February 04, 2013, 9:08 AM — German newspaper and magazine publishers said Monday that they won't give Google the same copyright deal as it struck with French publishers to settle a dispute over revenue lost when news article snippets appear in search results.
Google and other search engines often republish parts of news articles in their search results without the publishers' consent, generating advertising revenue that isn't shared with the publishers. French, Belgian and German publishers have been demanding compensation for this claimed revenue loss.
On Friday, Google announced that to settle the dispute it created a ¬60 million (US$81 million) innovation fund to help French publishers transition to the digital age. The deal let Google avoid the introduction of a law that was floated last year, that could have made the search giant pay for republishing news snippets.
As part of the deal, Google said it would help publishers increase online revenues using its advertising technology. The initiative is similar to a deal struck with Belgian publishers last December. Shortly after that settlement, Belgian publishers announced plans to introduce a shared paywall system called Media ID, making a large part of their content only available to paying readers.
While Google managed to settle in Belgium and France, they are not likely to strike a similar deal with German publishers. "The agreement is not a model for Germany," said the Federation of German Newspaper Publishers (BDZV) and the Federation of German Magazine Publishers (VDZ) in a combined news release responding to the French deal.
And while the French settlement makes clear that the aggregation of publishers' content costs them money, the chosen solutions bets on Google's search monopoly, the German publishers said. The deal has the disadvantage that it only applies to a single aggregator, leaving the French publishers with no alternative to defend themselves against other aggregators now and in the future, they added.
By striking this deal, the French publishers have shut off the option to get a legal remedy against organizations that aggregate their content without consent, the German federations said. Other aggregators are unlikely to be threatened with a similar "link tax" by the French government, making negotiations the only hope for publishers, they added.