Google admits mistakes with news outlets as it announces
new partnership
The Digital News Initiative is likely to be seen as an
attempt for Google to improve its image after recently being accused of
anti-competitive behaviour
By Jane Martinson
Monday 27 April 2015 15.22 EDT Last modified on Monday 27 April 2015 19.45
EDT
Google is to admit to making mistakes in working with
news organisations as it announces a new digital partnership with eight
European publishers.
The Digital News Initiative is likely to be seen as an
attempt by the company to improve its image after being accused of distorting
internet search results and acting anti-competitively by European regulators
two weeks ago.
The European Union is investigating whether Google has
abused its 90% market share in search to illegally promote its other products
and services. News is not directly affected by this investigation. However,
publishers have complained for years about the impact of Google’s use of their
content.
In the new partnership with eight publishers, including
the Guardian, Google is to establish a working group to focus on product
development as well as providing a €150m (£107m) innovation fund over three
years, alongside additional training and research. Publishers are keenest to
explore the product development which Google promises will aim to “increase
revenue, traffic and audience engagement”.
In a speech in London on Tuesday morning, Carlo D’Asaro
Biondo, head of Google’s strategic relationships in Europe, is expected to say:
“We recognise that technology companies and news organisations are part of the
same information ecosystem and we want to play our part in the common fight to
find more sustainable models for news.
“We firmly believe Google has always aimed to be friend
and partner to the news industry, but we also accept we’ve made some mistakes
along the way.
“We are determined to play our part in ongoing dialogue
and business partnership with the aim of building something more sustainable.”
Company insiders downplayed the suggestion that the
exercise was an attempt at garnering good publicity soon after the announcement
of the anti-trust probe. Talks with the publishers – which include the
Financial Times, Les Echos in France, NRC Media in the Netherlands, El Pais in
Spain and La Stampa in Italy, Faz and Die Zeit in Germany as well as the
Guardian – started as long ago as last summer.
Google hopes other global publishers join the initiative.
In a statement D’Asaro Biondo said: “The internet offers huge opportunities for
the creation and dissemination of great journalism. But there are also
legitimate questions about how high quality journalism can be sustained in the
digital age. Through the Digital News Initiative, Google will work hand in hand
with news publishers and journalism organisations to help develop more
sustainable models for news. This is just the beginning and we invite others to
join us.”
Some publishers believe that the aim to work on products
focusing on ads, video, apps, data and paid-for journalism should be rolled out
globally to be most effective. Tony Danker, international director of Guardian
news and media, welcomed the initiative which, he said, had real potential, “but
that potential depends on whether, having been conceived by Google in Europe,
it is now adopted by Google in Mountain View”.
“The test of success is whether it leads to meaningful
change to ensure journalism flourishes in the digital age.”
Jon Slade, B2C managing director at the Financial Times,
said: “We believe there is scope for more cooperation around discovery,
monetisation and the development of tools and analytics for news
organisations.”
Bob Satchwell, executive director of the Society of
Editors in the UK said: “The DNI initiative will provide a welcome boost to
support the innovation and imagination of editors and journalists in the UK who
have made the digital revolution their own.”
The working group comes amid criticism that Google often
launches new products such as its recent search optimisation changes on mobile
sites without too much consultation. Google chief executive Larry Page in part
recognised this last year following the landmark “right to be forgotten” ruling
in Europe. “We’re trying now to be more European and think about it maybe more
from a European context. A very significant amount of time is going to be spent
in Europe talking,” he told the FT.
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