FOR IMMEDIATE RELEASE

Arlington, VA – Today the California Senate Judiciary Committee will hold an Informational Hearing on “The Importance of Journalism in the Digital Age.” Senator Tom Umberg is holding the Hearing to give California legislators the opportunity to learn more about the state of journalism in the state, the challenges local newsrooms face and potential solutions, and how the California Journalism Preservation Act (CJPA, AB 886) in particular can help support a vibrant free press.

The CJPA would require Big Tech platforms such as Meta (which owns Facebook and Instagram) and Google to pay news publishers a “journalism usage fee” to use the content of eligible digital journalism providers, as defined in the bill. Currently, creators of journalistic and creative content are not adequately compensated for the use of their work that takes a tremendous investment to produce.

The CJPA was introduced by Assemblymember Buffy Wicks (D-Oakland) in March and passed out of the California State Assembly in June in a floor vote of 46-6 before it was held over to the next session. The Informational Hearing will provide legislators the opportunity to ask questions and provide input before the bill is brought up early in the next session in 2024.

“We applaud Assemblymember Wicks and Senator Umberg for their commitment to sustaining journalism and their dedication to the California Journalism & Preservation Act (CJPA),” said News/Media Alliance President & CEO Danielle Coffey. “By holding this informational hearing and having an open dialogue, they are showing their ardent commitment to preserving quality local journalism that supports a healthy democracy and providing their constituents with important information about their communities. Without meaningful action, news outlets will continue to disappear.”

News outlets, especially small, local ones, are shuttering at alarming rates as revenues decline and costs rise. California has lost more than 100 newspapers in the last decade.

A new report from the Medill School of Journalism at Northwestern University last month raised the level of urgency surrounding the local news crisis, finding that one-third of the newspapers in the U.S. in 2005 will be gone by 2024. Previous reports had estimated the timeline to reach that milestone would occur in 2025, which indicates that the pace of closures has accelerated. Most of the communities that lose their local newspaper do not get a replacement or have a digital source for local news for their community.

When local newspapers shutter, there is a significant detrimental effect on communities whereby civic engagement goes down, corruption goes up, and the ability to combat disinformation grows increasingly difficult.

When newsrooms are full, the public reaps the rewards. The CJPA would also promote the hiring of more journalists, requiring news publishers to invest 70 percent of the profits from the usage fee into journalism jobs.

The News/Media Alliance has been vocally advocating for legislation at the federal level since 2018. The Journalism Competition & Preservation Act (JCPA), which was reintroduced by Antitrust Chairwoman Amy Klobuchar (D-MN) and Senator John N. Kennedy (R-LA) on March 31 (S. 1094), passed through Senate Judiciary Committee markup in June.

The dominant tech platforms have become de facto gatekeepers of journalism, setting rules for how news content is displayed, prioritized, and monetized. They reap the majority of the financial benefits of sharing publishers’ original content without incurring any of the costs of gathering and reporting news their users want and rely on. The CJPA and JCPA directly address these challenges and are a crucial part of the solution to preserving local journalism.

Coffey added, “With similar laws being passed around the world, we are seeing more and more support for getting this legislation passed countrywide. We must act now to protect and support publishers of high-quality journalism, who work tirelessly to keep our communities safe and informed through their reporting. We look forward to the CJPA moving to a Senate vote next year and working with policymakers in California to implement the CJPA and restore fairness and balance to the marketplace.”

For more information on the federal JCPA, visit www.JCPABill.com.

###

Media contact:
Lindsey Loving
Director, Communications
lindsey@newsmediaalliance.org

The News/Media Alliance is a nonprofit organization representing more than 2,200 news and magazine media organizations and their multiplatform businesses in the United States and globally. Alliance members include print and digital publishers of original journalism. Headquartered just outside Washington, D.C., the association focuses on ensuring the future of journalism through communication, research, advocacy, and innovation. Information about the News/Media Alliance can be found at www.newsmediaalliance.org.

The post California Senate Judiciary Committee to Hold Informational Hearing on Importance of Journalism appeared first on News/Media Alliance.

Meta’s threat to take down news is undemocratic and unbecoming. We have seen this in their playbook before and they have been publicly admonished in other countries for this behavior, including Canadian Prime Minister Trudeau who criticized Meta’s threats, stating that it showed how “deeply irresponsible and out of touch they are.” As the tech platforms compensate news publishers around the world, it demonstrates there is a demand and economic value for news. These threats were attempted before when the Australian government passed a similar law to compensate news outlets and faced substantial public backlash. The Australian law resulted in countless jobs for local journalists and $140 million to news outlets,  Moreover, stating the CJPA funds would go to “slush funds” is blatantly false. Under the bill, 70 percent of funds must go to journalism jobs. This is why the Media Guild of the West voted unanimously to support the bill.

###

The post Statement: Meta Threatens to Remove News from Meta Platforms if CJPA is Passed appeared first on News/Media Alliance.

Arlington, VA – Last night, at a hearing of the California State Assembly Committee on Privacy and Consumer Protection, members voted 9-0 in favor of the California Journalism Preservation Act (CJPA, AB 886).

The bill, which was introduced by Assemblymember Buffy Wicks (D-Oakland) in March, would require Big Tech platforms such as Facebook and Google to pay news publishers a “journalism usage fee” to use local news content. Currently, creators of quality journalism are not adequately compensated for the use of their content that takes a tremendous investment to produce, and therefore, cannot reinvest enough in journalists and newsrooms.

The CJPA would also promote the hiring of more journalists, requiring news publishers to invest 70 percent of the profits from the usage fee into journalism jobs.

News/Media Alliance Executive Vice President & General Counsel, Danielle Coffey, testified at the hearing, alongside Assemblymember Wicks and Matt Pearce, representing labor unions.

Coffey stated, “We applaud Assemblymember Wicks and the Privacy and Consumer Protection Committee for recognizing the value of high-quality journalism and the need for journalism providers to be compensated fairly for the use of their content by the tech platforms. We are very happy with the outcome of the hearing in California, and we look forward to next steps as the bill moves forward.”

The Alliance has been vocally advocating for such legislation at the federal level since 2018. The Journalism Competition & Preservation Act (JCPA), which was reintroduced in the 117th Congress (S. 673 and H.R. 1735), passed through Senate Judiciary Committee markup in September and nearly passed into law in December before the Congress ended. Senate Antitrust Chairwoman Amy Klobuchar (D-MN) and Senator John N. Kennedy (R-LA) reintroduced the JCPA, which has strong bipartisan support, in the Senate (S. 1094) on March 31.

Coffey added, “The dominant tech platforms reap the vast majority of the online revenue at news publishers’ expense. If balance isn’t restored to the marketplace, we will continue to see local newspapers closing at the same alarming rate, leaving bigger and bigger news deserts that encourage misinformation, confusion and corruption to dominate, threatening democracy and our constitutional right to a free press.”

Watch a video of the hearing here. For more information on the federal JCPA, visit  www.JCPABill.com.

###

Media contact:
Lindsey Loving
Director, Communications
lindsey@newsmediaalliance.org

The News/Media Alliance is a nonprofit organization representing more than 2,000 news and magazine media organizations and their multiplatform businesses in the United States and globally. Alliance members include print and digital publishers of original journalism. Headquartered just outside Washington, D.C., the association focuses on ensuring the future of journalism through communication, research, advocacy, and innovation. Information about the News/Media Alliance can be found at www.newsmediaalliance.org.

The post News/Media Alliance Applauds California Committee on Privacy and Consumer Protection for Voting in Favor of California Journalism Preservation Act appeared first on News/Media Alliance.