The Australian government says it will impose a 2.25 percent levy on major tech companies unless they agree to pay local news publishers for content shared on their platforms.
Speaking to journalists on Tuesday, Australian Prime
Minister Anthony Albanese said firms including Meta, Google, and TikTok would
be given the opportunity to negotiate deals with media organisations or face
the tax based on their Australian revenue.
The proposed legislation, unveiled on Tuesday, is part of
efforts to support struggling media outlets as audiences increasingly turn to
social media for news consumption.
The government said the policy is designed to ensure digital
platforms compensate publishers whose content helps drive user engagement and
advertising revenue.
Albanese said the affected companies were identified based
on their significant local earnings and large user base, adding that they
cannot sidestep responsibilities under Australia’s news media bargaining
framework.
He noted that the reforms would fix gaps in earlier laws
that allowed platforms to avoid payment obligations by removing news content
entirely from their services.
The prime minister said the draft rules are also intended to
prevent a repeat of past actions by tech firms that restricted access to news
in response to regulation, while encouraging them to finalise commercial
agreements with publishers.
In 2024 when similar measures were proposed, Meta restricted
access to its news features for Australian users.
The company has also declined to renew content deals with
publishers in countries such as the United States, the United Kingdom, France,
and Germany.
Google has, in the past, warned it could limit some of its
services in Australia if compelled to pay for news content.
Albanese said journalism must be properly valued, warning
that multinational corporations should not profit from news content without
offering compensation to those who produce it.
Backers of the policy argue that social media platforms
benefit from news content that attracts users while diverting advertising
revenue away from traditional media organisations.
In response, Meta described the proposal as a digital
services tax, insisting that publishers willingly share content on its
platforms because they derive value from the exposure.
Anika Wells, the country’s communications minister, said it
is only fair that tech companies contribute to the production of news content
that boosts their platforms and revenue.
The draft legislation has been opened for public
consultation until May and is expected to be introduced in parliament later
this year.
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