Google is making headlines once again, this time for its decision to test removing links to California news sites for some users in the western US state. This move comes as legislators in California consider passing the California Journalism Preservation Act (CJPA), which would create a “link tax” for connecting users in the state to news articles.
Jaffer Zaidi, Google Global News Partnerships vice president, expressed concerns about the potential impact of the CJPA, stating that the uncapped financial exposure created by the proposed law would be unworkable. Google and Meta, the parent company of Facebook, have been vocal opponents of similar laws in other jurisdictions that would require them to compensate news outlets for stories shared on their platforms.
In response to the CJPA, Google is conducting a trial to measure the effect of removing links to news websites that could be covered by the law. Zaidi revealed that only two percent of Google search queries are news-related, as people increasingly turn to other sources such as short-form video, newsletters, podcasts, and social media for news.
Google is also pausing investments in the California news “ecosystem” until there is clarity on the regulatory landscape. Zaidi emphasized the importance of support from both the California government and private companies for a healthy news industry in the state.
This development underscores the ongoing debate around tech giants’ role in the news industry and the need for a sustainable business model for journalism in the digital age.
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