Google Rejects Claims It Exploits South African News Media

In a provisional report stemming from its the 16-month-long media and digital platforms market inquiry, published on Monday, the commission said Google's "monopoly position" and the unequal bargaining power of the media mean there has not been an equitable share of value between the US Big Tech firm and news publishers in South Africa.

According to the report, this inequity has materially contributed to the erosion of the news media in South Africa over the last decade and a half - and will continue to do so unless remedied.

"It is apparent that the value derived by Google from the relationship with the news media far exceeds that derived by the news media, and Google's conduct around zero clicks destroys potential additional value for the news media. If this were to be an equitable relationship, then the value would be shared equally," said the commission's provisional report. Zero-click behaviour refers to users who get the information they need via Google without clicking though to the source website.

But Google told TechCentral on Tuesday that the commission has understated the value it brings to the table through its products and other initiatives involving local media.

The commission's report estimates the total value of the news to Google Search and Google Discover for 2023 at between R800-million and R900-million in revenue. These values do not include the additional R100-million to R200-million of value that Google allegedly derives from YouTube revenue share for news video referrals, or the R200-million to R300-million allegedly made by Google AdTech for all traffic to news publishers.