Tech companies invoke possibility of Trump’s wrath in fight against Labor’s media laws

Australian tech companies, including Meta, Google, and TikTok, are opposing a proposed government law that would require them to pay news organizations for content or face a 2.25% levy on local revenue. These companies argue the "news media bargaining incentive" violates the US-Australia free trade agreement and could provoke retaliation from a Trump administration. They claim the proposal is a "discriminatory tax" and that news outlets already benefit commercially from sharing content on their platforms. US tech lobby groups echo these concerns, citing potential inconsistencies with trade agreement rules. Australian media executives, however, argue the law is necessary for journalism's sustainability and that tech companies should pay for the content they profit from.

Meta, the parent company of Facebook, has strongly criticized Australia's proposed News Bargaining Incentive (NBI) legislation. The company argues the plan is "grossly unfair" and "poorly designed," claiming it would insulate news publishers from the need to innovate and build sustainable business models. Meta also stated the proposals violate Australia's free trade agreement with the United States, calling them "economically incoherent." Under the NBI, digital platforms would face a levy on Australian revenues if they do not negotiate payment deals with Australian news outlets for their content. The collected revenue would then be distributed to media outlets based on their journalist numbers.