Indonesia to require Google, Meta to compensate news publishers

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Indonesia has introduced a new presidential decree that will require digital platforms like Meta and Google to pay news publishers in exchange for distributing their content. The new law will go into effect six months after yesterday’s signing by outgoing president Joko Widodo (Jokowi).

Dubbed the Publisher Rights decree, it stipulates that digital platforms are responsible for maintaining a healthy news publishing business. Among the ways they can do so include designing a news distribution algorithm that supports quality journalism as well as partnering with news publishers.

These partnerships may comprise a paid licensing arrangement, profit sharing, data sharing, or any other agreed type.

In an event celebrating Indonesia’s national press day, Jokowi noted that the Publisher Rights decree was initiated by media firms themselves, not the government.

“We want journalism that is high quality, journalism that is far from negative content, journalism that educate for Indonesia’s development,” he said.

In a statement quoted by CNBC Indonesia, Google touted the importance of access to “diverse news sources” as well as an ecosystem that would help both big and small publishers to develop.

Over the years, Google and Facebook have become important distribution channels for news. However, this has led to plummeting advertising revenue for publishers.

Indonesia’s new decree follows those already implemented in Australia and Canada, with several other countries likely to follow suit.