Facebook shuts out Australian news publishers; in standoff over paying them for posting

Major emergency services were hit in Australia on Wednesday after Facebook barred users from sharing news content. The global social networking giant took this decision in defiance of the proposed Australian law that "requires tech companies to pay publishers when their articles are shared or posted by users".

The ban imposed by Facebook will bar users from across the world from sharing or viewing articles by Australian publishers. Facebook is against paying news outlets who are of the opinion that they should be compensated for the news content they generate, as both Google and Facebook derive benefit from advertising in the online space. The proposal by the Australian government seeks payment for the value that is generated on Google and Facebook, from articles by Australian publishers.

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However, Facebook argues that the content appearing in Google search is not given by publishers voluntarily, whereas a publisher can reach a larger audience by only sharing it on Facebook. Basically, the networking giant intends asks why it should pay the news outlets when publishers and the news companies that publish articles — both are benefitted with the reach it provides?

The Managing Director for Facebook in Australia, William Easton, reacted on the proposal over payment to publishers.

"The proposed law fundamentally misunderstands the relationship between our platform and publishers who use it to share news content. It has left us facing a stark choice: Attempt to comply with a law that ignores the realities of this relationship, or stop allowing news content on our services in Australia. With a heavy heart, we are choosing the latter,” Easton added.

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Publishers already reap tangible benefits from links on Facebook, Easton said. Last year, Facebook generated about 5.1 billion free referrals to Australian publishers, worth an estimated A$407 million ($315 million), he added without providing a basis for the calculation. The social networking giant said that only 4% of content on Facebook is news. Since 2018, it has also reduced the articles on Facebook, in order to make way for the number of posts people can see about their family and friends, it put forth.

In the meantime, Australia's environment minister Sussan Ley tweeted, "The Bureau of Meteorology's Facebook page has been impacted by the sudden Facebook news content restrictions. Weather info is always available at http://bom.gov.au" 

Several pages including those of the Australian Meteorology department and Fire department among others went blank on Wednesday. Authorities in Australia have raised concerns and are awaiting a response from Facebook. The sudden ban by Facebook on news in Australia has also barred users from viewing updates by health departments about coronavirus. 

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The Australian capital Canberra that accommodates many government offices also witnessed trouble in getting updates. Meanwhile, it is yet to be seen whether Facebook or Australia will blink first in this particular standoff.

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