California lawmakers had a chance to pass first-in-the-nation legislation that would have forced Google, Meta, and other tech firms to pay ongoing fees for earning billions from using news outlets’ content while journalism operations have struggled and closed.
But amid the tech industry’s strong-arm tactics, millions of dollars spent lobbying, and allegations of currying favors from power brokers ranging from the California governor to the CEO of a nonprofit news organization, Big Tech scored a backroom deal last month that killed the journalism bills.
Instead of forcing Google, Meta, and other tech companies to cough up potentially billions of dollars in ad revenue, California is moving forward with a smaller, limited-time program whose costs will be split between taxpayers and tech companies — and some of the funding will go toward the development of artificial intelligence tools, a technology that some observers say is an existential threat to the news industry.
In short, instead of forcing Google and its tech brethren to pay for their stranglehold on California-based news outlets, a California lawmaker ceded to pressure and settled for a slap on the wrist that critics say will do nothing to lessen Big Tech’s grip — and may even strengthen it.
The development comes as the major tech companies report hundreds of billions in 2023 ad revenue, and as Google faces multiple antitrust lawsuits stemming from monopolizing ad sales and online search options.
“We have this backroom deal where taxpayer dollars have been introduced as a consolation prize because California couldn’t execute anti-monopoly policy,” said Matt Pearce, president of the Media Guild of the West, a union representing employees from the Los Angeles…
La suite est à lire sur: jacobin.com
Auteur: Freddy Brewster
