Meta or no Meta, the news publishing industry has a fundamental problem
The News Media Bargaining Code is a coward’s game, attempting to shift advertising revenue out of the multinational tech giants and into the independent news space – also ran by multinationals, just not tech companies.
This redirection of funds, while seemingly beneficial on the surface, does not, and has never, tackled the underlying issues plaguing the news industry locally or globally. Joe Frazer, head of growth and digital at Half Dome, explains.
The fundamental flaw in the News Media Bargaining Code lies in the assumption that merely shifting advertising revenue can sustain the quality and diversity of journalism that a functioning capitalist democracy demands.
A more effective, bold and, frankly, cleaner strategy would involve Australia’s government taking a proactive role through taxation of these tech behemoths, subsequently using the collected funds to support all public needs better, including independent journalism. This approach would not only ensure a more equitable distribution of resources but also promote a news ecosystem that thrives on quality and diversity – which the blind redistribution of advertising funds to big news players does not.
Look at the United States, where the CNBC/Fox duopoly highlights the dangers of prioritising viewer engagement, and large news companies, over journalistic integrity and meaningful reporting. The Australian government has the opportunity to learn from this example and legislate in a manner that fosters a robust, independent news industry which is not dominated by two or three players.
This is a very complex issue, but Joe has nailed one aspect of it neatly. Legacy media has been able to influence our governments at all levels since we were colonies. As such the media has always railed against government interference. Now it wants government help to deal with the digital behemoths. Making the digital groups pay real levels of tax on their earnings here rather than sending them off to a tax haven is the answer.
News media effed itself when it became content for clicks (mostly from social) rather than real journalism. If it cared so much about integrity, honesty, accountability and the public’s right to know then it wouldn’t hide stuff behind a paywall.
See my comment to Will Hayward CEO Private Media a few days ago.