NMA announces positive developments for publishers

The UK Parliament has passed the Digital Markets, Competition and Consumers Bill, paving the way for Australia-style payments to news publishers from tech giants. The legislation was rushed through in the “wash-up” process following the calling of a UK general election on 4 July.

Under the new law, tech companies like Google, Facebook, and Apple can be given “strategic market status” and regulated by the Digital Markets Unit, a division of the Competition and Markets Authority. The DMU will have the power to compel tech companies to pay for news content on their platforms and establish codes to ensure consumer interests are served. Tech companies could face fines of up to 10% of their annual turnover if they abuse their market positions.

The bill also outlines requirements for tech giants, such as trading on fair terms, handling complaints effectively, providing clear information to users, and giving notice of significant changes. Google, for example, may need to notify publishers of search algorithm changes.

The passing of the bill has been welcomed by UK publisher organizations, including the News Media Association and the PPA. NMA chief executive Owen Meredith emphasized the importance of addressing market failure in the digital economy and creating a level playing field between publishers and platforms. The PPA highlighted the positive impact the bill will have on fostering a competitive digital economy and addressing the dominance of large tech platforms.

Overall, the bill is seen as a significant step in regulating the behavior of big tech companies and protecting consumer interests. Business minister Lord Offord of Garvel believes the bill will drive growth, innovation, and productivity while protecting consumers.