South Africa’s Competition Commission has released a report suggesting remedies for digital journalism imbalances caused by major platforms like Google and Meta. Key recommendations include financial compensation for local news outlets, algorithm adjustments to favor local news, and improved accountability for misinformation. Public feedback is invited for six weeks before a final report is released in 4-5 months.
The South African Competition Commission has proposed measures to rectify inequalities in news distribution stemming from digital platform dominance. A preliminary report released on February 24 suggests that companies like Google, TikTok, and Meta have exacerbated challenges faced by traditional media, which increasingly depend on digital platforms for audience reach.
The Commission’s 16-month investigation highlights that 87% of news seekers find information via Google and social media, as print media struggles. Under the Competition Act of 1998, the Commission is seeking public feedback on its report over the next six weeks before finalizing its recommendations within four to five months.
Key proposals include requiring Google to compensate local news outlets between ZAR 300 million to ZAR 500 million and urging tech firms to improve their traffic algorithms favoring local news. They also recommend measures such as enabling news organizations to decline AI-generated summaries without loss in online traffic, ensuring accountability for misinformation on social platforms, and enhancing monetization opportunities for news providers.
The inquiry also addressed how digital innovations, including artificial intelligence and advertising technology (AdTech), impact monetization across different media forms. This situation is complicated by ongoing lawsuits against AI entities accused of using licensed news content without proper compensation, undermining journalists’ work and revenue.
The South African Competition Commission’s proposed remedy aims to balance the scales for local news organizations, addressing the competitive disadvantages they face against large digital platforms. With a call for public commentary, the final recommendations could significantly reshape the digital news landscape, promoting fairer practices and supporting a more equitable media environment.
Original Source: www.africanlawbusiness.com
