay publishers in order to feature their content.
Facebook Ready To Butt Heads With ACCC
While Google’s reply was less vehement, Facebook took a more garish approach.
In its response to the concerned proposal, submitted to the ACCC on Monday, the company rejected the suggestion to pay news sites for simply featuring links to their websites. Facebook further defended its stance by adding that, if need be, they could stop displaying news on the Australian wedge of the platform altogether, without any significant losses to their business.
To validate this claim, the social media site cited an increase in revenue despite altering Facebook’s algorithm in 2018 which has since given displaying posts from friends and family the highest priority.
Read More . https://dazeinfo.com/2020/06/16/facebook-could-slam-doors-on-news-publishers/