Both Google and Facebook have condemned the proposed legislation, which was released last month and aims to succeed where other countries have failed in making the companies compensate media businesses for news content.
Australian competition watchdog Rod Sims, chair of the Australian Competition and Consumer Commission, which drafted the laws, said Googles letter contains misinformation.
Google will not be required to charge Australians for the use of its free services such as Google Search and YouTube, unless it chooses to do so, Sims said in a statement.
Google will not be required to share any additional user data with Australian news businesses unless it chooses to do so, he added.
Google also said the draft legislation requires the platform to provide user data that goes beyond the current level of data sharing between Google and news publishers.
Australian Treasurer Josh Frydenberg, the minister responsible for the consumer watchdog, said in a statement that the draft law remains open for consultation, providing an opportunity for media companies and digital platforms to provide feedback until Aug.
Swinburne University senior lecturer on media Belinda Barnet described the Google letter as a cynical exercise designed to scare Google users.
One of the most ironic arguments is that theyre going to have to hand over some data to news organizations for example which article people have read and how long they may have read it for and this coming from the worlds major privacy violator and certainly the worlds largest data aggregator is a bit rich, Barnet added.
The commission alleges that Google misled millions of Australians to obtain their consent and expand the scope of personal information that it collects about users internet activity to target advertising.
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