The Journalism Competition and Preservation Act Is a Misguided Attempt to Fix the News Industry, Says ITIF
WASHINGTON— In response to the Senate Committee on the Judiciary’s markup of the Journalism Competition and Preservation Act (JCPA) today, 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:
The debate among senators in today’s committee session showed that the JCPA is a hugely controversial piece of legislation with many potential unintended consequences. The bill should not just be put on hold; it should be put in the shredder.
Many policymakers are understandably concerned about the decline of local news. However, exempting local news publishers from antitrust laws and forcing large tech platforms to negotiate an agreement with them to pay for their content is not a long-term solution to what ails journalism. The digital economy has forced many industries to reevaluate their business models, and the news industry is no exception.
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. Rather than subsidizing failing business models, policymakers should be encouraging the news industry to take advantage of the latest digital technologies and online advertising so they can thrive in the Internet economy.
For more on this issue see:
- Daniel Castro, “History Shows That the News Industry Does Not Need a Handout from Big Tech” (ITIF, August 2022).
- Daniel Castro, “Congress Should Not Break Big Tech to Fix Local News” (ITIF, February 2022).
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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.
