In this episode of “E&P Reports,” Danielle Coffey, president & CEO of the News/Media Alliance (NMA), discussed recent developments in the media landscape, highlighted the implications of California’s public-private partnership with Google and the status of the Journalism Competition & Preservation Act (JCPA), and the recent Department of Justice (DOJ) ruling against Google for antitrust violations. Coffey emphasized the ongoing challenges and opportunities for news publishers in securing fair compensation for their content from Big Tech platforms. She reiterated the importance of unity within the industry to navigate these changes effectively and advocated for continued legislative and legal efforts to protect and support quality journalism.
California’s recent public-private partnership with Google
Coffey described California’s public-private partnership with Google as a "significant, yet complex," development for the news industry. The partnership arose in the context of two competing legislative bills in California. The California Journalism Preservation Act (CJPA, AB 886), introduced by Assemblymember Buffy Wicks, aimed to establish a fair compensation model for news publishers whose content is used by tech platforms like Google and address the imbalance in the digital advertising market. A second bill, introduced by California State Senator Steven Glazer (Senate Bill 1327), would impose fees on digital technology companies with a minimum of $2.5 billion in annual advertising revenue. The money collected would be allocated to publishers of numerous community and ethnic media outlets.
Coffey explained that while Assemblymember Wicks had been a champion for news publishers, there were concerns about the agreement’s structure and funding. “Google was able to extract funds from the state and didn’t pay that total amount themselves,” Coffey pointed out, highlighting a fundamental issue with the deal. She also noted, “The $45 million for the first year… is just checks distributed to journalists,” which she felt fell short of providing a sustainable solution. Coffey emphasized that this partnership demonstrates Google’s monopoly power and underscores the need for federal intervention: “It’s why the federal government needs to step in.”
Coffey also discussed how the introduction of the second, competing bill created confusion and weakened the lobbying effort to secure a unified front against Google. “A faction started being created — a divided industry,” she said, noting that the emergence of another legislative proposal complicated their strategy and made it more challenging to push forward with their primary objectives. “Strategically, it’s never good to have a divided industry," Coffey emphasized, explaining that this division allowed Google to exploit the situation and delay meaningful progress. This split in the industry made it harder to maintain a focused effort and negotiate effectively, demonstrating the importance of unity in advocacy efforts.
The JCPA
The Journalism Competition & Preservation Act (JCPA, S. 1094) is a proposed federal bill designed to allow news publishers and broadcasters to collectively negotiate with dominant online platforms, like Google and Facebook, for fair compensation for the use of their content. The goal of the JCPA is to address the imbalance in the digital advertising market, where tech giants benefit significantly from news content without adequately compensating the creators. By creating a temporary safe harbor from antitrust laws, the JCPA would empower news organizations — especially smaller and local publishers — to band together and negotiate more effectively for the value of their journalism. The act has gained strong bipartisan support in Congress as a crucial step toward preserving a diverse and independent press, ensuring that news publishers are fairly compensated and can continue to provide quality journalism to the public.
Discussing the JCPA, Coffey expressed optimism about the legislation’s progress and its potential to bring significant changes to the marketplace. “The JCPA with bipartisan support… that’s needed to overcome this wonky policy thing… to be able to get it through,” she explained, reflecting on the legislative strategy required to pass the bill. Coffey also stressed the importance of a unified industry front: “We must stand together. We must push for the JCPA, and our industry must prevail.” She underscored that the JCPA is a crucial solution to the issues identified by the DOJ ruling against Google, adding, “What happened in California reinforces the need for it so that a patchwork across the country… may play out differently than California.”
To further advocate for the passage of the JCPA, Danielle Coffey highlighted an upcoming event on September 11, where the News/Media Alliance will be organizing a “fly-in” to Washington, D.C. This event will bring together local and national news publishers to meet with lawmakers and emphasize the importance of the JCPA. “We bring 120 local news publishers… to call on Congress to pass this critical legislation,” Coffey stated. This coordinated effort is part of a broader strategy to build momentum and demonstrate the united support of the news industry for the bill.
DOJ antitrust ruling against Google
In a landmark decision on August 5, 2024, the Department of Justice (DOJ) ruled that Google had violated antitrust laws due to its anti-competitive practices in search and advertising, impacting various sectors, including news media companies. The ruling, delivered by Judge Amit Mehta of the U.S. District Court, found that Google engaged in exclusionary conduct and monopolistic practices that harmed advertisers, users and publishers alike.
Coffey described the DOJ’s ruling against Google as a “massively historic” victory for news publishers, validating years of advocacy and legal efforts. “There was anti-competitive behavior, exclusion, exclusive contracts, search text advertising, a dominance of monopolization and anti-competitive practices,” Coffey detailed, outlining the case’s findings. She stressed the importance of this ruling as a catalyst for future action: “This monopoly cannot continue to cement its market power to the detriment of news publications and quality content.” Coffey also highlighted the role of the News/Media Alliance’s white paper in the case, saying, “It collected the evidence of the anti-competitive conduct that harms publishers.” She called for further efforts to ensure that news publishers receive fair compensation and that the marketplace remains competitive, stating, “We’re exercising our legal muscle… to be able to reap the benefits of our labor.”
News/Media Alliance President & CEO Danielle Coffey testifying at Senate Judiciary Subcommittee on Privacy, Technology, and the Law hearing on “Oversight of A.I.: The Future of Journalism, on January 10.
Looking ahead, Coffey emphasized that the DOJ ruling sets a strong precedent that could support other legislative efforts, like the JCPA, to level the playing field for news publishers. She expressed confidence that the momentum from this legal victory could help drive meaningful changes across the industry, advocating for a breakup of Google's monopoly as a potential remedy. “There will now be a remedies trial in 2025, and it’s almost like a trial within a trial,” Coffey explained, underscoring the ongoing nature of the fight against anti-competitive practices. She concluded with a call to action for news publishers to remain vigilant and united, stating, “We must continue to protect the quality in our business model… so that we can reinvest in quality content and thrive in the future.”
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