Alphabet Inc, Google’s parent company, said it would withdraw its search engine Search from Australia if the local government required them to pay copyright to media companies to use their content.
Australia is working on rules that will require social media providers to pay local publishers for content included in search results or on social media main pages.
If there is no agreement after negotiating the price, the Australian government will appoint an “referee” to determine the price.
Google has argued with Australian publishers, including News Corp. They say 19 million users in Australia will get poor quality of service for Search and YouTube if these rules apply.
“Along with uncontrollable financial problems and operational risks if this law is passed, we have no choice but to stop Google Search in Australia,” said Google Australia and New Zealand chief Mel Silva.
Australian Prime Minister Scott Morrison said they had rules for “things you can do in Australia”.
“People who want to follow these rules in Australia are gladly welcomed. But we don’t answer threats,” Morrison said.
Australia announced this rule after an investigation showed Google and Facebook were too powerful in the media industry, which was considered a threat to democracy.
