Australia proposes new levy on tech giants for news content funding
Consensus Summary
The Australian government has unveiled a new News Bargaining Incentive (NBI) on April 28, 2026, proposing a 2.25% levy on tech giants like Meta, Google, and TikTok unless they strike deals with news outlets. The plan replaces the Morrison government’s News Media Bargaining Code (NMBC), which Meta bypassed by removing news content after deals expired in 2024. Tech companies can offset the levy by negotiating payments with media organizations, with higher deductions (170%) for smaller outlets. The government expects the NBI to raise $200–$250 million annually, distributed to newsrooms based on journalist headcount. While media organizations broadly support the measure, tech giants have criticized it as unfair, and opposition politicians argue the existing NMBC could have been amended instead. The NBI will be introduced to parliament in July or August 2026 after consultation, with concerns raised about its impact on smaller media and the exclusion of AI companies.
✓ Verified by 2+ sources
Key details reported by multiple sources:
- The Australian government introduced a draft News Bargaining Incentive (NBI) on April 28, 2026, proposing a 2.25% levy on tech giants' Australian revenue unless they strike deals with news outlets.
- Meta (Facebook/Instagram) and Google have criticized the plan, with Meta calling it a 'government-mandated transfer of wealth' and Google rejecting the tax as unnecessary.
- The NBI applies to digital platforms with Australian revenues of $250 million or more, including Meta, Google, and TikTok (ByteDance).
- Tech companies can offset the levy by making deals with news organizations: 150% deduction for traditional media and 170% for smaller outlets.
- The NBI replaces the Morrison government’s News Media Bargaining Code (NMBC), which Meta sidestepped by removing news content from its platforms after deals expired in 2024.
- The government expects the NBI to generate $200–$250 million annually, distributed to newsrooms based on journalist headcount.
- Prime Minister Anthony Albanese announced the plan on April 28, 2026, calling it essential for a 'healthy democracy' and warning tech giants cannot exploit journalism without compensation.
- Media organizations, including ABC, News Corp, Nine Entertainment, and The Guardian Australia, welcomed the plan as a 'critical step' to sustain journalism.
- The NBI will be introduced to parliament in the winter sitting period (July/August 2026) after consultation.
Points of Difference
Details reported by only one source:
- Meta refused to renew deals with news organizations under the original NMBC, instead removing and de-prioritizing news content.
- Google has commercial agreements with over 90 news businesses and 226 outlets in Australia, but still rejects the levy.
- The architect of the original NMBC, Rod Sims, praised the NBI but expressed concern that smaller media organizations may not benefit fully.
- Opposition Shadow Communications Minister Sarah Henderson criticized the government for not amending the existing NMBC instead of introducing a new scheme.
- Meta’s spokeswoman argued news organizations 'voluntarily' post content on their platforms because they 'receive value from doing so'.
- The NBI excludes AI companies like OpenAI, which has been criticized by some for not being included.
- Donald Trump has pledged to defend American platforms from additional taxes globally, which could create diplomatic tension with the NBI.
- The NBI prioritizes media outlets employing Australian journalists and could include multicultural publishers.
- Assistant Treasurer Daniel Mulino stated that large digital platforms should be 'partners in innovation' with news media.
- The NBI was first proposed in late 2024 as Meta and other platforms began sidestepping the NMBC.
- The discussion paper released by Communications Minister Anika Wells and Mulino emphasizes the importance of Australian news stories being told by Australian journalists.
- The NBI aims to 'close a loophole' in the NMBC that allowed platforms to avoid obligations by removing news content.
- Albanese emphasized that the work of journalists should have 'monetary value' and not be 'taken' by tech giants without compensation.
- The government engaged in 'extensive consultation' with Meta, TikTok, and Google before releasing the draft legislation.
- Rod Sims, in a Guardian opinion piece, criticized the NBI for leaving too much bargaining power with tech platforms and not addressing AI companies adequately.
- Sims noted the NBI applies only to search and social media services, excluding AI, despite its growing role in news consumption.
- He suggested the NMBC could have been amended to apply to platforms regardless of whether they carry news, ensuring continuity.
Where the reporting differs
Details that conflict, or appear in only some outlets:
- The ABC states the NBI will generate between $200 million and $250 million in revenue, while the Guardian does not specify a range but implies the figure is similar.
- The Guardian mentions the NBI was first proposed in late 2024, but the ABC does not explicitly state this timeline, focusing instead on the 2026 announcement.
- The ABC reports that Meta’s original deals under the NMBC were worth about $70 million, while the Guardian does not specify a figure for Meta’s expired deals.
- Rod Sims (Guardian opinion) argues the NBI should have amended the NMBC to apply to all platforms regardless of news hosting, but the other sources do not address this specific critique.
- The ABC notes that Google has deals with 90+ news businesses, while the Guardian does not provide a specific number for Google’s agreements.
Source Articles
Labor defends news payment plan as Meta, Google reject tax
US tech giant Meta has condemned Labor's plan to tax large digital platforms that fail to pay for using Australian journalism as "government-mandated transfer of wealth".
Google, Meta and TikTok face new levy to pay for Australian news as Albanese reveals media plan
Government’s draft news bargaining incentive scheme includes 2.25% levy on local revenues of digital giants Anthony Albanese has urged Google, Meta and TikTok to make deals with Australian media outlets to avoid a dedicated 2.25% levy on local revenues, warning digital giants should not be able to exploit the work of journalists to boost profits. Releasing an exposure draft for the government’s news bargaining incentive (NBI) scheme on Tuesday, the prime minister said platforms who sign new deal
New Aus laws eye up Meta, TikTok
New details have emerged about new laws to force companies like Meta, Google, and TikTok to strike deals with Australian news organisations.
Labor’s news levy for tech giants is much needed – but leaves too much bargaining power with platforms | Rod Sims
We need the news bargaining incentive to be operational by mid-year – but more work is needed to ensure scheme is equitable and addresses rise of AI Follow our Australia news live blog for latest updates Get our breaking news email , free app or daily news podcast We should applaud the release of the Australian government’s exposure draft legislation for the news bargaining incentive (NBI). The government is acting to ensure that media companies get rewarded when their content is used by search
Tech giants face a new levy to pay for Australian news. What is the proposed model and how will it work?
Replacing the Coalition’s news media bargaining code, the incentive is the latest move to force companies to make deals with publishers and help fund journalism Get our breaking news email , free app or daily news podcast Labor has unveiled its proposed design for the news bargaining incentive (NBI) , the plan to make large digital platforms pay for news content in Australia. Replacing the Morrison government’s news media bargaining code (NMBC), the incentive is the latest move to force companie
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