South Africa’s Competition Commission Tackles Digital Journalism Inequalities
The South African Competition Commission has unveiled a provisional report to rectify digital journalism disparities caused by firms like Google and Meta. Recommendations include financial compensation for news agencies and changes to how digital platforms operate, particularly regarding local news visibility. The report highlights ongoing challenges in monetization for media organizations and underscores public access to information as a constitutional right.
The South African Competition Commission has released a provisional report detailing remedies to address inequalities in news distribution influenced by digital giants like Google, TikTok, and Meta. This preliminary report, published on February 24, invites public comments for six weeks before a final report is expected in four to five months.
After a 16-month investigation, the Commission found that as audiences shift online, 87% of news consumption occurs via digital platforms. Notably, Google and social media are primary sources for news, highlighting the precarious position of traditional print media.
To address the imbalance, the Commission recommends that Google pay local news agencies between ZAR 300 million (USD 16.2 million) and ZAR 500 million (USD 27.1 million). Additionally, it suggests tech companies modify their algorithms to favor local news, enhance monetization opportunities for news organizations, and implement stricter fact-checking measures on social media.
The investigation examined the impact of AI and AdTech, along with traditional media forms, on news monetization. Concerns were raised regarding AI companies using published reports to train models, which undermines revenue for journalists while utilizing their content without compensation.
Despite ongoing efforts to monetize news, many South Africans are unable to afford media subscriptions. This situation obstructs their access to information, as emphasized under section 39(2) of the South African constitution. Concurrently, the Expropriation Act has drawn criticism for its potential adverse effects on the country’s financial stability since its enactment earlier this year.
The South African Competition Commission’s report underscores the urgent need to address the inequalities in the news landscape caused by digital platforms. By proposing financial compensation and algorithmic changes, the Commission aims to support local news organizations and enhance public access to information. The broader implications suggest significant challenges for both the media industry and regulatory frameworks in the digital age.
Original Source: www.africanlawbusiness.com
