This archive report was first published on 20 April 2020.
On April 20, 2020, Australia's Treasurer Josh Frydenberg announced a mandatory code of conduct that will require Google and Facebook to pay Australian media companies for using their news and other content.
The code, which is set to be fully unveiled by July and made law soon after, aims to address the significant impact that the two tech giants have had on Australia's news industry.
According to Frydenberg, Google and Facebook have captured two-thirds of online advertising spending in Australia, leading to a 20 percent reduction in jobs in the news industry over the past six years.
The move is seen as a significant step towards ensuring a fair outcome for Australian media companies and keeping jobs in journalism.
France became the first European state to implement an EU copyright directive requiring payment for reproduced news content last year, but Google has refused to pay and instead stopped displaying French reports.
A similar battle has played out in Spain, where Google News has not reopened since the country passed legislation in 2014 requiring payment for articles.
The Australian government's move follows an 18-month inquiry into the power of digital platforms by the Australian Competition and Consumer Commission (ACCC), which recommended an overhaul of existing regulations.
ACCC chair Rod Sims has advised the government that it is unlikely that Google and Facebook will agree to pay for Australian news.
Facebook Australia and New Zealand managing director Will Easton has expressed disappointment at the government's announcement, saying that the company believes in strong innovation and transparency around the distribution of news content.
