Google and California Will Fund Newsrooms

a News Transformation Fund, to be administered by the UC Berkeley School of Journalism, providing financial resources that preserve and expand California-based journalism,” said a news release from Assemblymember Buffy Wicks (D). Wicks introduced the California Journalism Preservation Act (AB-886), which the California Senate Appropriations Committee was considering. Under the agreement, "nearly $250 million in public and private funding” will be provided over the next five years by the state and technology platforms, “with the majority of funding” going to California newsrooms, the release said. “The goal is to front-load $100 million in the first year to kick-start the efforts.” The investment could increase if more funding becomes available, the release said. The money will go to “California-based state and local news organizations, particularly those serving California local news deserts, underserved and underrepresented communities, and outlets that prioritize California coverage.” The deal also creates a “National AI Innovation Accelerator,” which will provide organizations and communities “with financial resources and other support to experiment with AI to assist them in their work,” the release said. “This public-private partnership builds on our long history of working with journalism and the local news ecosystem in our home state, while developing a national center of excellence on AI policy,” said Alphabet President of Global Affairs Kent Walker. The News/Media Alliance, which has pushed for federal legislation that allows journalism outlets to jointly negotiate with tech companies over content rights, praised the agreement but said it underscores the need for the Journalism Competition and Preservation Act (see 2306150053). Sen. Amy Klobuchar, D-Minn., introduced that bill last year. “Assemblymember Wicks has shown incredible commitment to news publishers, and through her efforts has extracted concessions from one of the world’s largest tech giants,” said NMA President Danielle Coffey in a release. “Google is a dominant monopoly that reaps significant revenue off scraping and repackaging quality news content, depriving publishers of the opportunity to monetize their content and reinvest in journalists,” Coffey said. “Today’s announcement reinforces the need for federal legislation and potential court remedies to address this broken marketplace.”