Facebook recently released a threat in response to the recently proposed law that would force both Facebook and Google to pay the Australian media organizations for putting up their content.
The company's managing director of both Australia and New Zealand, Will Easton, gave a statement saying that if the draft code, later on, becomes a law, they will then completely stop allowing both people in Australia and publishers from sharing either local or international news on both Instagram and Facebook.
The managing director also noted that the course of the decision was not their first choice but rather their last. It was also noted that they are doing that to allegedly protect everyone against an outcome that actually defies logic and in turn will hurt, and not help, the astoundingly long vibrancy of Australia's media and news sector.
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Facebook versus who?
Mr Will Easton then took aim at nonother than the Australian Competition and Consumer Commission otherwise known as the ACCC, which were the ones who drafted the code, accusing it of actually ignoring the whole role of social media towards promoting journalism.
It was also argued that in just the first five months of this year, users had already clicked on the Australian news items that were shared on the platform for over 2.3 billion times. The company then said that this generated a powerful $200 million profit for the Australian media organizations.
It was also noted by Mr Eaton that when the new legislation was crafted, the commission that was overseeing the whole process simply ignored the facts. In addition to this, it was also stated that they also ignored the relationship between both social media and the news media, in which they both benefit from each other.
Australia's response
Treasurer Josh Frydenberg responded to the statement by accusing Facebook of actually making "heavy-handed threats" in its attempt to step away. Mr Flydenberg then said that Australia creates laws for the good of national interest and that they do not respond to any form of coercion or even heavy-handed threats.
They also stated that their reforms to the digital platforms are somewhat world-leading and also follow a new groundbreaking 18-month inquiry made by the ACCC. It was also stated that the reforms will in turn help to create an even more sustainable media landscape and push payment in exchange for original content.
ACCC chair Rod Sims, however, labeled Facebook's recent intervention somewhat "misconceived" arguing that there are many Australians that rely on Facebook in order to deliver news for them.
Sims stated that according to the known University of Canberra's recent Digital News Report this year, 39% of Australians actually use Facebook to access general news while 49% use Facebook for updates about the COVID-19.
Google and other tech giants have also started to speak out. Google even launched an opposition campaign towards these laws, pushing a sort of open letter towards its users.
The fate of Australia's news industry has yet to be decided.