Google To Stop Linking To News Content In New Zealand

(RTTNews) - Google's New Zealand division, in an update addressing the country's Fair Digital News Bargaining Bill, said it would be forced to stop linking to news content on Google Search, Google News, or Discover surfaces in the country. The Bill proposes a "link tax" that would require Google to pay simply for linking to news articles.

In a New Zealand Blog post, the company said it would discontinue its current commercial agreements and ecosystem support with New Zealand news publishers.

Even though the Government's efforts to foster a sustainable future for New Zealand news is supported, Google said it is concerned about the Bill as it is not the right approach. According to the company, the proposed "link tax" model is fundamentally flawed and would generate unintended consequences and unsustainable models.

Link taxes are in conflict with the principles of the open web, and have not proven effective in supporting journalism. Similar situations were experienced in Australia and Canada, where other platforms have disengaged after deciding it's no longer feasible to carry news links.

The tech major said it has outlined these various concerns transparently in public submissions and in ongoing consultation with the Government.

Google had informed the Government that it would be forced to make significant changes to its products and news investments if the Bill were to proceed on its current trajectory and become law. The firm also had warned that it would discontinue current commercial agreements and ecosystem support with New Zealand news publishers.

The firm stated, "These are not outcomes we want for New Zealanders, news publishers, or our business. We believe there is a sensible path forward and have proposed reasonable alternatives to the Government that do not harm smaller, local or regional publishers and maintain the principles of the open web, in line with recent agreements we've reached elsewhere."

Google added that, through local partnerships and investments, it continues to contribute to a sustainable, diverse and innovative news ecosystem in New Zealand, including through Google News Showcase - a licensing program that covers over 95% of New Zealand digital news publishers. With this, the company pays millions of dollars per year to almost 50 local publications.