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Australia hikes levy for tech giants that fail to strike local news deals
The levy now applies to digital ad revenue and rises to 2.5%, with the government saying the change will direct more support to regional and small publishers.
- On Monday, the Australian government finalized the News Bargaining Incentive, requiring social media and search platforms—including LinkedIn—to pay a 2.5% levy on digital advertising revenue if they fail to secure six commercial agreements with local news publishers.
- Officials introduced the stricter policy after major platforms like Meta previously sidestepped the 2021 Morrison-era News Media Bargaining Code by de-prioritizing news content rather than paying, creating significant bargaining power imbalances against Australian media businesses.
- Assistant Treasurer Daniel Mulino confirmed the 2.5% levy applies to entities earning $250 million or more annually, while the government increased the offset for deals with small publishers to 200% to encourage broader regional support.
- Communications Minister Anika Wells described journalism as the "lifeblood" of democracy, noting the scheme directs 5% of raised funds to a grants program for small publishers and start-ups turning over less than $150,000 annually.
- With legislation expected to be introduced to Parliament within weeks, Mulino expressed confidence that platforms would choose to participate in the Australian market rather than exit, aiming to secure a sustainable news production ecosystem.
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The Economic Times+2 Reposted by 2 other sources
Australia hikes levy for tech giants that fail to strike local news deals
Australia's government has raised a planned levy on tech giants. This charge will apply if they fail to reach news deals. The levy now stands at two point five percent of advertising revenue. This measure aims to support local journalism and news outlets. New laws are expected when parliament resumes sitting this month.
·Mumbai, India
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Media chiefs’ fury over ‘gutting’ tech laws
Labor says changes to the Media Bargaining Incentive will force big tech to “pay substantially more” if they don't cough up for Australian news media – but industry leaders warn the reforms would “gut” the scheme instead.
·Surry Hills, Australia
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Coverage Details
Total News Sources19
Leaning Left6Leaning Right5Center3Last UpdatedBias Distribution43% Left
Bias Distribution
- 43% of the sources lean Left
43% Left
L 43%
C 21%
R 36%
Factuality
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