The South African Competition Commission is calling for compensation from Google and other major tech companies to local media. This follows a 16-month investigation into the impact of digital platforms on the country's media industry.
Reason for the Demands
The commission accused tech giants of harming South African news outlets by taking ad revenue and traffic without fair compensation. This finding is part of a report released after an extensive investigation.
Recommendations for Tech Companies
The report recommends Google make changes to its search algorithms to remove bias toward foreign media. Meta is advised to restore referral traffic. Additionally, there's an emphasis on combating misinformation through amendments to the Electronic Communications and Transactions Act.
Significance for the News Industry
The commission highlights the importance of news for democracy and freedom of expression. Digital growth is impacting the media, but tech platforms' actions exacerbate these challenges, hindering the ability to secure and monetize digital news traffic.
The commission's demands targeting Google, Meta, and other companies remain provisional and may change. A potential showdown looms as South Africa's media industry awaits possible outcomes.
