Meta threatens to block news in Calif. over push to pay publishers
Facebook’s parent company, Meta, is threatening to remove all news content in California ahead of an important vote by state lawmakers on whether Big Tech firms should pay media outlets. The proposed California Journalism Preservation Act would require online platforms to pay a journalism usage fee to media outlets whose content appears on their sites. Meta’s spokesman, Andy Stone, warned that if the bill passes, Facebook and Instagram could no longer host news content on their platforms. Similar legislation has been proposed in Canada and the US before, leading Meta and Google executives to issue similar warnings. The bill’s sponsor, Assemblywoman Buffy Wicks, blasted Meta’s move as a “scare tactic,” and accused the tech giant of prioritising their interests over those of Californians.
FAQs:
What is the California Journalism Preservation Act?
It is a proposed bill that would require online platforms to pay a “journalism usage fee” to media outlets whose content appears on their sites.
Why is Meta threatening to remove news content from Facebook and Instagram?
Meta claims that the fees imposed by the bill will benefit big, out-of-state media companies at the expense of California publishers. The company argues that it would rather remove news content than pay into a “slush fund” that primarily benefits larger publishers.
Has Meta made similar threats before?
Yes, Meta has made similar threats in Canada and the US in response to proposed legislation that would require tech firms to pay publishers for content. The company opposed Australia’s similar law in 2021, briefly blocking news content before reaching a deal with lawmakers.
What would be the impact of Meta’s move?
If Meta follows through on its threat, users on Facebook and Instagram will be unable to read or share news articles on those platforms.
What are proponents of the bill saying?
Proponents of the bill argue that media outlets are struggling financially and that this legislation would provide a much-needed revenue stream to support local newsrooms. They accuse Meta of prioritizing the interests of Big Tech over the needs of Californians.
Meta May Block California News due to Publisher Payment Controversy
Facebook’s parent company, Meta, has threatened to remove all news content from its platforms in California ahead of a Thursday vote on a bill that would require Big Tech firms to pay media outlets. The California Journalism Preservation Act would oblige “online platforms” to pay a “journalism usage fee” to news outlets for featuring their content. If the bill passes, Meta spokesperson Andy Stone said the company would have no choice but to remove news from Facebook and Instagram rather than pay into a “slush fund” which primarily benefits big, out-of-state media companies. The fee would be based on ad revenue and require outlets to use at least 70% of the proceeds to support their newsrooms. Stone later said that users on Facebook and Instagram would be unable to read or share articles on either platform. The social media giant has faced mounting pressure since 2021, when Australia enacted a similar law. Meta opposed the move but later relented after talks with lawmakers.