TechCrunch: Google to pay out $1B to publishers to license content for new Google News Showcase

"Google has long had a frenemy position with regards to the world of news: It can direct a lot of traffic to online publishers, but that’s only if people bother to click on links after getting the gist of the story from Google itself (and that’s before considering Google’s AMP approach on mobile that keeps users on Google URLs after they click). Publications built around advertising have felt beholden to the search and ad giant, leading those that have survived over the years to try to forge alternative revenue models around paid content, events and more to offset that dependency.

Now Google is offering another, complementary, option to these publishers, or at least some of them.

Today the company unveiled its latest effort to claw back more credibility in the news publishing world, launching the Google News Showcase. Sundar Pichai, CEO of the search giant, said in a blog post that it would collectively pay some $1 billion to news publishers in licensing fees “to create and curate high-quality content” for new story panels that will appear on Google News. Initially, these will appear on Android devices and eventually also on Google News on iOS.

 

The new initiative is going live today, after it was initially unveiled by Google in broad strokes earlier this summer

Google News Showcase is rolling out first in Germany and Brazil before expanding to other markets, according to Pichai. The company has already inked deals with 200 publications in Germany, Brazil, Argentina, Canada, the U.K. and Australia. The first publications to launch will be Der SpiegelStern, Die ZeitFolha de S.Paulo,BandInfobaeEl LitoralGZHWAZ and SooToday. India, Belgium and the Netherlands will be next on the list for expansion after the other countries go live, Pichai said. ..."

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