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ABC And SBS Seek Tech Giant Payments

Sydney, Australia - October 18, 2014: The ABC Ultimo Centre, the headquarters of the Australian Broadcasting Corporation.
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The ABC and SBS have put their hands up to receive payments from Facebook and Google as part of the ACCC’s bargaining code between tech giants and media organisations.

In submissions to the ACCC, reported on by The Sydney Morning Herald, the public broadcasters have argued that if revenue sharing does occur – as is expected – both organisations argue they should be included in any payments.

This is despite the fact they do not rely on advertising to fund operations.

The ABC – which has been forced to make a number of job cuts of late – did not state which payment model it would like to see, but said if revenue sharing does occur, it should be included.

SBS also put forward its case.

“The bargaining power between major digital platform operators and news media organisations must be appropriately balanced so news providers are adequately compensated for their content and have access to the information needed to best serve their audiences,” an SBS spokesperson told the Herald.

“The Code should make provisions for collective bargaining, while also allowing flexibility for individual news media businesses to continue to agree individual commercial arrangements with the digital platforms, either as part of or outside of the Code processes.”

A draft of the mandatory code between tech giants and media businesses is expected to be handed down next month.

Last month Nine chairman Peter Costello suggested Google and Facebook should pay Australian media companies around $600 million per year, equating to around 10 per cent of local revenue.

News Corp Australasia executive chairman Michael Miller has said this figure should be closer to $1 billion.

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