'It's their call': Australia regulator dares Facebook to block news content
Australia has proposed forcing Facebook and internet search giant Google to pay local media outlets for content, drawing strong opposition from the U.S.
Facebook said this month it would stop Australians from sharing local and international news on its website if the proposal becomes law.
The company and the Australian Competition and Consumer Commission are still negotiating before the regulator makes a formal recommendation to the government.
As traditional media outlets lose advertising revenue to internet giants, some countries have tried to find ways to make such companies pay for the traffic sent to their websites.
The proposal in Australia involves an arbitrator setting the payment terms if an internet company cant strike a deal with a local media outlet, a provision Facebook has said could force it to pay unlimited royalties.
Google has said that it has struck content deals with some Australian publishers, but has issued public warnings that the law may hurt its search service.
Sims said Australias plan was not a tax on Big Tech or a subsidy for other companies, saying it was a question of addressing a market power imbalance and one that matters to the future of our society.
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