Big tech must be treated like media: Sims

ACCC chair Rod Sims says Facebook, Google are publishers, who should be regulated like media.

Rod Sims has described technology giants Facebook and Google as publishers who should be regulated as such. Picture: John Feder/The Australian.

ACCC chair Rod Sims has described technology giants Facebook and Google as publishers, who should be regulated in a similar way to traditional media.

Following the release of the ACCC’s final report into the market power of digital platforms, Mr Sims said Google and Facebook should be subject to the same laws as publishers and broadcasters.

Mr Sims told Sky News Business Weekend a new code of conduct regulating the relationship between digital platforms and traditional media would have “real teeth”.

He said if implemented media companies would start to receiving more revenue for their original content being used by the likes of Facebook and Google to make money.

“In many ways they are publishers and so we have to make sure we break that distinction that’s been there before,” Mr Sims said on Sky News’ Business Weekend this morning.

“Really you should have Google and Facebook being subject to...the same laws that apply to traditional media otherwise it’s simply an unfair playing field.

“They should be regulated in a very similar way to traditional media and in many senses, they are publishers.”

.@acccgovau boss Rod Sims on increasing regulatory oversight on @Google and@facebook: These platforms are publishers, and thus should be subject to the same laws as traditional media

MORE: https://t.co/ykweMevBOK #BusinessWeekend is presented by @Westpac pic.twitter.com/Wvyy4bN3yx

— Sky News Australia (@SkyNewsAust) July 28, 2019

Mr Sims, who described the final report as “very hard hitting”, said as a regulator, the ACCC were capable of following through with its proposed recommendations, including the potential creation of a digital markets branch of the ACCC, which would enforce a code of conduct on Google and Facebook.

“I don’t think in recent years the ACCC has been accused of lacking mettle,” he said.

“We’ve taken on some of the biggest companies around the world including Apple, Visa, Heinz. No, there’s no problem there. We do need some changes to the laws and of course we do need to have a focused unit looking at this, because you can’t just do this alongside your other business.

“We definitely need a dedicated unit, and have no doubt we’ve got the mettle.”

Big Tech not to be trusted: Labor

Opposition communications spokeswoman Michelle Rowland says she does not trust tech giants Google and Facebook to crackdown on “fake news” without new regulatory intervention.

Ms Rowland this morning said the owners major tech platforms have proven they are motivated by profit rather than what is in the public interest.

She does not believe they would take adequate initiative to stop the spread of false information without being forced by government.

“I don’t, but that is my personal view. The very fact that these organisations are there to make a profit, the profit is the primary driver. That is not to say they are very conscious of their public relations side,” Ms Rowland told Sky News

“I think you would need to question whether the Australian consumers at large would trust them to do that, particularly given the privacy breaches.”

But Ms Rowland also urged caution on establishing a government body to decide what fake news is.

“While instinctively we would be anti-fake news, I think that you would need to exercise caution in how that is done,” she said.

“You don’t want a regulator, for example, who is censuring what actually goes out to people.

“Because the whole idea of the internet is that it provides freedom of information and democratisation on that platform.”

.@MRowlandMP on dismantling tech giants: You should have proportionate regulation, you should regulate to the extent necessary in order to remedy breaches of market power. Divestiture is at one very extreme end.

MORE: https://t.co/ykweMevBOK #speers pic.twitter.com/NihiPCQD6J

— Sky News Australia (@SkyNewsAust) July 27, 2019

On Friday, the Australian Consumer and Competition Commission released its report into digital platforms, with the government to respond to its 23 recommendations by the end of the year.

Under the recommendations, Facebook and Google could be forced to share revenue from journalism with traditional media, face investigations by a new digital branch of the competition watchdog and be fined for the spreading of fake news.

Communications Minister Paul Fletcher this morning said the government would consider creating a new digital markets branch of the ACCC and forcing a new code of conduct on Google and Facebook.

“The government accepts the ACCC’s overriding conclusion that there’s a need for reform. We accept the recommendation or the proposal that there needs to be a harmonisation of the media regulatory framework,” Mr Fletcher told the ABC.

“At the moment, there are very different ways in which traditional media businesses like free-to-air television providers are regulated, for example in relation to Australian content, compared to the digital platforms.

“Clearly one of the questions is obligations on free-to-air television network and on subscription TV for Australian content. Does it stack up for Netflix not to have such obligations? Those are questions that we’ll consider.”

"Would you like to see #Netflix making a bigger contribution to the Australian economy?" @annabelcrabb asks @PaulFletcherMP, as the Government looks to tighten laws on online media companies #Insiders #auspol pic.twitter.com/JntkGpGd2J

— Insiders ABC (@InsidersABC) July 27, 2019