The South African Competition Commission has proposed remedies to address imbalances caused by digital platforms in the national news distribution system. After 16 months of investigation, the report suggests financial compensation for local news outlets by Google and algorithmic changes to promote local reporting. Public feedback is invited for six weeks before the final report is published.
The South African Competition Commission has released a provisional report aimed at addressing imbalances in national news distribution attributed to major digital platforms such as Google, TikTok, and Meta. This initiative follows a 16-month investigation into the impact of these companies on the local media landscape, where digital platforms now serve as the primary source of news for 87% of the population. The public is invited to provide feedback on the proposed remedies for a period of six weeks, ahead of a final report expected in four to five months.
To rectify the disruptions caused by digital giants, the Commission recommends that Google compensate local news organizations with amounts ranging from ZAR 300 million (USD 16.2 million) to ZAR 500 million (USD 27.1 million). Additional proposals include modifying algorithms to prioritize local news, allowing news organizations to opt-out of AI-generated summaries without losing traffic, and holding social media accountable for misinformation. These steps aim to enhance the financial viability and visibility of domestic media.
The investigation also emphasized the necessity of adapting to changes introduced by advancements in artificial intelligence (AI) and advertising technology (AdTech), while acknowledging the challenges faced by traditional media like television and print. Ongoing lawsuits highlight the contentious nature of AI companies utilizing published content to develop their models, further exacerbating financial strains on journalists who are inadequately compensated for their work.
In conclusion, the South African Competition Commission’s initiative seeks to rectify the skewed dynamics of the national news sector influenced by digital platforms. By proposing financial remedies and structural changes, the Commission aims to enhance the sustainability of local news organizations, ensuring equitable access to information for all citizens. As the public engages with the proposed measures, the final report will shape the future of digital journalism in South Africa.
Original Source: www.africanlawbusiness.com
