Rupert Murdoch’s News Corp today announced a three year global deal with Google for payments for news content, with the publisher thanking the Australian government for its proposed media laws for spurring negotiations.
Google will make “significant payments” to News Corp to include the publisher’s article’s in the News Showcase product, a news licencing mechanism Google says it has budgeted over $3 billion for globally.
The articles will come from News Corp publications including The Wall Street Journal and New York Post in the US; The Times, The Sunday Times and The Sun in the UK; and Australian titles news.com.au and Sky News; as well as multiple metropolitan and local titles.
The three year deal also includes the development of a subscription platform, sharing ad revenue using Google’s adtech services, and audio and video journalism projects, according to a News Corp statement issued this morning.
In Australia News Corp, along with other large publishers, has lobbied for the introduction of a News Media Bargaining Code – media laws that would force tech giants Google and Facebook to pay publishers for news content they share on their platforms if deals aren’t otherwise made.
Both Google and Facebook have railed against the code and threatened to withhold search and news services because of it. But with the code expected to become law any day, Google has made a flurry of deals with publishers in hopes of avoiding potential forced arbitration.
Facebook meanwhile has opted for the extreme option of blocking news content for Australian users and publishers entirely to avoid revenue sharing with publishers not done on its terms.
Today News Corp gave “particular” thanks to the Australian competition regulator and the coalition government which pushed the code through in the face of the tech giants’ threats.
“Particular thanks are certainly due to the Australian Competition and Consumer Commission’s Rod Sims and his able team, along with the Australian Prime Minister, Scott Morrison, and Treasurer Josh Frydenberg, who have stood firm for their country and for journalism,” said News Corp CEO Robert Thomson.