The bill would require tech giants like Facebook and Instagram to pay news outlets whose stories appear on their platforms.
Meta, the parent company of Facebook and Instagram, is threatening to pull news content from its sites in California if the state passes a bill that would require tech companies to pay media organizations for their content.
California lawmakers claim the bill is intended to save local news agencies that have seen declines in revenue and traffic on their sites, as most Americans consume their news through social media. Assemblymember Buffy Wicks of Oakland, who authored the bill, called Meta's response a"scare tactic" that seeks to avoid accountability.
"The bill fails to recognize that publishers and broadcasters put their content on our platform themselves and that substantial consolidation in California's local news industry came over 15 years ago, well before Facebook was widely used," Meta spokesman Andy Stone said in a statement. "It is disappointing that California lawmakers appear to be prioritizing the best interests of national and international media companies over their own constituents.
"Meta's threat to take down news is undemocratic and unbecoming," NMA said in a statement. "We have seen in their playbook before and they have been publicly admonished in other countries for this behavior."Australia passed a similar law in 2021. While it led to a brief shutdown of Australian news on Facebook, big tech companies eventually reached an agreement and the law resulted in $140 million in payments from Google and Meta last year. U.S.
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