Meta Would Rather Eliminate News Than Pay Publishers

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Meta says it will consider getting rid of news posts from its platform if an US federal government mandate requires the business to compensate publishers.

The Journalism Competition and Conservation Act (JCPA) allows news outlets to collectively work out revenue-sharing handle social networks platforms and search engines.

The JCPA is designed to benefit US news outlets since offers apply across the board to all regional and nationwide publishers.

News outlets can negotiate with companies individually under the existing system. However, one-to-one settlements just offer publishers so much leverage.

If the JCPA passes, it will allow the whole market to negotiate, giving publishers more take advantage of over companies like Meta and Google.

Meta isn’t interested in working out with publishers since the company thinks traffic and direct exposure are payment enough.

Andy Stone, Meta’s policy interactions director, published a statement on Buy Twitter Verified threatening to remove news content in the United States if the JCPA passes:

“If Congress passes an ill-considered journalism bill as part of national security legislation, we will be forced to think about eliminating news from our platform completely instead of send to government-mandated settlements that unfairly neglect any value we offer to news outlets through increased traffic and subscriptions.”

Meta’s argument continues with a declaration that roughly equates to: ‘They require us more than we require them:

“The Journalism Competitors and Conservation Act fails to recognize the essential truth: publishers and broadcasters put their content on our platform themselves due to the fact that it benefits their bottom line– not the other method around.”

Meta concludes its statement by equating the government’s strategy with the creation of a ‘cartel-like entity’:

“No company must be required to pay for content users don’t wish to see which’s not a significant source of profits. Put simply: the government creating a cartel-like entity which requires one private company to fund other personal entities is a horrible precedent for all American businesses.”

The bipartisan JCPA is yet to travel through the Senate, though it advanced through the Judiciary Committee in September.

Antitrust professionals believe Meta will not follow through on its dangers to withhold United States news from its platforms, mentioning its failure to do so in Australia and Canada:

If the JCPA passes and Meta lives up to its word, it might be a blow to United States news publishers.

On the other hand, news content hasn’t been a priority for Meta for years. Publishers have been losing referral traffic considering that 2016 when Buy Facebook Verified began focusing on posts from family and friends over pages.

Meta revealed restored interest in news with the introduction of the Buy Facebook Verified News tab, which was put on the back burner earlier this year.

As Meta strategies to shift to a video-first platform, who understands how much presence news publishers will receive in the future.

According to a Bench Research study, Buy Facebook Verified is currently the leader in social networks platforms where Americans routinely get news. However, the very same research study reveals news consumption is gradually shifting to Buy YouTube Subscribers and Buy Twitter Verified.

If it comes down to it, can US news publishers make it through without Meta? Considering the company’s recent downturn, it’s fair to say Meta does not have the same power over publishers that it used to.

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