What's happened
California lawmakers have brokered a $250 million deal with Google to support local journalism, but critics argue it undermines potential legislation requiring tech companies to compensate news outlets. The agreement has sparked significant backlash from journalists and unions, who view it as a 'shakedown' that fails to address the industry's deeper issues.
Why it matters
What the papers say
The New York Times reported that the deal aims to stabilize California's newsrooms, with Governor Gavin Newsom calling it a 'major breakthrough.' However, critics like the Media Guild of the West have labeled it a 'shakedown,' arguing it allows Google to escape accountability for its role in the decline of local journalism. According to The Independent, the agreement was seen as a political maneuver to avoid more comprehensive legislation that could have required ongoing payments to publishers. Assemblymember Buffy Wicks defended the deal as the 'art of the possible,' emphasizing the need for immediate support for struggling newsrooms. In contrast, experts like Victor Pickard from the University of Pennsylvania criticized the deal for failing to secure more substantial funding and for sidelining critical legislative efforts.
How we got here
The deal emerged after California lawmakers considered legislation to mandate payments from tech companies to news organizations. Facing pressure from declining local newsrooms, Assemblymember Buffy Wicks negotiated the agreement with Google, which critics claim allows the tech giant to evade accountability.
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