Tech Titans Face Penalties in South Africa Over Unfair Practices

(3 Minutes Read)

South Africa has taken measures against major tech companies like Meta, Google, and Alphabet Inc.

South Africa has taken measures against major tech companies like Meta, Google, and Alphabet Inc. Google has been instructed to pay regional media firms up to 500 million rand annually for up to five years, arguing that its practices hinder the media’s ability to attract and monetise online traffic.

The Competition Commission has also requested various remedies from Meta, X, YouTube, and TikTok, addressing concerns over their anti-competitive behaviour that negatively impacts local media organisations.

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The Commission highlighted that companies like Google and Facebook are engaging in practices that stifle competition and disadvantage South African media outlets. In a statement following a 16-month investigation, they noted that digital platforms often create conditions that impede or distort competition in the news media sector. The proposed remedies, still in preliminary stages, would only affect the companies’ operations in South Africa. Local media have struggled financially, as many residents have limited means to pay for news and public and community media lack subscription models.