Rupert Murdoch is on the move, seeking to change the international media landscape. To do so, he takes on two digital giants, Facebook and Google

Google struck a deal with News Corp, in which it agreed to pay Rupert Murdoch’s media conglomerate to host its digital content over the next three years

The deal comes as the Australian government prepares to pass a law requiring Google and Facebook, which control 81% of Australia’s online advertising revenue, to pay media publishers for their content

Yet, as Google continues to negotiate with publishers, Facebook has decided to play hard Mark Zuckerberg’s company has wiped domestic and international media pages from its website in Australia, essentially “defending” an entire country

The move has drawn heavy criticism from Australian politicians and publishers who are now struggling to get their content out through new channels

“At one point we were told that the Facebook and Google algorithms wanted a video, so every story had a video,” Marcus Strom, journalist and president of Australian Media union, Entertainment & Arts Alliance, told Newsweek “Then one day they turned around and said they didn’t want any more video”

Strom says newsrooms have had to lay off some of their video teams and reorganize their resources and strategies to accommodate the change The update has affected all newsrooms regardless of size, including News Corp. Murdoch

Over the past decade, Murdoch has sharply criticized ‘Big Tech’s abuse of the market’ With one in five newspapers permanently ceasing printing in the past decade and a half, Murdoch has felt the pain of industry as his company’s advertising revenue continues to decline every year

Australia’s plan to take some of the power out of the two digital giants who control the lion’s share of national advertising has given Murdoch an opportunity to rush an international toll

Canada and the European Union are drafting similar legislation Canada could follow Australia and require the two tech giants to pay for content Or, as the minister said Canadian Heritage Steven Guilbeault, whose office is drafting the bill, they could follow the model of France which emphasizes licensing agreements

The European Union plans to introduce digital markets law that would establish companies like Facebook and Google as digital gatekeepers, forcing them to follow regulations designed to reduce their power and increase competition in the market

“Google and Facebook are able to control prices, offer lower rates and eliminate their competition,” Jennifer Grygiel, social media and corporate responsibility specialist at the University, told Newsweek from Syracuse “What is happening in Australia should really be seen as global policy”

Facebook’s ban on Australian publishers not only censors Facebook news in that country, it also prevents Australian news from reaching other countries For this reason, Grygiel expects Australian law to impose international action to fight Big Tech’s hold on digital media

The importance of timing is not lost on Murdoch, who has been lobbying for Australian law for years News Corp took part in the EU’s public consultation forum on Digital Markets Law , allowing companies like Microsoft and Discovery to take the lead But Murdoch’s company has met with US Department of Justice officials to discuss DOJ investigation into potential antitrust violations by Google

As the House Judicial Antitrust Subcommittee prepares for a series of meetings on modernizing antitrust laws in the digital age, Murdoch’s company may feel at ease knowing that it has donates to 11 of the 23 committee members and named the Judiciary Committee as its third – largest recipient of campaign funds

“Rupert is one of the most effective government rent seekers in the world, who is masterful when it comes to pressuring Western governments to do what he wants”, Stephen Mayne , an Australian journalist who has reported on Murdoch for the past 22 years and has already gained knowledge working for two of his newspapers, told Newsweek

Although Mayne asserts that Murdoch’s direct influence exists primarily in countries where News Corp media influences conservative politics, such as the US, UK, and Australia, he says, Murdoch’s reports with conservative leaders allow him to influence international politics through the lobbying efforts of these governments

Whether through Murdoch’s intervention or not, this phenomenon appears to be at play Australian Prime Minister Scott Morrison has discussed with Indian Conservative Prime Minister Narendra Modi a partnership in the effort to reduce the domination of the Google and Facebook market

Morrison also met to discuss the issue with leaders from Britain, Canada and France Public sentiment shared by these nations seems to indicate that Murdoch may well get his wish

Guilbeault has vowed that Canada will see a law requiring Facebook and Google to pay news publishers before the start of next year David Cicilline (D-RI), who chairs the House antitrust subcommittee, s ‘is publicly committed to strengthening antitrust laws aimed at tackling “bad business practices by Facebook (and) Google”

However, as these laws are proposed, their enforcement remains a major issueAn EU official told Newsweek that as the law on digital markets unfolds, the focus will be on identifying possible violations of the new law and preparing responses that address the issues proactively rather than retroactively

“Traditional market appeal rules would not help in this case,” the official said “A fine does not change anything”

With market caps of $ 760 billion for Facebook and $ 1.4 trillion for Google, the two companies have a combined market value that exceeds the GDPs of all but six countries in the world Juxtapose that value to $ 8 billion of News Corp and the second largest news media company, The New York Times Company, at $ 7 billion, and it would appear that mainstream media conglomerates are facing an uphill battle for international influence and influence. market dominance However, if an individual is up for the challenge, Mayne says his Rupert Murdoch

“He is relentless against anyone who takes advertisers or viewers out of his empire, whether it is government broadcasters like ABC and the BBC or big tech companies,” Mayne said “He will manage to convince governments (British and Australian) to take punitive action against Big Tech “

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Rupert Murdoch

World news – FI – Rupert Murdoch attacks Facebook and Google in Australia, others seek to follow

Source: https://www.newsweek.com/rupert-murdoch-takes-facebook-google-australia-others-look-follow-1571150