SYDNEY — Australia’s center-left government said on Thursday it planned new rules that would charge big tech firms millions of dollars if they did not pay Australian media companies for news hosted on their platforms.

The move piles pressure on global tech giants such as Facebook-owner Meta Platforms and Alphabet’s Google to pay publishers for content or face the risk of paying millions to continue operations in Australia.

“The news bargaining initiative will … will create a financial incentive for agreement-making between digital platforms and news media businesses in Australia,” Assistant Treasurer and Minister for Financial Services Stephen Jones told a news conference.

The platforms at risk will be significant social media platforms and search engines with an Australian-based revenue in excess of $160 million, he said.

The charge will be offset for any commercial agreements that are voluntarily entered into between the platforms and news media businesses, Jones said.

Tech companies condemned the plan.

“The proposal fails to account for the realities of how our platforms work, specifically that most people don’t come to our platforms for news content and that news publishers voluntarily choose to post content on our platforms because they receive value from doing so,” a Meta spokesperson said after Jones’ remarks.

A spokesperson for Google said the government’s decision “risks ongoing viability of commercial deals with news publishers in Australia.”

The proposed new rules come as Australia toughens its approach to the mostly U.S.-domiciled tech giants.

Last month it became the first country to ban children under the age of 16 from social media, in a move seen as setting a benchmark for other governments’ handling of Big Tech.

Canberra also plans to threaten the companies with fines for failing to stamp out scams.

Google, ByteDance through TikTok, and Meta through its various platforms, would fall within the scope of the charges under the new rules. However X, formerly Twitter, would not be covered, Jones said.

Blocking news

In 2021, Australia passed laws to make the U.S. tech giants, such as Google and Meta, compensate media companies for the links that lure readers and advertising revenue.

After the move, Meta briefly blocked users from reposting news articles, but later struck deals with several Australian media firms, such as News Corp and national broadcaster Australian Broadcasting Corp.

It has said since it will not renew those arrangements beyond 2024.

Meta, which also owns Instagram, Threads and WhatsApp, has been scaling back its promotion of news and political content globally to drive traffic, and says news links are now a fraction of users’ feeds.

This year it said it would discontinue the news tab on Facebook in Australia and the United States, adding that it had canceled the tab last year in Britain, France and Germany.

In 2023, Meta blocked users in Canada from reposting news content after its government took similar action.

Australia news organizations, including Rupert Murdoch’s News Corp, are expected to benefit from the new rules.

Following Jones’ announcement, News Corp Australia Executive Chairman Michael Miller said he would contact Meta and TikTok immediately to seek a commercial relationship with News Corp Australia.

“I believe news publishers and the tech platforms should have relationships that benefit both parties on commercial and broader terms,” he said in a statement. 
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WASHINGTON — The United States slapped sanctions on a Chinese cybersecurity company and one of its employees Tuesday, accusing it of compromising more than 80,000 firewalls in a 2020 attack.

The U.S. Treasury Department said in a statement that it had sanctioned Sichuan Silence Information Technology Company and an employee named Guan Tianfeng over the April 2020 attack, which targeted firewalls around the world, including critical infrastructure in the U.S.

Over a three-day period, Guan exploited a vulnerability in a firewall product and proceeded to deploy malware against some 81,000 businesses around the world with the aim of stealing data, including usernames and passwords, while also attempting to infect the computers with ransomware, according to the Treasury Department.

More than 23,000 firewalls were in the United States, of which 36 were protecting “critical infrastructure companies’ systems,” the Treasury said.

“Today’s action underscores our commitment to exposing these malicious cyber activities … and to holding the actors behind them accountable for their schemes,” Bradley Smith, Treasury acting undersecretary for terrorism and financial intelligence, said in a statement.

The Treasury, he said, “will continue to leverage our tools to disrupt attempts by malicious cyber actors to undermine our critical infrastructure.”

Alongside the sanctions, the Department of Justice has also unsealed an indictment against Guan and announced a reward of up to $10 million for information about the employee or company, according to the Treasury Department.
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NAIROBI, KENYA — The United Nations, Microsoft and Kenya’s Ministry of Information last week launched a digital and artificial intelligence center in Nairobi to train African public servants and accelerate the development and use of online services.

Officials said the program — the Timbuktoo GreenTech Hub and Africa Centre for Competence for AI and Digital Skilling — aims to improve the skills of 100,000 government workers.

U.N. Development Program Regional Director Ahunna Eziakonwa said at the launch that better digital skills and resources will enable Africa to achieve technological progress.

“An inclusive public sector digital transformation drives efficiency and effectiveness and helps governments to enhance coordination of resources and information and strengthen data and code policymaking and implementation,” she said.

Kenyan President William Ruto said that more than 20,000 government services can be accessed online and that the digital transformation has made government work easier.

“This will help us streamline public service delivery and enhance transparency and efficiency, minimize opportunities for corruption and maximize visibility and mobilization of public revenue,” he said. “The transformative impact of this single initiative on citizens’ experience in accessing public services, along with the government’s capacity to effectively manage public resources, clearly illustrates the immense value of digital transformation.”

Governance experts say digital services offered online have improved citizens’ trust in public services and made the work of government employees faster, more accurate and more transparent.

However, the frequent power and internet blackouts that plague some African countries sometimes force government workers to resort to traditional paper and file systems.

Some workers have little experience with computers and feel that online glitches are slowing them down.

Michael Niyitegeka, team leader at Refactory, a software academy in Uganda that prepares youth for global tech work, said authorities must push workers to use the technology.

“Leadership has to be extremely firm in knowing how they want to use these technologies and invest in ensuring that people are working with it,” Niyitegeka said.

“We need to work on the entire system so the citizens can be brought to speed, and different users of these technologies as we are building need to be brought on board so that we are building together,” he said. “Otherwise, it will probably become a white elephant.”

Tech experts say that if developed correctly and with proper investment, then digital technology and artificial intelligence can transform communities.
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The Biden administration is shoring up its CHIPS Act funding agreements before President-elect Donald Trump takes office on January 20. Trump has previously disparaged the CHIPS Act and called for higher tariffs instead of subsidies to incentivize companies to build semiconductor factories. What would be the future of TSMC under the Trump administration?

See the full story here.
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