Google enters into a news content sharing deal with Seven West Media

Seven West Media, one of Australia’s leading news outlets, has become the first major outlet to enter a licensing deal with Google. In a recent earning briefing, Seven West Media announced that it would generate content for the Google News Showcase platform without going into terms.

The news comes in the wake of Google’s refusal to agree with paying “content fees” to the Australian government and threatening to shut its Australia operations if forced to do so.

The deal indicates Seven’s move against its main competitors, News Corp and Nine Entertainment, both of whom were unable to pull off an agreement with Google, opting instead to back laws that require the search engine giant to pay content fees to the government.

“The negotiations with Google recognize the value of quality and original journalism throughout the country and, in particular, in regional areas,” stated Seven West Chairman Kerry Stokes.

The Google Australia CEO, Mel Silva, proclaimed that the American company was “proud to support original, trusted, and quality journalism” with Seven’s addition to its platform. Silva had issued a subtle threat to exit the Australian cyber-space during a parliamentary hearing if the new laws were passed in the preceding month. Google has not issued any statement shedding light on the impact of the seven deal.

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Several hours before Seven’s announcement, Treasurer Josh Frydenberg signaled a compromise with Google by adding: “I think we’re very close to some significant commercial deals and, in doing so, that will transform the domestic media landscape. However, there is still no indication that the controversial laws won’t be passed, as of yet.”

Source: Tribune