Google says it will shut down search engine in Australia if it is forced to pay for the news



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Alphabet Inc’s Google on Friday said it would block its search engine in Australia if the government introduced a new code that would require it and Facebook Inc to pay media companies for the right to use their content. .

The threat from Google escalates a battle with publishers such as News Corp which is closely watched around the world. The search giant had warned that its 19 million Australian users would face degraded search and YouTube experiences if the new code were implemented.

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Australia is in the process of passing laws that would require tech giants to negotiate payments with local publishers and broadcasters for content included in search results or news feeds. If they can’t strike a deal, a government-appointed arbitrator will decide the price.

“Coupled with the unmanageable financial and operational risk if this version of the Code becomes law, it would give us no choice but to stop making Google Search available in Australia,” said Mel Silva, Managing Director for Australia and New Zealand. a Senate committee.

Silva made no mention of YouTube in her prepared remarks.

Google’s comments were heavily criticized by Australian Prime Minister Scott Morrison, who said the country was setting its rules for “what you can do in Australia”.

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“People who want to work with this in Australia, you are welcome. But we are not responding to threats,” Morrison told reporters.

Google called the code too broad and said without revisions offering even a limited search tool would be too risky. The company does not disclose sales in Australia, but search ads are its main contributor to revenue and profits globally.

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The United States government this week called on Australia to scrap the proposed laws, which have broad political support, and suggested Australia pursue a voluntary code instead.

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Australia announced the legislation last month after an investigation found that Google and social media giant Facebook had too much market power in the media industry, a situation it said posed a potential threat. for a well-functioning democracy.

Google’s threat to limit its services in Australia came just hours after the internet giant struck a payment for content deal with some French newspaper publishers as part of a 1.3 campaign to support billion dollars over three years.

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Google’s testimony “is part of a pattern of threatening behavior that shivers down the spine for anyone who appreciates our democracy,” said Peter Lewis, director of the Center for Technology responsible for the Australian Institute.

(Reporting by Renju Jose; Editing by Byron Kaye and Gerry Doyle)

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