Facebook’s Hardball Deal in Australia: Will Other Countries Follow?

Facebook’s Hardball Deal in Australia: Will Other Countries Follow?

  • Case
  • Teaching Notes
Abstract

Australia’s efforts to rein in Big Tech were curbed in February when, in an aggressive display of its own political might, Facebook successfully brokered itself out of legislation that would have subjected the company to regulatory restrictions and potential fines. After Australia proposed a law that would have forced Facebook to pay for and share ad revenue with the publishers whose content it monetizes on its platform, the company promptly responded by banning all news sharing from Australian sources on the app throughout the whole country, ultimately pressuring Australia to make major concessions. This case reviews the course of events and asks students to discuss its potential consequences as other nations consider similar legislation.

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