META Meta Platforms Inc

By Adam Clark

A U.K. government-backed review has recommended an investigation into Google and Facebook Inc.'s (FB) domination of the online-advertising market but declined to support calls from traditional media players for the technology giants to be forced to pay for news content.

The Cairncross Review, an independent probe into the future of the British news industry headed by former journalist Frances Cairncross, released its final report late on Monday.

The review recommended that U.K. competition regulators conduct a market study into how Alphabet Inc.'s (GOOG) Google and Facebook dominate the online advertising market, and said search and social-media platforms should set out codes of conduct to govern their commercial arrangements with news publishers.

Specific pledges which could be made include not imposing the use of certain advertising software, giving early warnings over algorithm changes, and more transparency over revenue sharing, the review said.

However, the review rejected allowing publishers to band together and negotiate common payments from online platforms for showing their content, and didn't back calls for a levy on technology companies to fund public-interest journalism.

In both the U.K. and the U.S., many traditional media publishers have voiced concerns over Google and Facebook's duopoly over advertising spending and their role in news consumption. Last year, Rupert Murdoch, executive chairman of News Corp (NWS)--the owner of Dow Jones Newswires--said Facebook should pay publishers fees similar to those cable distributors pay to television channels.

The Cairncross review called instead for a new government fund to support public-interest news and said there shouldn't be blanket protections for publishers.

"Established companies have often found it hard to reinvent themselves and thus survive profound technological change--think of Kodak or Blockbuster. In addition, many national news publishers are viewed by the public with some mistrust," the review said.

The British minister for culture and media, Jeremy Wright, said he had written to the U.K. Competition and Markets Authority to back the review's recommendation of a market study into online advertising, and that his department would review regulation of the sector.

Write to Adam Clark at adam.clark@dowjones.com

(END) Dow Jones Newswires

February 12, 2019 13:09 ET (18:09 GMT)

Meta Platforms (NASDAQ:META)
Gráfico Histórico do Ativo
De Mar 2024 até Abr 2024

Meta Platforms (NASDAQ:META)
Gráfico Histórico do Ativo
De Abr 2023 até Abr 2024