Journalism Competition and Preservation Act Should NOT Exempt Media Companies From Antitrust Laws but Encourage Publishers to Thrive in the Internet Economy, Says ITIF
WASHINGTON—In response to the Senate Judiciary subcommittee hearing today to discuss the Journalism Competition and Preservation Act (JCPA), the Information Technology and Innovation Foundation (ITIF), the leading think tank for science and technology policy, released the following statement from Daniel Castro, vice president of ITIF:
Many news publishers continue to push the misleading narrative that online platforms like Google and Facebook are singularly responsible for their economic challenges. The reality is that before the Internet, a significant source of revenue for newspapers came from classified ads, and with the introduction of cheaper alternatives like Craigslist, newspapers lost this lucrative revenue stream.
Today, online platforms help drive traffic to news sites and foster a competitive media industry. Publishers can choose not to use these platforms, but most do because it helps bring in new readers and more revenue.
If Congress wants to boost revenue for the news publishing industry it should not seek to exempt media companies from antitrust laws nor should it restrict targeted advertising which is a source of higher-value ads. Instead, it should encourage publishers to take advantage of the latest digital technologies so they can thrive in the Internet economy.
###
The Information Technology and Innovation Foundation (ITIF) is an independent, nonprofit, nonpartisan research and educational institute focusing on the intersection of technological innovation and public policy. Recognized by its peers in the think tank community as the global center of excellence for science and technology policy, ITIF’s mission is to formulate and promote policy solutions that accelerate innovation and boost productivity to spur growth, opportunity, and progress.
