ACMA to fine big tech for misinformation

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The dominance of big tech platforms in the media industry has raised concerns worldwide. Australia has emerged as a pioneer in addressing this issue, implementing new laws to hold tech giants accountable for spreading harmful misinformation and disinformation online. 

The Australian Communications and Media Authority (ACMA) now has enhanced powers to penalise companies like Google, Facebook, and Twitter if they fail to combat disinformation effectively.

Fines and demands

Under the new legislation, search engines, social media platforms, dating websites, and online marketplaces can face fines ranging from nearly A$3 million to A$7 million, or up to 5 per cent of their global turnover, if they fail to take adequate measures against disinformation. Additionally, the ACMA is now authorised to request access to digital providers’ documents related to fake news, allowing for a closer examination of their operations.

Australian Communications Minister Michelle Rowland emphasised that the regulator’s enhanced powers would enable a thorough investigation of platform practices, allowing for a more comprehensive understanding of their impact on public discourse.

Impact and potential of legislation

Australia has proactively confronted big tech companies and their impact on the media industry. The Australian government enacted the News Media Bargaining Code in 2021, which compelled tech platforms like Google and Meta (formerly Facebook) to negotiate with news media outlets for the content they carry on their platforms. 

These negotiations resulted in substantial payments to Australian news media outlets, amounting to over A$200 million annually. The legislation’s success has sparked interest in countries like New Zealand, with similar discussions and developments underway.

Big tech companies have not taken these regulatory efforts lightly. Google, for instance, has threatened to cut off Canadian news from its online searches in response to the proposed Online News Act in Canada, which would require tech companies to pay news organisations for accessed news stories. Similarly, Facebook attempted a similar tactic in Australia when it banned sharing Australian news on its social media platform but later reversed this decision due to public backlash.

Still, as Australia’s approach to addressing misinformation evolves, the country must also consider the role of AI in news content creation and fact-checking. Tech companies like Google and Meta have expressed plans to use AI to generate news stories and perform fact-checking.

However, this raises concerns about using online content from news outlets behind paywalls and the transparency and accuracy of AI-generated content. Policymakers must stay informed about technological advancements, adapt their regulations to ensure fair compensation for media outlets and maintain transparency and accuracy in news dissemination.