By Stuart Condie


SYDNEY--Australia plans to implement a new charge on the owners of global tech platforms, attempting to shore up local media outlets months after Facebook cut ties with traditional news providers.

The government plans to charge platforms that choose not to enter or renew commercial agreements with local news publishers. The charge will apply to large digital platforms operating significant social media or search services irrespective of whether or not they carry news, the government said Thursday.

In March, Facebook owner Meta said it wouldn't enter into new deals with traditional news publishers in Australia, hitting revenues already under pressure amid the long-running shift in advertising dollars to the internet.

"This will provide a foundation for rebuilding the media industry after the loss of an estimated 1,000 jobs this year, and ensuring Australian news media businesses will continue to deliver inquiring and professional journalism," News Corp. Australia Chief Executive Michael Miller said.

Miller said he would contact Meta immediately in an effort to restart commercial talks.

The details of the proposal will be announced following consultation with stakeholders, the government said. Meta said it was concerned about the idea of charging one industry to subsidize another."

"The proposal fails to account for the realities of how our platforms work, specifically that most people don't come to our platforms for news content and that news publishers voluntarily choose to post content on our platforms because they receive value from doing so," Meta said in a statement.

Australia's assistant treasurer said that digital platforms also derive value from the relationship.

"Digital platforms receive huge financial benefits from Australia, and they have a social and economic responsibility to contribute to Australians' access to quality journalism," Assistant Treasurer Stephen Jones said.

News Corp. owns Dow Jones & Co., publisher of this newswire and The Wall Street Journal.


Write to Stuart Condie at stuart.condie@wsj.com


(END) Dow Jones Newswires

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