California’s social media news bill could reshape online landscape

The state is on the cutting edge of a larger movement to hold social media companies financially accountable for the news that they use on their platforms. Lawmakers are taking some of their cues from similar Australian legislation.

Posted Thursday, July 6, 2023 11:32 am

Andrew Sheeler | The Sacramento Bee | GT Government Technology

A bill before state lawmakers that supporters say could dramatically alter the economics of California journalism had its beginnings more than 8,000 miles away.

For years, the Australian government and media watched newsrooms hemorrhage circulation, revenue and staff. At the same time, Facebook and Google linked to or displayed their work without paying anything for it.

The response was The News Media Bargaining Code, which gives the Australian government the power to order digital platforms into arbitration with news organizations to negotiate fees for using their content.

The tech industry fought the idea. Facebook even experimented with pulling news from their sites but relented, and the Australian Parliament passed the measure in February 2021. So far, big platforms have paid an estimated $200 million to the country’s news organizations, leading to the creation of hundreds of jobs.

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California’s social media news bill could reshape online landscape

The state is on the cutting edge of a larger movement to hold social media companies financially accountable for the news that they use on their platforms. Lawmakers are taking some of their cues from similar Australian legislation.

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