Meta has strongly criticised Australia’s new proposal that would make digital platforms either pay local publishers for news content or face a revenue based levy, calling the plan “grossly unfair” and arguing it punishes companies for how users share information online.
Meta, the parent company of Facebook and Instagram, has renewed its fight with the Australian government over a new law designed to force Big Tech companies to financially support journalism.
The policy, known as the News Bargaining Incentive, would require major platforms such as Meta, Google and TikTok to either strike deals with Australian media companies or pay a levy of about 2.25% of their Australian revenue.
If companies fail to reach agreements with publishers, the government would collect the money and redistribute it to news organisations based on criteria such as newsroom size and journalistic output.
Meta has pushed back strongly.
In its submission, the company described the proposal as unfair, arguing that it effectively turns into a “discriminatory tax” aimed at a small group of foreign tech firms. It also claimed the policy misrepresents how news circulates on its platforms, saying publishers benefit from the traffic and visibility generated by social media sharing.
“This law is poorly designed, grossly unfair, and will fail to deliver a diverse and sustainable news industry,” Meta said in its response to the Australian government.
The dispute is not new.
Australia first introduced a global first media bargaining code in 2021, which forced tech companies to negotiate payments with news publishers. While Meta initially complied, it later scaled back or ended several of those agreements, reigniting tensions between the company and Canberra.
Now, the new proposal goes further by making payments effectively mandatory unless companies strike sufficient deals with media outlets.
Australian officials defend the plan as necessary to support journalism, arguing that news organisations are struggling financially while social media platforms profit from distributing their content.
Communications Minister Anika Wells has previously said it is only fair that companies benefiting from news traffic contribute to the industry that produces it.
Meta, however, is escalating its opposition beyond Australia.
The company has also raised concerns that the plan may violate a free trade agreement with the United States, arguing that the levy unfairly targets American tech firms and could trigger wider trade tensions.
The standoff highlights a wider global struggle between governments and Big Tech over how news is funded in the digital era.
For Australia, the aim is to sustain journalism and prevent newsroom decline. For Meta, the concern is that governments are shifting responsibility for media funding onto platforms that argue they are not publishers in the traditional sense.
As the legislation moves closer to parliamentary debate, both sides appear firmly locked in position, with no immediate sign of compromise.
