Zuckerberg failed to convince Australia to drop new law

Photographer: Marlene Awaad / Bloomberg

Facebook Inc. CEO Mark Zuckerberg’s meeting with Australian treasurer Josh Frydenberg last week failed to resolve the dispute between the social media giant and the country over proposed changes to media laws.

“Mark Zuckerberg hasn’t convinced me to back down, if that’s what you’re asking,” Frydenberg told Australian Broadcasting Corp’s “Insiders” Sunday. The billionaire “reached out to talk about the code and its impact on Facebook” in what the treasurer called “a very constructive discussion”.

Tech giants, from Facebook to Alphabet Inc.’s Google, have battled Australian lawmakers over the bill requiring them to pay for the use of media content. The new laws are designed to support the local media industry, including News Corp. by Rupert Murdoch, who has struggled to adapt to the digital economy.

Facebook has threatened to prevent Australians from sharing information on its platform if the law passes, while Google has said it could remove its search engine entirely from the Australian market.

Frydenberg said on Sunday that while he doesn’t reject Google’s threats, he’s not “intimidated” by them either.

Australia says Google will have to pay for the news

“We’re in a detailed discussion with Google, with Facebook, with other industry players, because it hasn’t been a short conversation we’ve had with these companies,” he said.

Prime Minister Scott Morrison also spoke with Microsoft Corp. CEO Satya Nadella about the proposed changes, Frydenberg said.

“At every step of the process, these companies have been consulted,” said the treasurer. “What I do know is that media companies should be paid for the content.”

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