Microsoft has a “Plan B available” as Google follows up on threats to leave Australia over plans to force digital giants to pay news organizations for content, local media reported Monday.
The Australian government has designed a mandatory news media bargaining code that would force Facebook and Google to compensate local publishers for hosting news stories on their platforms.
Both US tech companies have threatened to block important services in Australia if the new law goes into effect.
Google Australia CEO Mel Silva said in a parliamentary inquiry last week that the company would withdraw its popular search function from Australia if the code becomes law.
Microsoft CEO Satya Nadella reached out to Prime Minister Scott Morrison within days to clarify that Microsoft’s Bing search engine could expand if Google shut down, The Australian reported.
The pair spoke last week, the paper said, with Nadella reportedly saying Microsoft had a “Plan B available.”
Treasurer Josh Frydenberg confirmed the call, saying the government was conducting detailed discussions with “players from across the industry.”
Australia reserves the right to enforce the code on other platforms and it is unclear whether Microsoft’s MSN service, which contains links to local news stories, could have an impact in the future.
“Regarding the current controversy over a possible code of conduct for Google and Facebook, Microsoft is not directly involved and we do not wish to comment on that ongoing process,” a Microsoft spokesperson said in a statement.
Facebook CEO Mark Zuckerberg is also lobbying Australia and reached out to Frydenberg last week to discuss the code and its impact on the social media giant.
Frydenberg told the ABC it was a “very constructive discussion”, but “Zuckerberg didn’t convince me to go back.”
Facebook has warned it could block Australian users from sharing local news stories on its platform.
“I’m not rejecting the threats, but I’m not intimidated by them,” said Frydenberg.
“What I do know is that media companies have to be paid for content. And what I do know is that … whether it’s on this issue, whether it’s cyberbullying or terrorist content on the Internet, we are ready to address it. to include the digital giants. “
The law would require Google and Facebook to enter into commercial agreements with news organizations or enact mandatory arbitration on the amount of payments if they do not agree.
The world’s first is being watched closely as governments grapple with how best to curb the growing power of technology giants.
Although it has received widespread support from local media, the US government has urged Australia to abandon the “incriminating” plan and the inventor of the World Wide Web, Tim Berners-Lee, has warned that the Internet would be “unworkable”. could be.
hr / arb / rma