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B&T > Media > “It Is Encouraging”: Government Finalises Code As Nine And Google Agree To $30M Deal
Media

“It Is Encouraging”: Government Finalises Code As Nine And Google Agree To $30M Deal

Staff Writers
Published on: 17th February 2021 at 11:44 AM
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Nine and Google have agreed to a deal that will see the tech giant pay more than $30 million a year for the use of news content.

According to the Sydney Morning Herald, a letter of intent regarding the deal was signed overnight, with the agreement to be formalised in the coming weeks.

The deal is said to be worth more than $30 million in cash annually over the next five years. The deal is said to be more valuable than the agreement between Google and Seven West Media – announced on Monday – which was also reported to be worth around $30 million.

And while the deal covers the Google News Showcase, a global initiative from the tech giant, it is also extended to different products such as Subscribe with Google and covers content from Nine’s newspapers, television, radio and digital assets.

In a statement to B&T, a Nine spokesperson said:

“We continue to have constructive discussions with the digital platforms and when we have anything to announce we will do so to the ASX as is appropriate.”

Amendments made for Bargaining Code

News of Nine’s deal comes as the government prepares to finalise the News Media Bargaining Code legislation.

In a joint statement, Treasurer Josh Frydenberg and Minister for Communications Paul Fletcher [pictured] said Google’s deals with Nine and Seven are “encouraging”.

They also revealed that the government would be making “a number of clarifications and technical amendments that will improve the workability of the Code while retaining its overall effect”.

Included in the changes are:

  • ‘streamlining’ the requirements of digital platforms to give advanced notice of algorithmic changes
  • clarification of the arbitration process
  • clarification of the role of the ACCC
  • adjustments to the anti-avoidance provisions

Google has been vocal in its opposition to some of the previous requirements of the Code, particularly around arbitration and notifying media companies of algorithmic changes.

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Staff Writers
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Staff Writers represent B&T's team of award-winning reporters. Here, you'll find articles crafted with industry experience spanning over 50 years. Our team of specialists brings together a wealth of knowledge and a commitment to delivering insightful, topical, and breaking news. With a deep understanding of advertising and media, our Staff Writers are dedicated to providing industry-leading analysis and reporting, both shaping the conversation and setting the benchmark for excellence.

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