Meta didn’t feel a thing when it ditched news in Canada

By AdNews | 5 August 2024
 
Credit:Jonathon Young via Unsplash

Meta can't find any adverse impact to user engagement following the social media player's withdrawal of news from its platforms in Canada.

In Canada, Meta blocked news on Facebook and Instagram in response to a new law forcing the big digital platforms to pay publishers for premium news. 

Australia could face a similar ban if the federal government, through the News Media Bargaining Code, tries to force Meta to pay the media outlets for news content.

Competition watchdog the ACCC is currently preparing a brief for the federal government on whether Meta has a bargaining power advantage over news media companies.

In a submission to Australia’s Joint Select Committee on Social Media and Australian Society, Meta said the number of Daily Active Users and Monthly Active Users on Facebook in Canada increased since ending news availability. 

And time spent on Facebook in Canada continued to grow.

“We have not identified any other notable impacts to our business in Canada or around the world as a result of ending news availability in Canada,” Meta said

Meta pointed to analysis by Reuters which also found that the decision to end news availability in Canada “had almost no impact on Canadians’ usage of Facebook.

Publishers in Australia have a range of choices available and have been shifting into or expanding in additional channels, likewise showing that our services - while they may be popular in their use today - are by no means essential to publishers. 

Meta points to a report in the Australian Financial Review quoting the founder of Broadsheet, Nick Shelton, as saying he was “not concerned with” diminishing traffic from Facebook.

Facebook once supplied 50% of the culture publisher’s traffic. That figure is now about 20%, and falling rapidly. 

“It’s not something we’re particularly concerned with. Our audience distribution focuses have long been on other things, namely owned audiences and direct relationships,” Shelton said.

Meta said digital audiences have never been better served through the multiple channels today for news content, and publishers have never had as much choice in reaching their audiences. 

“From publishers’ own websites and apps, to newsletters, podcasts, and digital video distribution channels (and platforms providing infrastructure to support those like Substack), to search services like Google search and Bing, news aggregators like Apple News and Google News, other platforms like LinkedIn, X, YouTube, TikTok, as well as outdoor screens, we represent but a few of more than a dozen digital touchpoints that are now available for publishers to reach audiences,” Meta said.  

Meta said the way in which people interact with technology changes over time, and digital platforms must invest and innovate vigorously to compete and respond to these changes.

"We have consistently provided data and evidence to the Australian government about the economics of the value of news on our services, that it is substitutable, and the changes in consumer behaviour with respect to news on our services," Meta said in its submission.

The amount of referral traffic to Australian news publishers from Facebook Feed has declined over time. In 2020, there were about 5.1 billion organic referrals or clicks from Facebook Feed to Australian news publishers,182 which declined to more than 3.5 billion in the 12 months to March 2022,183 which declined again to more than 2.3 billion in 2023 due to the
continuing shift in user preferences. 

And the number of daily active users of Facebook News in Australia dropped more than 80% in 2023

Meta also said there was no evidence of increased misinformation when news is removed.

“We are aware of publisher allegations that ending news availability in Canada (or more generally reducing exposure to news content on our services) has led to an increase in misinformation/disinformation on our services,” Meta said. 

“This is inaccurate, and we are not aware of any evidence supporting this assertion.

“We have never thought about news as a way to minimise misinformation/disinformation on our services. 

“With or without news content, we are incentivised to – and do – remove harmful misinformation and reduce distribution for fact-checked misinformation, and we remain steadfast in our commitments to ensure the integrity of information on our platforms by countering this type of harmful content. 

“We also note that in Australia, we are founding signatories of The Australian Code of Practice on Disinformation and Misinformation, as part of which we commit to undertake regular digital literacy initiatives, research on misinformation and annual transparency reports. 

“This will continue to provide Australian policy makers and other stakeholders accountability and transparency over Meta's ongoing work to combat mis- and disinformation.”

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