Google says it would stop linking to news in New Zealand if country passes law forcing revenue-sharing deals with media publishers
Google said it would stop linking to news articles in New Zealand and terminate existing support for local media outlets if the government passes a law forcing tech companies to pay for articles displayed on their platforms.
The promise echoes a strategy employed by Google and Facebook parent Meta in countries such as Australia and Canada over similar laws.
The New Zealand government in July said it would push ahead with a bill begun by the previous administration that would force platforms to make revenue-sharing deals with media outlets.
The move was a surprise as the National party that leads the government previously opposed the law when it was introduced in 2023.
News links
The shift is likely to be a response to figures earlier this year showing New Zealand lost 200 newsroom jobs in an industry that totalled 1,600 reporters according to a 2018 census.
Google New Zealand country director Caroline Rainsford said in a blog post that the law would force Google to change its involvement with the country’s media industry.
“Specifically, we’d be forced to stop linking to news content on Google Search, Google News, or Discover surfaces in New Zealand and discontinue our current commercial agreements and ecosystem support with New Zealand news publishers,” Rainsford said.
Google’s existing licensing programme in New Zealand contributed “millions of dollars per year to almost 50 local publications”, she said.
The company believes the bill is contrary to the internet’s openness, would be harmful to small publishers and would create business uncertainty, she said.
‘Corporate bullying’
The New Zealand News Publishers’ Association public affairs director Andrew Holden said Google’s statement amounted to “threats” that reflected “the kind of pressure that it has been applying” to governnments and news outlets.
He said the government was being subjected to “corporate bullying”.
New Zealand Minister for Media and Communications Paul Goldsmith said he was considering a range of views from the sector.
“We are still in the consultation phase and will make announcements in due course,” he said in a statement.
“My officials and I have met with Google on a number of occasions to discuss their concerns, and will continue to do so.”
Goldsmith said in July he intended to pass the law by the end of the year.
Forced bargaining
Google and Meta stopped linking to news in Australia in 2021 ahead of the passage of a law similar to the one New Zealand is considering, but later partially relented and formed revenue deals with news publishers.
But Meta said this year it will not renew those agreements and is considering reinstating a news blackout if the Australian government applies the law.
Google is also reportedly renegotiating its agreements in Australia.
The two companies ceased support for local media in Canada last year as the government prepared to pass a similar law.
Google said last November it would contribute 100 million Canadian dollars (£56m) a year to Canadian news outlets.
