- Seven West Media (SWM) has signed a partnership with Google, under which it will provide news content for the tech giant’s Google Showcase platform
- Google Showcase was launched in Australia in early February, and a more in-depth agreement will be formed within the next 30 days
- The deal follows an endorsement of the Federal Government’s proposed media bargaining laws by a Senate Committee last week
- First drafted by the Australian Competition and Consumer Commission (ACCC), the laws seek to make Google and Facebook pay publishers for content that appears on their sites
- Seven West Media is up 5.74 per cent to $0.50 per share
Seven West Media (SWM) has signed a partnership with Google, under which it will provide news content for the tech giant’s Google Showcase platform.
Google Showcase, which is expected to have $1.3 billion in investment over the next three years, was launched in Australia in early February after being rolled out first in Germany and Brazil.
The deal follows an endorsement of the Federal Government’s proposed media bargaining laws by a Senate Committees last week. These laws were first drafted by the Australian Competition and Consumer Commission (ACCC) and seek to make Google and Facebook pay publishers for news content that appears on the sites.
The two companies are estimated to account for more than 80 per cent of online advertising spending in Australia, starving newsrooms of their primary revenue source and leading to widespread shutdowns and job losses.
Kerry Stokes, Chairman of Seven West, thanked Prime Minister Scott Morrison and ACCC Chair Rod Sims, as well as Treasurer Josh Frydenberg, who Stokes said was instrumental in the outcome of the “ground-breaking” agreement.
“The negotiations with Google recognise the value of quality and original journalism throughout the country and, in particular, in regional areas,” he said.
“Google is to be congratulated for taking a leadership position in Australia and we believe their team is committed to the spirit of the proposed code.”
Mel Silva, Managing Director for Google Australia and New Zealand, noted that the showcase platform has been well-received since its launch, with its publisher partners receiving one million views collectively in just eight days.
“Our partnership with Seven West Media sees us make a substantial investment in the future of journalism not just across the metropolitan areas, but importantly in regional areas too where titles like the Kalgoorlie Miner and the Harvey-Waroona Reporter are at the heart of the local community,” she said.
Seven West and Google are expected to form a more in-depth agreement within the next 30 days.
Seven West Media is up 5.74 per cent to $0.50 per share at 10:31am AEDT.