- The Competition Commission of SA has published the non-confidential version of Google’s response to its provisional report on the Media & Digital Platforms Market Inquiry (MDPMI).
- Google has taken issue with several of the recommendations that the Competition Commission has laid out.
- The big tech firm says it will “continue to collaborate with the industry and the Competition Commission” around the local news ecosystem.
The South African Competition Commission is not the first regulator to try to take big tech to task and it will not be the last.
In February this year, it published its provisional report (PDF) on the Media & Digital Platforms Market Inquiry (MDPMI), with Google in particular being looked at for how it engages with local publications and drives users to the news.
Now we have some feedback from Google, with the tech giant capable of sharing a non-disclosed version (PDF) of its response to the provisional report, and unsurprisingly, it has taken issue with several elements of it.
“Google’s monopoly position and the unequal bargaining position of the media means there has not been an equitable share of value between Google and news publishers in South Africa both historically and currently. This inequity has materially contributed to the erosion of the media in SA over the past fourteen years and will continue to do so unless remedied,” the Competition Commission outlined in February.
“The Google algorithm distorts competition between news media organisations insofar as it a) over-represents global news media in SA for search and Top Stories, b) under-represents vernacular and community media, and c) over-represents subscription publishers. Furthermore, Google appears to self-preference YouTube links on the SERP and Discover feed relative to links to third-party video providers, including SA news broadcasters. These issues are exacerbated by SEO requirements for the algorithm and for core updates to the algorithm where there is insufficient transparency on how the media will be affected and how to avoid traffic loss,” it alleged in an exhaustive list of initial findings.
Whether the Competition Commission can get Google to acquiesce to its advised changes and make accessing the news a little more fair in its view, remains to be seen, but as mentioned, it is not the first regulator that has attempted to get Google to alter its modus operandi when it comes to how the news is served and searched for.
In Australia, for example, a Media Bargaining Code has been implemented to appease all parties, along with trying to get publishers in the region more on board with Google’s services. While it was able to get Google to the bargaining table, the Australian government was far less successful when it came to Meta and Facebook, with Canada even losing access to new content on the social media platform’s services.
It’s unclear whether the Competition Commission’s attempts will fare any better, but for now, Google is laying out a case for all the good it does for publishers in SA and the rest of the African continent.
“Google recognises the challenges faced by the South African news industry and shares the objective of the Inquiry to assist the news media to transition to a resilient online business model, ensuring that South Africans maintain access to trustworthy, diverse, high-quality news. This is why we have invested in digital skills development, capacity building and product support through the numerous initiatives we have explained to the Inquiry. Google is willing to continue playing its part in supporting the digital transformation of the news media, together with other platforms, business, government and news publishers themselves, recognising the importance of news as a public good,” its response explained.
“However, the Provisional Report’s findings relating to Google are not correct. They do not properly reflect the evidence before the Inquiry and they misrepresent many components of the relationship between Google’s products and South African news publishers. The recommended remedial actions are unfounded as a result. It is important for Google to set the record straight and point out these flaws,” it continued.
Google is also seemingly trying to showcase that it is not the key source of news in the country that the Competition Commission says it is.
“South African users of Google Search… increasingly avoid news…, only infrequently search for news… The Provisional Report does not take into account how these proven user attitudes and behaviours of Google’s users impact the value of news to Google,” it posited.
“The Inquiry’s Consumer Survey finds that 77% of users access news via social media, while only 17.1% use Google Search as their primary platform for news and 2.4% use Discover. During the last three years the percentage of news-seeking queries (i.e. queries displaying Top Stories in first position) entered into Google Search by users located in South Africa was: {0.91% in 2024},” the big tech firm shared.
“While the Provisional Report notes the inadequate referral traffic from social media to news websites, it does not attribute sufficient weight to that fact when assigning Google primary responsibility for improving traffic and subsidising the South African news industry financially,” it asserted.
It therefore looks like Google is attempting to point out that it does not have the influence and control that the Competition Commission argues that it does.
Given how core Google Search is to any experience online these days, it is difficult to say otherwise. Of more concern to publishers like ourselves, is Google’s commitment to local news, which remains intact for now.
“We will continue to collaborate with the industry and the Competition Commission to find balanced solutions for the news ecosystem’s future, and to invest in tools that help all publishers adapt and innovate,” it shared in a statement in March.
“However, placing all the responsibility for the change in the way people access news exclusively onto Google – misses the mark. Rather than focusing on outsized product and financial demands from one company, we should jointly seek meaningful solutions between government, business, digital platforms and news publishers themselves,” it concluded.
To read the non-confidential response by Google in full, head here.
