Wednesday, October 20

News Corp Agrees to Deal with Google on Payments for Journalism | News corporation


Google and Rupert Murdoch’s News Corp have signed a multi-year partnership that will see the search engine pay for journalism from news sites around the world, including the Wall Street Journal, the Times and the Australian.

The deal, which involves News Corp receiving “significant payments” to feature the company’s media in Google’s News Showcase product, will run for three years and comes with a number of other investments from Google, including “investments significant in videojournalism “and the development of a subscription platform.

Robert Thomson, CEO of News Corp, said the deal would have “a positive impact on journalism around the world, as we have firmly established that there should be a premium for premium journalism.” “I would like to thank [Google CEO] Sundar Pichai and his team at Google, who have shown a serious commitment to journalism that will resonate in all countries. This has been an exciting cause for our company for over a decade and I am pleased that the terms of trade are changing, not just for News Corp, but for all publishers. “

In a statement, Don Harrison of Google, its president of global partnerships, said: “Today’s agreement with News Corp covers a wide range of our products, such as News Showcase, YouTube, Web Stories, Audio and our advertising technology. News Showcase has partnerships with over 500 publications around the world, demonstrating the value this product can bring to our news partners and readers around the world. We look forward to announcing even more partnerships soon. “

The deal likely marks the death of a proposal by the Australian government to force Google and Facebook to go into arbitration with Australian media companies by forcing them to pay not only for excerpts from news articles, but also for simple links to news websites. . Several of the plan’s major backers, including television networks Seven and Nine, agreed to appear on Google’s News Showcase in the past week. With News Corp now signing its own deal, only a few Australian media companies remain as reducers, including Australian Community Media, publisher of several regional titles, and Guardian Australia.

This week, the proposed legislation reached parliament, and the government stood firm against Google’s threats to withdraw entirely from Australia if it passes, and Facebook’s proposed plan to ban news on the site.

News Corp’s Thomson specifically thanked the Australian government in announcing the company’s agreement, highlighting “Rod Sims of the Australian Competition and Consumer Commission and his capable team, along with Australian Prime Minister Scott Morrison and Treasurer Josh Frydenberg , who have stood firm for their country and for journalism ”.

By contrast, Microsoft publicly suggested last week to extend the Australian government’s proposal to the entire world. The company suggested that Bing would be happy to fill any gaps in the service if Google pulled out of Australia, which Microsoft president Brad Smith credited with leading to an early search engine concession.

“Our support for the Australian approach has had an immediate impact,” argued Smith. “Within 24 hours, Google was on the phone with the prime minister, saying that they didn’t really want to leave the country after all. And the link on the Google search page with its threat to leave? He disappeared during the night. Apparently, the competition makes the difference. “

Google News Showcase, the company’s flagship news service, is slowly rolling out around the world. In the UK, Showcase launched in early February, with partners including the Evening Standard, Financial Times, New Statesman and the Telegraph. The Guardian, the owners of the Daily Mail DMGT and the BBC were among those who did not participate at first, which means that their journalism will not be shown to users of the app.

News Showcase aims to better showcase journalism on Google’s news platform, although some have dismissed it as a simple channel for Google to funnel payments to the news industry; It was launched with a commitment from Google CEO Sundar Pichai of $ 1 billion in funding.


www.theguardian.com

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