Facebook to cease payments to newspaper publishers and shut down News section

Facebook has announced it will stop paying newspaper publishers and will be shutting down its news section completely. Meta, Facebook’s parent company, stated that people do not use the platform for news or political content. They plan to wind down deals with US and Australian publishers, as well as remove a news tab that provided users with a feed of articles. Despite this change, users will still be able to read news posted by friends and accounts they follow, including news publishers.

This decision follows a similar move made last year in the UK and Europe. Shutting down the news unit in other countries signifies the end of Facebook’s relationships with news companies, many of which relied on the platform for readership. The Australian government, in particular, expressed disappointment over the announcement, as laws were recently introduced to ensure internet companies and news groups reached licensing agreements in 2021.

Meta cited a significant drop in the number of users accessing Facebook News in Australia and the US as a reason for ending the news section. They emphasized that people primarily use Facebook to connect with others and explore various interests, rather than consuming news content. The company will now focus on providing more short-form video content on the platform.

Sir Nick Clegg, Meta’s head of global affairs, who had previously championed payments to news publishers as a way to support journalism, acknowledged the shifting priorities within the company. The UK’s incoming Digital Markets, Competition and Consumers Bill is expected to place pressure on major internet companies to compensate news publishers for their content.