By Google could soon be forced to pay South African news publishers up to R500 million per year for the next five years, under a new proposal from the country’s Competition Commission. If fully implemented, the tech giant may end up paying as much as R2.5 billion to local media houses.
This recommendation comes from a provisional report released after a 16-month investigation into the relationship between digital platforms and the South African news industry. The commission argues that Google and other major platforms have disrupted traditional revenue streams, leaving local publishers struggling to survive.
The proposed payments are meant to compensate for lost advertising revenue and the reduced visibility of local news content in search results. According to the report, Google’s algorithms have historically favored foreign media outlets and video content from platforms like YouTube, further disadvantaging South African newsrooms.
In addition to direct payments, the commission wants Google to boost referral traffic to local news websites by tweaking its search algorithms. This includes actively promoting content from vernacular and community media to ensure more diverse representation in search results.
The report doesn’t stop at Google. It also targets Meta and X (formerly Twitter), calling on Facebook to restore news referral traffic to previous peak levels — at least doubling the current traffic to South African news websites. Both Meta and X are also urged to stop deprioritizing news links and ensure articles get proper visibility.
The commission’s findings and proposals have triggered strong reactions from both tech companies and media outlets. While local publishers welcome the potential cash injection, global tech firms are expected to resist, setting the stage for a major battle over the future of digital media in South Africa.
