The Government has announced the creation of a new Digital Markets Unit to prevent tech giants like Google and Facebook from unfairly disadvantaging news publishers who provide content.
The new unit, which will operate from within the Competition and Markers Authority from April, will work closely with regulators including Ofcom and the Information Commissioner’s Office to introduce and enforce a new code to govern the behaviour of online platforms that currently dominate the market to ensure consumers, small businesses and news publishers aren’t disadvantaged.
Under the new code, online platforms, including those funded by digital advertising, could be required to be more transparent about the services they provide and how they are using consumers’ data, they could be made to give consumers a choice over whether to receive personalised advertising, and prevented from placing restrictions on their customers that makes it hard for them to use rival platforms.
Currently, dominant online platforms can impose terms on news publishers that limit their ability to monetise their content - severely impacting their ability to thrive.
The proposals set out by the Government will ensure that platforms cannot apply unfair terms, conditions or policies to certain business customers, including news publishers. They will form a major part of the Conservative Government’s work to support the sustainability of the UK’s world leading news publishing sector and make sure, as news moves ever more online, publishers get a fair deal from the platforms on which they rely.
The unit could also be given powers to suspend, block and reverse decisions of tech giants, order them to take certain actions to achieve compliance with the code, and impose financial penalties for non-compliance.
Commenting, Culture Secretary Oliver Dowden said:
“The free press is a cornerstone of our democracy. Local papers are embedded in the communities they serve, people rely on and respect them, and they play a vital role in holding the powerful to account and spreading accurate information.
“As more news moves online we want to make sure our world-renowned publishers get a fair deal from the tech platforms. Today we are announcing a new watchdog to benefit news publishers by preventing tech firms using their content and applying unfair terms and conditions.
“This is a really important change to help bolster the print news industry.”
Commenting, Selaine Saxby MP said:
“Local and regional newspapers are getting a raw deal from the tech giants using their content despite news publishers providing a vital service to communities.
“I welcome the Government setting up a new Digital Markets watchdog to look at this and rebalance the relationship to benefit great local papers like the North Devon Gazette”.
