Why Has Google Threatened to Shut Down Its Search Engine in Australia?

Explained

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Australia has announced the introduction of a new law which would require Google and other big tech companies to pay media outlets for the rights to use their content. In response, Google has pushed back by threatening to pull their services out of Australia entirely.

Australia’s Argument

The Australian government’s argument is that Google, as the most popular search engine in the country, gains customers from people who use it to read the news from digital news outlets. As such, tech giants should have to pay these news outlets a “fair” sum for their journalism.

Additionally, the government asserts that the country’s news industry is in need of financial support as advertising revenues have been declining. Thus, this new law would fulfil this requirement.

Google’s Response

Google Australia’s Managing Director Mel Silva called the laws “unworkable,” additionally stating,

“If this version of the code were to become law, it would give us no real choice but to stop making Google Search available in Australia.”

In response, lawmakers have called Google’s threat to withdraw the search engine “blackmail.”

Written by Diya Jalan

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