Requires massive powers to secure local news industry
The Federal Trade Commission of the United States needs all new powers in order to safeguard the grappling local news industry from unpleasant competition from big tech firms, said by a senior lawmaker. The top Democrat on the Senate Commerce Committee, Maria Cantwell, said that the local news industry has been hijacked by some huge news platforms that especially are Google and Facebook, which have become the major players in online advertising sector.
The recent report included the wealthy firms that eliminate content of local news and information for their own websites and grasp their industry dominance to enforce local news industry to obtain small quantity to nothing for their intellectual property. The report further explained that the leading search engine giant removes the web to generate headlines as well as story snippets, while, on the other hand, Facebook represents data posted by publishers or users and gets huge money in the form of profit from the news content generated by others.
The chief executive officers of the top social media giants including Twitter, Facebook as well as Alphabet-owned Google will examine on Wednesday at a Senate Commerce Committee listening that is anticipated to talk their influence on domestic journalism. The local news outlets of the United State have been facing a massive drop in print revenue, which has also been advertising revenue decline in the face of the coronavirus pandemic. The report stated that American newspapers would mostly expect to eliminate around 7,000 workers this year, scraping only 30,000 newsroom jobs.
Cantwell said that beyond just offering assurance that the local news outlets survive to battle another day Congress must estimate unauthorized competition faced by them that hold accountable part of government and meanwhile, offer other services. As we do not desire to lose that in the digital transformation.