Google has agreed to pay more than $40 million to South African news media after an investigation by the country's Competition Commission (CompCom) revealed that the corporation decreased search engine monetization opportunities that had previously sustained these publications.CompCom revealed the payment deal in a final report describing the investigation and results, which was issued on Thursday.
According to the research, the investigation discovered that Google, among large global platforms such as Meta and Microsoft, dominates important gateways via which South Africans obtain information.
The investigation found that the tech behemoth retains a strong position, with news accounting for 5-10 percent of queries and driving user engagement, which is monetized through commercial advertising.
Despite their reliance on news content, the Commission discovered that local media outlets were not being rewarded.“Google does, however, not compensate South African media for the news content it displays or summarises. Referral traffic to media websites has declined sharply as users increasingly consume AI-generated summaries or remain on Google’s own platforms,” it said.
The report further criticised the platform’s search architecture, saying: “Google’s algorithmic structure tends to favour large foreign outlets over local or vernacular media, deepening inequality in content visibility and advertising reach.”
Broadcasters were found to be equally affected.“The SABC relies heavily on YouTube for content distribution but earns minimal revenue-share compensation,” the Commission noted.
It also expressed concern about the broader information environment formed by social media dynamics, warning that:
“Social media algorithms also foster the spread of misinformation and disinformation by promoting sensationalist material over credible sources, imposing social costs that the media must absorb in combating fake news.”
