2024 RT Amination Banner.gif

China Daily

Asia Pacific> Asia News> Content
Thursday, February 09, 2023, 16:30
Indonesia drafts law to let media get paid from digital platforms
By Reuters
Thursday, February 09, 2023, 16:30 By Reuters

In this file photo taken on Dec 14, 2022, Indonesia's President Joko Widodo speaks during the opening ceremony at an EU-ASEAN summit in Brussels. (PHOTO / AP)

JAKARTA - Indonesia is drafting a regulation allowing media outlets to receive payments from digital platforms or aggregators that carry their content, its Press Council said on Thursday.

The new law is expected to level the playing field between media and tech firms in terms of providing content and generating profit, said Arif Zulkifli, a member of Indonesia's Press Council.

The law, proposed two years ago, was inspired by similar legislation in Germany and Australia, and is expected to be issued as a presidential regulation within a month.

Speaking at an event commemorating Indonesian press on Thursday, President Joko Widodo cited an urgent need for the new law since 60 percent of the advertisement market in the Southeast Asian country is dominated by mainly foreign digital platforms

Digital platforms in Indonesia include Facebook, Alphabet Inc's Google, and some local aggregators.

ALSO READ: Indonesia issues emergency regulation to replace job creation law

Arif said these platforms benefit from carrying content generated by media companies while "most media receive small profits".

"(There is) no balance in this," he said.

Under the new law, the Press Council will determine price structures and payments schemes, while also acting as mediator in the event of a dispute.

In Australia, the News Media Bargaining Code took effect in March, 2021. Since then, tech firms have inked more than 30 deals with media outlets compensating them for content which generated clicks and advertising dollars, according to a report by the country's Treasury Department.

ALSO READ: Indonesia passes law to relocate capital to remote Borneo

These agreements have enabled news businesses to employ additional journalists and make other valuable investments in their operations, the report said.

Speaking at an event commemorating Indonesian press on Thursday, President Joko Widodo cited an urgent need for the new law since 60 percent of the advertisement market in the Southeast Asian country is dominated by mainly foreign digital platforms.

READ MORE: Indonesia: Local trader forged ingredient label in cough syrup

"Around 60 percent of advertisement spending were taken by digital media, especially foreign platforms. This is sad," he said.

Share this story