The way people interact with news has changed dramatically in an era where information flows freely across platforms, devices and borders. We search, slide and scroll across multiple sites, platforms and screens to understand what’s going on in our communities and around the world. The South African Competition Commission’s Market Inquiry, investigating the relationship between digital platforms and media publishers, does not account for this reality in its proposed remedies. This oversight is despite their own consumer survey recognizing that most people use social media as their primary gateway to online news.
Through the remedies proposed in the provisional report, the Competition Commission seeks to resurrect outdated business models and make Google financially responsible for the consumer change. It also recommends far reaching changes to our products, nudges people to consume selected media and more. Such an approach threatens to turn the clock on digital innovation and access to information.
We have invested in the South African media publishing industry for over a decade and remain committed to doing so. Our innovative products, including Google Search, Discover, YouTube, and Gemini, drive traffic, generate views, and create revenue for media websites, channels, and apps. We are also prepared to continue investing in the future of South African journalism through funding and training. However, the Commission’s proposed regulatory constraints on the digital news ecosystem risk harming the very stakeholders it aims to protect.
Limiting access to information for the South African public
The Commission’s recommendations represent a significant threat to how South Africans discover and consume information online. In today’s digital world, citizens expect unfettered access to diverse news sources that provide multiple perspectives on local and global events. The proposed regulations would fundamentally alter this experience.
The proposed modifications to the way Google Search ranks and displays news would restrict consumer choice. Search engines function by providing the most relevant results from millions of available sources. Forcing algorithmic preference for local news and decreasing visibility of international media would artificially limit the diversity of perspectives available to South Africans, effectively dictating what citizens should read and watch — a clear infringement on people’s rights to free expression.
The alterations to Google Discover, such as prioritizing selected South African news media at the expense of international publications, would similarly undermine user experience by prioritising certain content based on regulatory mandates rather than relevance or user interest. This approach doesn’t just compromise product quality, it denies South African users the same access to information enjoyed by users elsewhere.
Undermining media sustainability and growth
South African publishers are working hard to adapt to the digital transformation of media, building new business models and reaching audiences in innovative ways. Rather than supporting this transition, the Commission suggests remedies that would disincentivize and discourage innovation in publishing and technology.
Take the suggestion of changing the revenue sharing model in YouTube for example. YouTube offers South African creators, including many publishers, access to global audiences and significant revenue opportunities. Unfortunately, creating a tiered system where certain creators receive preferential treatment would undermine this ecosystem’s viability.
Stifling digital innovation and investment
Perhaps most concerning is how these proposals would hamper innovation. The suggested modifications to AI products would effectively break features that help South Africans access and understand complex information and restrict the freedom to innovate in future. This wouldn’t just restrict South Africans’ access to knowledge freely available elsewhere, it would create conditions hostile to future investment and technological advancement in the market.
The reality is that news transformation is a complex, society-wide shift. South Africa would be better served if we could set-up a meaningful partnership — rather than prescription — between government, business, digital platforms, and news publishers. Together, we can develop solutions that preserve the vital role of journalism while embracing the digital future that South Africans deserve.
