California lawmakers advance tax on Big Tech to help fund news industry
California lawmakers passed Senate Bill 1327 to tax tech giants like Amazon and Google for data collection, supporting news outlets. Assembly Bill 886 aims to revive local news by requiring digital platforms to pay for news content. The bills face opposition from tech associations but have backing from journalist unions and news outlets.
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California lawmakers have passed a bill in the state Senate that aims to support the news industry by imposing a new tax on major tech companies like Amazon, Meta, and Google. The tax, known as the "data extraction mitigation fee," would be levied on the data these companies collect from users and then channeled into news organizations through tax credits for employing full-time journalists. The bill, Senate Bill 1327, is presented as a measure to safeguard democracy and a free press. This move comes in conjunction with another bill, Assembly Bill 886, which seeks to revive the local news business by requiring digital platforms to pay news outlets a fee for advertising alongside news content. The legislation, supported by unions representing journalists and various news outlets, passed with a 27-7 vote in the Senate and will now move to the Assembly for further consideration. Opponents of the bill include tech industry trade associations and chambers of commerce, while supporters include a coalition of online and nonprofit news outlets, as well as small newspaper publishers.
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2 commentsThis excuse making gets quite tiring. If the data collection bad practice, outlaw it.
There isn't one side that's the villain here. News companies do exactly the same sort of data collection to help support their ad business.
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