Google is locking Spanish publishers out of its popular Google News service in response to a new Spanish law that imposes fees for linking to the headlines and news stories on other websites.
Besides closing Google News in Spain, Google Inc. also is blocking reports from Spanish publishers in the more than other 70 other international editions packaged by Google News. Google News’ exile of Spanish publishers begins Dec. 16, a couple weeks before the start of a Spanish intellectual-property law requiring news publishers to be paid for their content, even if they are willing to give it away.
That means people in Latin America, where Spanish news organizations have sought to boost their digital audiences, won’t see news from Spain via Google News. Also set to disappear are reports in English from Spanish publishers like Madrid’s leading El Pais newspaper.
The lost access to Google News will likely make it more difficult for people to keep afloat on what it is happening in Spain. Spanish publishers also may lose a valuable source of traffic to their websites. Google says its main search engine and other services generate more than 10 billion monthly clicks that send Web surfers to other news sites throughout the world. Google News accounts for about 10 percent, or 1 billion clicks, of that worldwide volume.
Spain’s new law is designed to create a new source of revenue for the country’s publishers, who, like most of their peers around the world, have been hard hit as more readers and advertisers have abandoned printed editions for digital alternatives during the past decade.
The shift has hurt news publishers because digital ads aren’t nearly as lucrative as print ads. But the linking fees could now backfire if the lost access to Google News diminishes the traffic to Spanish news publishers, making it even more difficult for them to sell digital ads.
Even though Google News doesn’t display ads, it still helps Google make more money by deepening people’s loyalty to its products. The ads that Google distributes through its other services and other websites, including those run by news publishers, account for most of the company’s projected revenue of $66 billion this year.