Canada passed a law to force platforms such as Google and Facebook to negotiate commercial deals and pay news publishers for their content. According to news industry sources, the Canadian legislation is expected to strengthen the case filed against Google by the Digital News Publishers Association (DNPA) with India’s Competition Commission.
In addition to Canada, several other jurisdictions, including Australia and European countries such as France and Spain, have passed similar laws requiring information intermediaries like Google to negotiate with news publishers and negotiate commercial conditions.
Canada’s online news law requires digital platforms that have a bargaining imbalance, measured by metrics like a company’s global revenues, with news companies to enter into fair deals, which would then be assessed by a regulator. . If these agreements do not meet a set of criteria detailed in the law, the platforms would have to go through mandatory negotiation and final offer arbitration processes overseen by the Canadian Radio-television and Telecommunications Regulatory Authority.
The law would work similarly to one passed by the Australian government, which required Google and Facebook to pay media companies for content on their platforms as part of reforms that have been heralded as a model for others to copy. .
Leading Indian newspapers and their digital editions, represented by India’s DNPA, have filed a complaint with the antitrust regulator, which has ordered an investigation against Google for alleged abuse of a dominant position in the digital advertising market. DNPA members include Jagran New Media (Dainik Jagaran Group), Amar Ujala, Dainik Bhaskar, India Today, Hindustan Times, The Indian Express, The Times of India, Eenadu, Malayalam Manorama, ABP Network, Zee Media, Mathrabhumi, Hindu , NDTV , Lokmat, Network Express, etc.
The association estimates that more than 50% of the total traffic on news websites is routed through Google, and being the dominant player in this field, Google, by means of its algorithms, determines which news website is discovered through research.
He also claimed that the content produced by news media companies creates the context for the audience to interact with the advertiser. However, online search engines end up benefiting from revenue or returns much more than publishers, he said.