Facebook Walks Out – Strikes the Internet Gold Rush in Australia
Facebook Inc’s headlines from Sydney this Tuesday bring a gnawing twist: if Australia passes its landmark news‑pay law, the social media giant says it will halt all news sharing from Aussie users on Facebook and Instagram. The move sends a ripple of friction toward an already tense relationship between Facebook, Google, and the Australian government.
Why the Shock?
- The Aussie Proposal – Australia’s new internet reform will require Google and Facebook to pay a royalty‑style fee to local news outlets whenever their content is sourced.
- Facebook’s Defense – Instead of “paying up,” Facebook proposes shutting down news sharing. The company sees this as “the last resort” to protect the Australian news scene from an illogical burden.
- Google Not the Only Target – Facebook’s stance aligns the US tech giants against Australian lawmakers, effectively putting all of them on the same blockchain of contention.
Official Words from the Facebook Frontline
Will Easton, managing director of Facebook Australia, wrote in a blog post, “If the draft law snaps into place, we’ll reluctantly remove the ability for Aussies to share local and global news on our platforms. This isn’t our first option – it’s our last. We’re taking this stand to shield the long‑term vigor of Australia’s news ecosystem from a tyrannical curse.”
Australian Officials – Sticking to the Game Plan
- Trevor Frydenberg, the Treasurer, claims the law is built for the national interest after a 18‑month inquiry. “The goal is a sustainable media industry that truly pays for fresh content,” he stated.
- Rod Sims, ACCC Chair, slammed Facebook’s reply as “ill‑timed and misconceived.” He emphasizes the bill’s aim: fairness and transparency for media partnerships.
What’s the Buzz from The Media’s Lobby?
Bridget Fair, CEO of Free TV Australia, declared Facebook’s move “bullying.” She warned that the company will pull at users’ rights—including their phone number—if the government doesn’t back down.
The lobby group says the law is the only logical way to level the playing field between big tech and Australian news businesses.
Key Takeaways
- Facebook’s plan: block sharing or pay endlessly for content. Either way, business cannot run under such a system.
- Aussie media faces pressure from two corners: a treaty demanding royalties and a platform threatening to cease content sharing.
- Consumers will feel the squeeze: new ads and pop‑ups from Google and potential bans from Facebook could drive shiny new policy alarms.
In short, Australia’s push to get tech giants to pay news outlets is shaking the social‑media tango. Will Facebook and Google budge, or will the Senate go down the road to a national media revolution? Only time (and maybe a few extra tweets) will tell.
