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Facebook signs deal with Murdoch’s News Corp in Australia




The three-year partnership was announced on Monday. It will allow content from much of Rupert Murdoch’s local media empire, including the Australian newspaper, which will appear on Facebook News, a section of the platform that covers the coverage of selected publishers. The terms of the agreement were not disclosed.

The deal adds to a number of new partnerships that News Corp has signed in Australia in recent weeks.

Sky News Australia, a broadcaster owned by a local subsidiary of News Corp, has signed a separate agreement Facebook (FB), which “is based on an existing agreement” News Corp. (NWS) he said in a statement Monday.
Last month, the conglomerate – which includes much of the Australian media and some UK outlets, as well as the Wall Street Journal and the New York Post in the United States – also announced an agreement with Google (GOOGL).

The collaboration allows News Corp’s U.S., UK and Australian publications to appear on Google’s News Showcase platform. But it is also expected to include developing a subscription platform, sharing advertising revenue and investing in audio and video journalism.

Google declined to share the terms of the deal, but News Corp has said it would receive “significant payments.”

News Corp is already collaborating with Facebook in the United States, where you pay for your posts to appear on the social network.

But the company had been pushing for new rules in Australia, where the debate had been fierce over a media code that forced Big Tech to pay publishers for news shared on its platforms.

The debate ended last month, just days before the law was passed. That’s when Facebook decided to do it prohibition news content in Australia in anticipation of the law, forcing the pages of media organizations and even some unrelated essential services get dark. Finally restored news content there after the government agreed to make some changes to the legislation.
Before that, Google he had also threatened to get your search engine out of the country. He later took another starting point, inking collaborations with some of the country’s major media organizations, including News Corp., to get ahead of the law.
How Facebook managed not to be Australia’s friend, while Google came out on top
News Corp had been one of the fiercest defenders of the law. The company was forced to do so cut jobs and close dozens of newspapers in Australia last year, saying the blow from the coronavirus pandemic had been too great to bear.
In a statement On Monday, News Corp CEO Robert Thomson alluded to the firm’s long battle, arguing that “Rupert and [co-chairman] Lachlan Murdoch led a global debate, while other people in our industry were silent or supine. “

“This digital outcome has been in the process for more than a decade,” he added. “The agreement with Facebook is a milestone in the transformation of trade terms for journalism and will have a material and significant impact on our Australian business.”

Kerry Flynn contributed to this report.