BusinessDay - Google will never pay back money to the media

CJL director Courtney Radsch argues that news content is highly valuable to Google, contributing significantly to its revenue despite the company's claims otherwise.

SA has become the latest country to tackle the disastrous effects of programmatic advertising on the media industry. In a landmark ruling the Competition Commission found that Google has distorted the online advertising market, and ordered the US search giant to pay R300m-R500m a year to the media industry.

Good luck with that. Despite it being a pittance to Google, with its $350bn revenue last year, it will fight tooth and nail to prevent being cast for what it is: a search “monopolist” (in the words of a US judge).

Now, after a 16-month investigation, the commission’s Media and Digital Platforms Market Inquiry has published a provisional report that finds “Google’s monopoly position and the unequal bargaining position of the media” has created a vast “value imbalance” between Google and the news industry.

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