The Australian government has announced plans to impose a 2 percent levy on major technology companies if they fail to reach agreements with local media organisations to pay for news content distributed on their platforms.

The proposal targets firms such as Meta Platforms, Alphabet and TikTok.

Officials say the measure is designed to ensure fair compensation for journalism, as digital platforms continue to benefit from news content without directly funding its production.

The move builds on earlier global efforts to regulate the relationship between tech companies and media organisations.

If implemented, the levy could cost companies millions of dollars annually, depending on their operations within Australia.

This has raised concerns among tech firms, which argue that such policies could impact innovation and increase operational costs.

Media companies, on the other hand, have welcomed the proposal, saying it could help sustain journalism in an era where advertising revenues have shifted significantly toward digital platforms.

Analysts say the development reflects a broader global trend of governments seeking to regulate Big Tech. Similar policies could emerge in other regions as authorities attempt to rebalance the digital economy.

Source: Reuters