In a recent parliamentary hearing, Meta, the parent company of Facebook, announced that it is contemplating blocking news content on its platform in Australia if the government enforces new licensing fees. This statement came from Mia Garlick, Meta’s regional policy director, who emphasized that “all options are on the table” when asked about the potential measures the company might take to avoid these fees.
The Legal Context
Garlick explained that Meta is awaiting a decision from the Australian government regarding the application of a 2021 law. This law empowers the government to determine the fees that U.S. tech giants, including Meta, must pay to media outlets for sharing links to their content. Meta’s stance mirrors its actions in Canada in 2023, where it adopted a similarly firm approach in response to comparable legislation.
Existing Deals and Future Plans
Meta had previously negotiated deals with several Australian media companies, such as News Corp and the Australian Broadcasting Corp, when the law was initially introduced. However, Meta has indicated that it does not intend to renew these agreements beyond 2024. This decision now places the responsibility on Australia’s assistant treasurer to determine whether to enforce the law and compel Meta to pay for news content.
Industry Impact
The potential cessation of news content on Facebook has significant implications for Australian media. Recently, Nine Entertainment and Seven West Media, the country’s two largest free-to-air television broadcasters, announced job cuts, citing revenue losses anticipated once their deals with Meta expire.
Compliance and Moderation
When questioned about whether blocking news would be a way to sidestep the law, Garlick argued that such an action would be a form of compliance. She stated, “Every other law – tax laws, safety laws, privacy laws – we work to comply with. It’s just compliance would look slightly different in relation to this law if it’s fully enacted.”
Addressing Misinformation and Scams
Garlick also defended Meta’s processes for addressing harmful misinformation and scams, despite the company’s content moderation centers being located outside of Australia. In response to questions about Australian mining billionaire Andrew Forrest’s lawsuit against Meta for allowing cryptocurrency scam advertisements featuring his face, Garlick acknowledged the challenges but maintained that Meta has systems in place to detect and prevent scams.
Advertising Ethics
Greens Senator Sarah Hanson-Young raised concerns about Meta’s responsibility as an advertising business, particularly when some ads promote false information. Garlick responded by emphasizing that Meta employs policies, systems, and tools to prevent such misleading advertisements.
Conclusion
The outcome of this situation hinges on the Australian government’s decision regarding the 2021 law and Meta’s subsequent actions. The potential for Facebook to block news content in Australia underscores the ongoing tensions between tech giants and governments over the regulation and monetization of online content.
