The Australian Competition and Consumer Commission has opened up consultation on its draft bargaining code between digital platforms and news media.

The bargaining code arises from the digital platforms inquiry, completed in 2019, and looks to address issues of power between the two groups in negotiating payments for content.  In particular, the digital platforms considered are Google and Facebook, while the news media covers all media organisations providing news to Australian services.

The concepts paper sets out 59 questions it is seeking input on, with submissions required by 5 June (a brief 14 working days consultation window). The consultation questions pose range from the definition of news to be covered under the code, to issues around bargaining, use of user data, and the way the digital platforms algorithms operate.

The ACCC anticipates it will release a draft mandatory code for public consultation in late July 2020. With digital platforms attracting attention from regulators around the world, it is likely that Australia’s response will be of interest as one of the first regulators to take action in this particular area.

Frontier Economics regularly advises clients on issues in telecommunications, media and digital platforms.

For more information, contact us.

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