Digital companies like Google and Meta could begin paying media companies in New Zealand under a new scheme designed to protect local content publishers.
Lawmakers in Wellington will vote on the bill, where Prime Minister Jacinda Ardern’s Government is expected to pass it.
Willie Jackson is the Minister of Broadcasting, who said news outlets will benefit from deals reached with digital platforms.
“New Zealand news media, particularly small regional and community newspapers, are struggling to remain financially viable as more advertising moves online.”
The legislation is based on similar laws already passed in Canada and Australia.
“It is critical that those benefiting from their news content actually pay for it,” Mr Jackson said.
The Australian Government introduced the News Media Bargaining Code in 2021, which has led to 30 deals between media outlets and tech firms.
It allows lawmakers to step in when tech companies are negotiating content deals with local media outlets.
The Treasury Department recently found the “agreements have enabled news businesses to, in particular, employ additional journalists and make other valuable investments to assist their operations.”
The agreements are based on how often content is clicked, which ultimately leads to advertising revenue.
Google has cemented agreements with Nine Entertainment and Seven West Media, which are scheduled to run for five years.
Meanwhile, Meta has reportedly reached commercial agreements with 13 news businesses.
