Meta has criticised Australia’s proposed legislation requiring major technology companies to compensate news publishers for content shared on their platforms, describing the proposed framework as unfair and unsuitable for achieving its stated objectives.

The social media company, which owns Facebook and Instagram, voiced its opposition as Australian authorities move forward with plans to introduce the legislation aimed at supporting the country’s news industry.

The proposed law would require large technology firms to negotiate commercial agreements with local news organisations for the use and distribution of news content on their platforms.

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Companies that fail to reach agreements could face a mandatory levy equivalent to 2.25 per cent of their Australian revenue.

Meta said it strongly disagrees with the proposal and urged policymakers to reconsider the approach.

According to the company, the draft legislation is flawed and would not create the sustainable and diverse media environment that lawmakers intend to achieve.

Meta stated that the proposal unfairly targets selected technology companies and imposes obligations that do not reflect the realities of the digital media ecosystem.

The company argued that the legislation discriminates against specific businesses and may produce unintended consequences for the broader digital economy.

Australian authorities have maintained that the proposed law is necessary to support local journalism and ensure that media organisations receive fair compensation for content distributed through large online platforms.

Under the proposal, technology companies including Meta, Google and TikTok would initially be given the opportunity to negotiate agreements with Australian publishers before any levy is imposed.

The legislation was developed following concerns about the financial challenges facing traditional media organisations as audiences increasingly consume news through digital and social media channels.

Supporters of the proposal argue that online platforms benefit significantly from news content that attracts user engagement and advertising revenue.

They contend that news organisations should receive compensation because their content contributes to user activity on major technology platforms.

Australia has been at the forefront of global efforts to establish regulatory frameworks governing the relationship between digital platforms and media publishers.

The latest proposal follows earlier measures introduced to encourage commercial agreements between technology companies and news organisations.

When similar proposals were discussed previously, Meta responded by removing access to certain news-related features for Australian users.

The company has consistently maintained that publishers voluntarily choose to share content on its platforms and that the relationship provides mutual benefits.

Meta argues that its services help publishers reach broader audiences and drive traffic to their websites.

Australian lawmakers, however, maintain that stronger regulatory intervention is necessary to ensure the long-term sustainability of the news sector.

Research conducted in Australia has shown that social media platforms have become a major source of news consumption for a large segment of the population.

The findings have intensified debates over the responsibilities of technology companies in supporting journalism and preserving access to reliable information.

The proposed legislation is expected to be presented to the Australian Parliament later in the year, where lawmakers will consider its provisions before any final implementation.

Meta has indicated that it will continue engaging with policymakers regarding the proposal while maintaining its opposition to the planned framework.

The outcome of the legislative process is expected to be closely watched by governments, media organisations and technology companies around the world, as regulators increasingly seek new approaches to balancing the interests of digital platforms and news publishers.