Australia finalizes bill requiring tech giants to pay news publishers

 JournalismPakistan.com |  Published: 4 August 2026 |  JP Global Monitoring

Australia finalised the News Bargaining Incentive bill that requires major digital platforms to negotiate deals with eligible news publishers or pay a 2.5% levy on local digital ad revenue, and strengthens support for smaller, regional and freelance media.

Summary

SYDNEY — Australia has finalized legislation that would require some of the world's largest digital platforms to either strike commercial agreements with news publishers or pay a new levy, marking the latest effort by the Albanese government to bolster the long-term sustainability of public interest journalism.

The government announced on August 3 that the finalized News Bargaining Incentive (NBI) bill will be introduced in the next parliamentary session. Under the proposal, major platforms including Meta, Google, TikTok, and LinkedIn would be encouraged to negotiate commercial deals with eligible Australian news organizations or face a levy equal to 2.5% of their Australian digital advertising revenue.

Support for smaller publishers

The final version of the legislation contains several changes following public consultation, with a stronger emphasis on supporting smaller and regional news organizations.

The government has increased the fee deduction rate for commercial agreements involving smaller and regional publishers, giving digital platforms greater financial incentives to negotiate with independent and local media outlets. The bill also expands the legal definition of a journalist to include freelance journalists and introduces measures intended to support emerging and start-up news organizations.

The levy would apply to platforms operating significant search or social media services in Australia with local digital advertising revenue above the government's threshold. Companies that enter qualifying commercial agreements with eligible publishers can reduce or eliminate their liability under the scheme.

Evolution of the proposal

The finalized legislation reflects changes made after consultation on draft laws released in April. While the levy rate has been increased from the earlier proposed 2.25% to 2.5%, the charge will now be calculated on Australian digital advertising revenue rather than broader business revenue. The government has said the revised structure is intended to maintain the overall financial incentive for platforms to negotiate with news publishers while better aligning the levy with advertising income.

Another significant change is the inclusion of LinkedIn after the removal of an earlier exemption for professional networking services, broadening the range of digital platforms covered by the legislation.

The NBI builds on Australia's landmark News Media Bargaining Code introduced in 2021, which sought to address the imbalance in bargaining power between global technology companies and domestic news organizations. While that framework initially resulted in commercial agreements worth hundreds of millions of Australian dollars, the government has argued that changes in platform policies, particularly Meta's decision not to renew several news deals, revealed weaknesses that required a new regulatory approach.

Industry reaction and broader implications

The revised proposal has drawn mixed reactions from Australia's media industry. Many publishers continue to support legislation requiring technology companies to contribute financially to journalism, describing it as an important step toward sustaining public interest reporting.

However, some major media companies have argued that shifting the levy to digital advertising revenue could reduce its financial impact and create opportunities for large technology firms to minimize their obligations. Industry executives have called for stronger safeguards to ensure the scheme delivers meaningful support across the news sector, particularly for regional journalism.

If approved by Parliament, the legislation would reinforce Australia's position as one of the leading countries pursuing regulatory mechanisms to require major digital platforms to help fund journalism. The inclusion of freelancers, start-up publishers, and additional incentives for regional media also signals a broader policy focus on maintaining diversity within Australia's news ecosystem as traditional business models continue to face pressure from digital platforms.

ATTRIBUTION: Based on an official announcement by the Australian government on August 3, 2026, with additional reporting and context from Reuters, August 3, 2026, and publicly available Australian government documents.

PHOTO: AI-generated; for illustrative purposes only.