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EXPLAINER: What’s up between Google, Facebook and Australia?

Photo by Jim Wilson of The New York Times / The sign outside Facebook's headquarters in Menlo Park, California, is shown on July 15, 2020. The Federal Trade Commission and 48 states accused Facebook on Dec. 9, 2020, of becoming a social media monopoly by illegally squashing competition by buying up its rivals.
Photo by Jim Wilson of The New York Times / The sign outside Facebook's headquarters in Menlo Park, California, is shown on July 15, 2020. The Federal Trade Commission and 48 states accused Facebook on Dec. 9, 2020, of becoming a social media monopoly by illegally squashing competition by buying up its rivals. Photo by Jim Wilson of The New York Times / The sign outside Facebook's headquarters in Menlo Park, California, is shown on July 15, 2020. The Federal Trade Commission and 48 states accused Facebook on Dec. 9, 2020, of becoming a social media monopoly by illegally squashing competition by buying up its rivals.

By JOE McDONALD / AP Business Writer 4 min read

BEIJING (AP) – For two decades, global news outlets have complained internet companies are getting rich at their expense, selling advertising linked to their reports without sharing revenue.

Now, Australia is joining France and other governments in pushing Google, Facebook and other internet giants to pay. That might channel more money to a news industry that is cutting coverage as revenue shrinks. But it also sets up a clash with some of the tech industry’s biggest names.

Google, a unit of Alphabet Inc., has announced agreements to pay publishers in Australia while Facebook said Thursday it has blocked users in the country from viewing or sharing news.

WHAT IS HAPPENING IN AUSTRALIA?

Facing a proposed law to compel internet companies to pay news organizations, Google has announced deals with Rupert Murdoch’s News Corp. and Seven West Media. No financial details were released. The Australian Broadcasting Corp. is in negotiations.