Big Tech Monopoly: Eternal Wait For News Publishers In India As We Lag Behind In Global Push For Fair Play

Big Tech companies, once praised for creating a level-playing field for journalists, have come under criticism as publishers' revenues decline.

Source : Canva

India remains a mere observer, rather than a proactive participant, in addressing the concerns related to Big Tech and Meta's use of publishers' content. In contrast, leaders around the world have often directly intervened to protect publishers in their countries from potential injustices by these tech giants. The latest to this list is Indonesia that initiated through regulation that Big Tech and Meta pay to publishers for use of content after failure of table talks with Big Tech like Google and Facebook not agreeing for the obligations to pay. In fact, the Big Tech postured that they are doing service to digital content provider by wider circulation.  

Indonesia now has come up with the regulation aimed at helping the media industry the level playing field with big tech to ensure a fair cooperation between media and digital platforms, provide clearer cooperation framework between them. A committee would be formed to ensure digital platforms fulfill their responsibilities to the media companies.

The Global Push For Fair Play 

Australia was first to come up with the News Media Bargaining Code that took effect in March 2021, and tech firms have since signed deals with media outlets compensating them for content which generated clicks and advertising dollars, and is also monitored. ‘Bargaining Code‘ is formulated that enables Government to regulate that the Big Tech platforms do negotiate with publishers and have B2B written agreements for revenue share.

In Canada, when Google and Facebook resorted to dropping news links in February 2023, the government came up with flagging the provisions in the C-19 legislation — Prime Minister Justin Trudeau intervened to call on the companies to pay for news instead of blocking it. This led to Big Tech initiating deals with large publishers creating the imbalance among the publishers. The Online News Act enables the government to monitor and that to address and ensure that publishers large and small get a fair deal.

In the European Union and France, Law No. 2019-775, enacted on July 24, 2019, established a new right for the benefit of press agencies and publishers. Furthermore, Ordinance No. 2021-580, issued on May 12, 2021, implemented the Directive of April 17, 2019, on copyright and related rights within the digital single market. This legislation also amended Directives 96/9/EC and 2001/29/EC, marking a significant step in protecting copyright and related rights in the digital era.

The French government was the first country to implement the EU Directive 2019/790. This was achieved in parts. By Law No. 2019-775 of July 24, 2019, Article 15 of the Directive was introduced in their Intellectual Property Code. By Ordinance No. 2021-580 dated May 12, 2021, the Intellectual Property Code was further amended to introduce Articles 17 to 23 of the EU.

South Africa has also come up with the appropriate regulations.

The resultant observation since the above legislations is some small publishers have done better than the larger ones on a per capita basis after the interventions by the government rules and regulations.

India Only Country Where Big Tech Is Free From Policy Framework

The content creator and owner of content definitely need to have its share in revenue in advertisements and that of compensation in creating of content to encourage good responsible news contents in sphere of media. Big Tech companies, once praised for creating a level-playing field for journalists, have come under criticism as publishers' revenues decline. This downturn is attributed to Big Tech platforms providing an abstract of their content, leading the majority of users not to visit the original content creators' websites.

There is a global consensus on the necessity for government oversight to establish standards and frameworks for determining the revenue-sharing percentages between publishers and intermediary tech giants like Big Tech and Meta. This task could be delegated to Self-Regulatory Organisations (SROs) or entities like the Press Trust, ensuring a fair and equitable distribution of earnings.

India has become the only country where the Meta and Big Tech and they are still free from policy framework to ensure a fair cooperation between media and digital platforms. The Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021 [updated as on 6.4.2023] already defines publisher, intermediary, news and news aggregators. The rules have provisions for the grievance redress, appellate provisions, oversight mechanisms. What is needed is to incorporate a News Media Bargaining Code as a definition to oversee the fair play and cooperative framework for use of the content and enabling negotiations that is transparent and fair for sharing of revenue. This will empower bargaining power and provide redressal to the news media in the country.

The delay to address the issue in the ping-pong battle between various ministries is causing continuous injury to Indian publishers as their content is being used by Meta and Big Tech with no fair arrangements for payment.

(The author is a Practitioner Development Economist and retired Secretary, GoI)