Google announced on Friday that it will cease linking to New Zealand news content and withdraw its support for local media outlets if the government enacts a law requiring tech companies to pay for articles displayed on their platforms. This decision mirrors actions taken by Google in response to similar legislation in Australia and Canada in recent years.
The New Zealand government's proposal to introduce a bill mandating tech platforms to negotiate revenue-sharing agreements with media organizations came as a surprise in July. The legislation aims to address the loss of over 200 newsroom jobs earlier this year and prevent the outflow of advertising revenue from New Zealand news products.
In a blog post, Google's New Zealand Country Director stated that if the law is passed, Google would stop linking to news content on its platforms in New Zealand and terminate existing commercial agreements with local news publishers. Google's licensing program in New Zealand currently provides financial support to nearly 50 local publications.
The News Publishers' Association criticized Google's stance, characterizing it as a form of corporate pressure on the government and news outlets. The association emphasized the importance of the government's ability to enact laws that support democracy without facing such tactics.
Australia and Canada have previously implemented laws to compel tech companies to negotiate with news outlets for content usage. While Google and Meta initially resisted, they eventually reached agreements with Australian media organizations. However, Meta has declined to renew contracts with Australian news media, and Google is in the process of renegotiating its deals.
In response to Canada's impending legislation, Google and Meta threatened to withdraw support for the country's media. Google later committed to providing financial assistance to news businesses in Canada. In New Zealand, discussions between government officials and Google are ongoing as they work towards a revised version of the bill.
