Pic credit: theguardian.com
The U.S. government has asked Australia to dismiss introduced laws that would make it the prime nation in the globe to force Google and Facebook to pay for news sourced from local media outlets.
In a submission proposing the Australian administration to “reject” the plans, assistant U.S. trade representatives Karl Ehlers and Daniel Bahar recommended Australia instead “more research the businesses, and if relevant, generate a voluntary code.”
Following the law with huge political support and is currently before a Senate committee, Facebook and Google will be subject to mandatory payment agreement if a commercial arbitration on payments to Australian media cannot be touched.
After years of complaints from traditional media houses, the planned mandatory bargaining code comes, because many social media platforms took advantage of journalists’ fieldwork and hard work without paying a penny for it.
In December the legislation was introduced to Parliament.
Facebook and Google remain to discuss that media hubs are getting benefit from clicks and referrals through to their websites.
If the Federal Government does not back down, then Facebook will evacuate Australians’ ability to create and publish news reports to its platforms, Facebook has threatened. And now the U.S. Government has pressuring Australia to step back from its plans.
A letter with letterhead of the Executive Office of the President state, “The U.S. Government is bothered that an effort, by legislation, to manage the competitive positions of particular players … to the clear detriment of two U.S. firms, may result in adverse outcomes.”
Further, it said, such a move might “lift concerns for international trade obligations of Australia.”
Treasurer Josh Frydenberg announced that the Australian Government will not back down and “dedicated to continuing with a mandatory code” that would approach “the bargaining power imbalances with media companies and digital platforms.”