A bipartisan bill aimed at requiring Google and Facebook to pay news companies for the stories they share on their platforms has passed a key test in the state Senate Judiciary Committee by a vote of 9-2. If the bill becomes law, Google and Facebook would need to agree to pay negotiated fees to a media fund or face mediation or arbitration to determine payment based on a portion of their digital advertising revenue.
Assemblywoman Buffy Wicks, who introduced the California Journalism Preservation Act, emphasized the importance of supporting news outlets that have been struggling as online circulation has grown and internet platforms have gained more control. The bill, co-authored by Assemblymen Bill Essayli and Josh Lowenthal, has garnered support from various publishers and news organizations, including the California News Publishers Association.
Opponents of the bill, including Google and Facebook, argue that it is based on a flawed premise and could have negative impacts on the media industry. The tech companies have threatened to cease offering news in California if the bill passes, citing lack of value generated by news content on their platforms.
Concerns have also been raised about the potential effects of the bill on smaller publishers and local news outlets. Supporters believe that the recent amendments to the bill will help ensure fair compensation for journalists and provide more funding and flexibility for smaller publishers.
The bill will now move to the state Senate Appropriations Committee and will need to pass a Senate vote before returning to the Assembly for further approval. If it successfully navigates these steps, it will be sent to Governor Gavin Newsom’s desk for final approval. The impact of this bill on the media industry and the broader implications of holding tech companies accountable for news content remain to be seen.
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https://www.mercurynews.com/2024/06/25/california-bill-advances-that-would-make-google-facebook-pay-news-companies-whose-stories-appear-on-their-platforms/amp/
California bill proposals that require Google and Facebook to pay news companies for the stories featured on their platforms are advancing
