The South African Competition Commission has released a provisional report addressing inequalities in news distribution caused by digital giants like Google, TikTok, and Meta. It recommends reparations for news organizations and adjustments to digital platforms to enhance local news visibility. Public feedback is invited ahead of a final report expected in several months, while the ongoing struggle for fair access to media subscriptions remains a critical issue.
The South African Competition Commission has initiated efforts to rectify disparities in the nation’s digital journalism landscape. A provisional report released by the Commission outlines recommended actions aimed at addressing inequalities in news distribution, predominantly attributed to digital conglomerates such as Google, TikTok, and Meta. Public feedback on these proposals is being solicited for six weeks following the report’s release on February 24, with a final report expected in four to five months.
After a thorough investigation lasting 16 months, the Commission identified that digital platforms are the primary source of news for 87% of the population, as traditional print media struggles to retain audiences. This inquiry was conducted under the auspices of section 43B(1)(a) of the Competition Act 89 of 1998, focusing on the role of major tech companies in the shifting media dynamics.
To compensate local news organizations for income disruptions and audience shifts, the Commission has proposed that Google provide financial reparations ranging from ZAR 300 million (USD 16.2 million) to ZAR 500 million (USD 27.1 million). Additionally, it recommends changes to algorithms to promote local news, allow news outlets to choose anonymity in AI-generated summaries, and enhance accountability for misinformation on social media platforms.
The report encompasses a comprehensive analysis of how innovations like AI and AdTech have affected monetization across various media, including traditional formats like television and radio. The challenge is exacerbated by ongoing litigation against AI firms for utilizing published journalism without proper consent or compensation, undermining the financial viability of media outlets.
Despite ongoing efforts to innovate monetization strategies, many South Africans face financial barriers to accessing media subscriptions, which undermines their constitutional right to information as stipulated in section 39(2) of the South African Constitution. This situation complicates the broader discourse on equity in the digital journalism sector.
Furthermore, South Africa’s Expropriation Act has faced backlash for its potential ramifications on the financial system since its implementation earlier this year.
The South African Competition Commission’s provisional recommendations seek to address digital journalism inequalities exacerbated by major tech firms. The proposed actions, including financial reparations and algorithm changes, aim to improve the sustainability of local news outlets and ensure equitable access to information for the populace. The ongoing challenges highlight the need for innovative solutions in the face of the digitalization of media.
Original Source: www.africanlawbusiness.com
