The Australian government has announced an increase in the proposed levy on major technology companies that fail to reach commercial agreements with local news publishers, reinforcing its efforts to ensure digital platforms contribute fairly to the country’s media industry.
Under the revised proposal, technology companies that do not negotiate or maintain agreements with Australian news organisations will face a levy equivalent to 2.5 percent of their Australian advertising revenue, up from the lower rate initially proposed.
The measure is designed to encourage global digital platforms to compensate news publishers for content that helps drive user engagement and advertising revenue on their services.
Australian authorities said the higher levy creates a stronger financial incentive for technology companies to negotiate directly with news organisations rather than pay the government-imposed charge.
The policy builds on Australia’s landmark efforts to regulate the relationship between digital platforms and news publishers, making the country one of the first in the world to require major technology companies to financially support local journalism.
The government maintains that quality journalism is a public good that deserves sustainable funding, especially as traditional media organisations continue to lose advertising revenue to digital platforms.
Technology companies operating in Australia will therefore be encouraged to reach voluntary commercial agreements with eligible news organisations to avoid paying the levy.
The move is expected to intensify pressure on major digital platforms, including companies such as Google and Meta, to continue supporting Australia’s news ecosystem through licensing agreements and commercial partnerships.
Australian officials argue that strengthening the policy will help protect local journalism, promote media diversity and ensure a more sustainable future for the country’s news industry as digital platforms continue to dominate online advertising.