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Microsoft sides with Australia on its new media policy after Google threatens to withdraw

Photo by: Kārlis Dambrāns/Flickr (CC BY 2.0)

Microsoft voiced out its support to the Australian government over its plan to implement a new media policy that will make tech companies pay for news stories that will appear on their platforms. This new code has been rejected by Facebook and Google, and both also threatened to withdraw their service if the policy pushes through.

Microsoft supports Australia’s news media policy

Microsoft was previously tapped by the Australian Prime Minister Scott Morrison to replace Google in case the tech company proceeds with its threat to leave. Apparently, Google is not willing to pay Aussie media companies for their content, so it rather withdraws.

For this, PM Morrison admitted that he had a meeting with Microsoft’s CEO Satya Nadella. They discussed the possibility for its Bing search engine to replace Google if it leaves. The prime minister said that he is confident MS will be able to fill in for Google.

As the story develops, it was revealed that Microsoft expressed its support for the Australian government’s proposal addressing news media and digital platforms. In a statement that was posted on Feb. 3, Microsoft President, Brad Smith, outlined the points that were discussed during Nadella’s discussion with PM Morrison and suggested that they agree with the proposed “news media bargaining code.”

Smith also shaded Google when he stated at the end of his note, “One thing is clear: while other tech companies may sometimes threaten to leave Australia, Microsoft will never make such a threat.”

He added, “We appreciate what Australia has long meant for Microsoft’s growth as a company, and we are committed to supporting the country’s national security and economic success.”

Why Microsoft agrees with the proposed Australian media code

Finally, as per CNBC, Microsoft understands the media as well as the public interest journalism. The company further explained that it knows the media sector is facing lots of challenges in this digital age, and with the evolving business models and consumers’ preferences, it is only right that the policies should be updated too. In this way, everyone can be compensated in the way they should.

“That is why Microsoft has long supported the Australian Competition and Consumer Commission’s (ACCC) efforts to analyze these issues and propose world-first solutions,” Brad Smith said.

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