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Google to generously water California media coffers

Posted: Thu Dec 26, 2024 9:46 am
by tasnimsanika69
The state of California had a law in its pipeline that would force internet companies to pay a series of fees to local media companies. This rule was to hit Google hard , but it has finally reached an agreement with the California government to voluntarily pay hundreds of millions of dollars to local media. The Mountain View company has thus managed to avoid the law proposed by Governor Gavin Newsom of the state.

Under the agreement reached between Google and the state of California, nearly $250 million will be invested in local media over the next five years. This money will not only come from Google's coffers, but also from public funds of the state of California.

The state of California will also pay a portion of the $250 million in the settlement.
The initiative implemented in California is a reflection of similar legislative projects previously implemented in Canada and Australia. In the United States, local media have been burdened for years by losses due to the drop in advertising investment, which is increasingly migrating to online platforms such as Google and Meta. In fact, more than 100 newspapers have disappeared in California over the past decade.

Google has pledged $15 million in the first year to a new fund dedicated to journalism projects at Berkeley and the University of California. The internet giant will also spend $5 million on an AI project and another $10 million on journalism programs already underway. Google will also have to pay an annual sum of $20 million over the next four years.

The state of California will invest $30 million in the first year and $10 million annually for the next four years in the new journalism fund at the University of California, Berkeley .

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