CANBERRA, Australia (AP) – Facebook said Tuesday it will lift its ban on Australians’ news sharing after it struck a deal with the Australian government on legislation that would make digital giants pay for journalism.
Treasurer Josh Frydenberg and Facebook have confirmed they have reached an agreement on changes to the proposed legislation to require the social network and Google to pay for Australian news they offer.
Facebook’s partnership is a major victory in Australia’s efforts to make the two ports of entry to the Internet pay for the journalism they use. The company had blocked access to and sharing of news by Australian users last week after the House of Representatives passed the bill on Wednesday.
The amended version of the proposed legislation gives digital platforms one month’s notice before they are formally designated under the code. That would give those involved more time to reach agreements before being forced to enter into the binding arbitration arrangements required by the proposed law.
Initially, Facebook’s news blockade cut access – at least temporarily – to government pandemic, public health, and emergency services, sparking public outrage.
A statement Tuesday from Campbell Brown, Facebook’s vice president for news partnerships, said the deal allows the company to choose which publishers it will support, including small and local publishers.
“We will be restoring news on Facebook in Australia in the coming days. Going forward, the government has clarified that we will retain the ability to decide whether news appears on Facebook so that we are not automatically subject to forced negotiations, ”said Brown.
Frydenberg described the agreed changes as “clarifications” of the government’s intent. He said his negotiations with Facebook CEO Mark Zuckerberg were “difficult”.
“There is no doubt that Australia has been a battle for the world,” said Frydenberg.
“Facebook and Google have not hidden the fact that they know the world’s eyes are on Australia and so they have tried to get some code here that is workable,” he added, referring to the proposed News Media Bargaining Code .
The code was intended to curb the negotiation dominance of Facebook and Google in their negotiations with Australian news providers by demanding a safety net for negotiations in the form of an arbitration panel. The digital giants would not be able to abuse their overwhelming bargaining positions by making offers to news companies for their journalism. In the event of a stalemate, the panel would make a binding decision on a winning bid.
Swinburne University’s associate professor of media Belinda Barnet said the proposed changes guarantee Facebook time to close deals before the arbitration panel decides a price for news.
Peter Lewis, director of the Center for Responsible Technology, a think tank at the Australia Institute, said in a statement that the “changes keep the integrity of the media code intact.”
Google had also threatened to remove its search functions from Australia saying the proposed law was unworkable. But that threat has faded.
Google has signed up Australia’s largest media companies for content licensing agreements through the News Showcase model.
The platform says it has struck deals with more than 50 Australian titles through Showcase and more than 500 publishers worldwide using the model launched in October.
Facebook said it will now negotiate deals with Australian publishers under its own model, Facebook News.
“We are pleased that the Australian Government has agreed to a number of changes and warranties that address our main concerns about allowing commercial deals that recognize the value our platform provides to publishers in relation to the value we receive from them said William, Facebook’s regional director. Easton said.
“As a result of these changes, we can now work on our investment in public interest journalism and restore Facebook news to Australians in the coming days,” Easton added.