Australia Won't Change Planned Content Laws Despite Facebook Block

FILE PHOTO: A 3D printed Facebook logo is seen in front of displayed Australia's flag in this illustration photo taken February 18, 2021. REUTERS/Dado Ruvic/Illustration
FILE PHOTO: A 3D printed Facebook logo is seen in front of displayed Australia's flag in this illustration photo taken February 18, 2021. REUTERS/Dado Ruvic/Illustration
TT

Australia Won't Change Planned Content Laws Despite Facebook Block

FILE PHOTO: A 3D printed Facebook logo is seen in front of displayed Australia's flag in this illustration photo taken February 18, 2021. REUTERS/Dado Ruvic/Illustration
FILE PHOTO: A 3D printed Facebook logo is seen in front of displayed Australia's flag in this illustration photo taken February 18, 2021. REUTERS/Dado Ruvic/Illustration

Australia will not change proposed laws that would make Alphabet Inc’s Google and Facebook pay news outlets for content, a senior lawmaker said on Monday, despite vocal opposition from the Big Tech firms.

Facebook has strongly protested the laws and last week abruptly blocked all news content and several state government and emergency department accounts. The social media giant and Australian leaders continued discussing the changes over the weekend.

But with the bill scheduled for a debate in the Senate on Monday, Australia’s most senior lawmaker in the upper house said there would be no further amendments.

“The bill as it stands ... meets the right balance,” Simon Birmingham, Australia’s Minister for Finance, told Australian Broadcasting Corp Radio, Reuters reported.

The bill in its present form ensures “Australian-generated news content by Australian-generated news organizations can and should be paid for and done so in a fair and legitimate way”.

The laws would give the government the right to appoint an arbitrator to set content licencing fees if private negotiations fail.

While both Google and Facebook have campaigned against the laws, Google last week inked deals with top Australian outlets, including a global deal with Rupert Murdoch’s News Corp.

“There’s no reason Facebook can’t do and achieve what Google already has,” Birmingham added.

A Facebook representative declined to comment on Monday on the legislation which passed the lower house last week and has majority support in the Senate.

Lobby group DIGI, which represents Facebook, Google and other online platforms like Twitter Inc, meanwhile said on Monday that its members had agreed to adopt an industry-wide code of practice to reduce the spread of misinformation online.

Under the voluntary code, the companies commit to identifying and stopping unidentified accounts, or “bots”, disseminating content, informing users of the origins of content, and publishing an annual transparency report, among other measures.



Microsoft Relaxes Data Center Grip on OpenAI Amid $500 Bln Joint Venture 

A Microsoft logo is pictured on a store in the Manhattan borough of New York City, New York, US, Jan. 25, 2021. (Reuters) 
A Microsoft logo is pictured on a store in the Manhattan borough of New York City, New York, US, Jan. 25, 2021. (Reuters) 
TT

Microsoft Relaxes Data Center Grip on OpenAI Amid $500 Bln Joint Venture 

A Microsoft logo is pictured on a store in the Manhattan borough of New York City, New York, US, Jan. 25, 2021. (Reuters) 
A Microsoft logo is pictured on a store in the Manhattan borough of New York City, New York, US, Jan. 25, 2021. (Reuters) 

Microsoft on Tuesday said it has changed some key terms of a deal with OpenAI after the ChatGPT creator announced a joint venture with Oracle and Japan's SoftBank Group to build up to $500 billion of new AI data centers in the United States.

President Donald Trump gathered the leaders of the "Stargate" effort at the White House on Tuesday to announce the deal, saying it was intended to help keep the United States ahead of China and other rivals in the global AI race, using chips from Nvidia.

Since 2019, Microsoft has had arrangements with OpenAI that gave the Redmond, Washington-based company the exclusive right to build new computing infrastructure for OpenAI. Microsoft, in a blog post, said it has "approved OpenAI's ability to build additional capacity, primarily for research and training of models."

That opened the door for OpenAI to work with Oracle.

A person familiar with the deal said that Stargate is a joint venture structured as a new entity in which OpenAI has an equity stake, governance rights and operational control. It will have a separate board appointed by the founding members and its own CEO, this person said.

Microsoft, along with Nvidia and Arm, will be a "technology partner" in the new venture, but is not listed as an equity funder. SoftBank CEO Masayoshi Son is will be the entity's board chairman, according to a statement from OpenAI posted on social media site X.

But Microsoft said that it still retains the exclusive right to offer OpenAI's API - technology shorthand for application programming interface, which is the main way that software developers and business customers buy OpenAI's services. That means Oracle will not be able to host OpenAI's primary source of revenue.

Oracle did not immediately respond to a request for comment on Microsoft's statements.

Microsoft said it has "revenue sharing agreements that flow both ways" with OpenAI.

"The key elements of our partnership remain in place for the duration of our contract through 2030, with our access to OpenAI’s IP, our revenue sharing arrangements and our exclusivity on OpenAI’s APIs all continuing forward," Microsoft said.

Microsoft also said "OpenAI recently made a new, large Azure commitment that will continue to support all OpenAI products as well as training," referring to Microsoft's Azure cloud computing service.