Meta Issues Warning of News Block on Facebook in Australia Over Licensing Fees

Meta has issued a stark warning that it may block news content on Facebook in Australia if the government proceeds with imposing licensing fees. During a parliamentary hearing, Meta's regional policy director, Mia Garlick, emphasized that all options are being considered to avoid paying fees mandated under Australia's 2021 law. This law grants the government authority to set fees that tech giants like Meta must pay to media outlets for sharing their content.

Garlick underscored that Meta had previously reached agreements with Australian media entities, such as News Corp and the Australian Broadcasting Corp, when the law was initially introduced. However, Meta has signaled its intention not to renew these agreements beyond 2024. The decision now rests with Australia's assistant treasurer, who is deliberating whether to enforce payment obligations on Facebook for news content.

In response to queries about the potential blocking of news in Australia, Garlick asserted that such action would be a form of compliance with the law, rather than circumvention. She defended Meta's operational procedures, including mechanisms for Australians to report harmful misinformation and scams, although she noted that content moderation centers are located outside Australia.

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The issue of fraudulent advertisements also surfaced during the hearing, notably those involving Australian mining billionaire Andrew Forrest. Forrest is pursuing legal action against Meta over cryptocurrency scam ads that featured his likeness. Garlick acknowledged the challenges in combating such scams but assured that Meta has robust systems in place to detect and prevent misleading advertisements.

Greens Senator Sarah Hanson-Young pressed Garlick on Meta's accountability as an advertising platform, questioning how the company could consider itself an advertising business when some advertisements promote falsehoods. Garlick responded by outlining Meta's policies and tools aimed at mitigating such issues, despite the complexities involved.

The developments in Australia echo similar disputes Meta has encountered globally, including in Canada, where it also resisted paying fees mandated under comparable legislation. The outcome in Australia hinges on the government's decision regarding the enforcement of these fees, with Meta poised to take decisive action depending on the regulatory framework established.

June 28, 2024 1:20 p.m. 403

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