SYDNEY, Jan 22 (Reuters) – Google said on Friday it would turn off its search function in Australia if the government continued with a media code that would force it and Facebook Inc. to pay local media companies to share their content.
Australia is in the process of enacting laws that would allow Big Tech giants to negotiate payments with local publishers and broadcasters for content. If they fail to reach an agreement, an arbitrator appointed by the government will decide the price.
“The biased code arbitrage model poses a difficult financial and operational risk for Google to manage,” Mel Silva, director general for Australia and New Zealand, told a Senate committee.
“If this version of the code became law, it would give us no choice but to stop Google Search from being available in Australia.”
Australia announced the legislation last month after an investigation found that Google, owned by Alphabet Inc, and social media giant Facebook had too much market power in the media industry, a situation it said posed a potential threat to democracy. which works well.
This week, the US government called on Australia to drop the proposed laws, which have broad political support, and suggested that Australia should follow a voluntary code.
Google’s threat to limit its services in Australia came hours after the internet giant reached an agreement to pay for content with some French news publishers.
Google’s testimony “is part of a pattern of threatening behavior that is appalling to anyone who appreciates our democracy,” said Peter Lewis, director of the Center for Responsible Technology at the Australia Institute.
Reported by Renju Jose Edited by Byron Kaye and Gerry Doyle