Google has come to terms with an organization of French news publishers regarding compensation for the utilization of excerpts from their content. This development stems from the implementation of a “neighboring right” for news organizations, which was incorporated into national legislation following a comprehensive EU-wide copyright reform finalized in 2019.

Initially, the technology corporation attempted to circumvent payments to French publishers for the inclusion of content snippets in its news aggregation and search services by ceasing to display those snippets within France.

However, in April of the previous year, the French competition authority (FCA) rejected this tactic, employing an expedited process known as interim measures. The FCA determined that Google’s unilateral removal of snippets was unjust and detrimental to the press industry, and likely represented an abuse of its dominant market position.

Subsequently, a few months later, Google’s challenge to the watchdog’s order mandating negotiations with publishers over content reuse was unsuccessful, leaving the company with limited options but to engage in discussions with French newspapers concerning payment arrangements.

L’Alliance de la Presse d’Information Générale (APIG), representing approximately 300 French political and general news publications, announced the framework agreement today, stating that it establishes the parameters for negotiations with its members regarding Google’s use of their content.

Pierre Louette, CEO of Groupe Les Echos – Le Parisien, and president of L’Alliance, commented in a statement: “Following extensive negotiations, this agreement represents a significant milestone, signifying the formal recognition of press publishers’ neighboring rights and the initiation of their remuneration by digital platforms for the utilization of their online publications.”

Google has also released a blog post, characterizing the agreement as a “major step forward” after months of discussions with French publishers.

The agreement “creates a structure through which Google will negotiate individual licensing agreements with IPG-certified publishers within APIG’s membership, while adhering to the principles of the law”, the company stated.

IPG certification denotes a status that French online media organizations can achieve by meeting specific quality criteria, including employing at least one professional journalist and primarily focusing on the creation of consistent, ongoing content that delivers political and general information to a broad audience.

“These agreements will encompass publishers’ neighboring rights and enable participation in News Showcase, a recently launched licensing program by Google designed to provide readers with access to enhanced content,” Google added, referencing a news partnership program announced last year with an initial investment of $1 billion.

Google has not disclosed the total amount of funds that will be allocated to publishers in France under the agreed framework for content reuse directly linked to the neighboring right.

Furthermore, the News Showcase program, rapidly introduced by Google last year, appears strategically designed to obscure the actual value of individual payments it may be legally obligated to make to publishers for reusing their content.

The technology company informed us that it is currently in discussions with publishers in numerous countries to negotiate agreements for News Showcase—a program that extends beyond the EU.

It also mentioned that earlier investments made with publishers under Showcase anticipate potential legal frameworks that may emerge as the EU’s copyright directive is implemented in other countries, adding that it will assess laws as they are introduced.

(Note: France was among the first EU nations to implement the copyright directive; the application of the neighboring right will expand throughout the bloc as other Member States integrate the directive into national law.)

Regarding the French agreements specifically, Google stated that they pertain to its News Showcase but also encompass the publishers’ neighboring rights, following our inquiry about the distinction between payments made under the French framework and Google’s News Showcase. The situation remains somewhat unclear.

The technology company also revealed that it has reached individual agreements with several French publishers, including prominent national newspapers such as Le Monde, Le Figaro, and Libération.

It added that payments will be made directly to publishers and that the terms of these agreements will remain confidential. It also noted that these individual deals consider the neighboring right framework while also reflecting the unique requirements and characteristics of each publisher.

Google’s blog post outlines the criteria for payments related to neighboring rights: “The remuneration included in these licensing agreements is based on factors such as the publisher’s contribution to political and general information (IPG-certified publishers), the daily publication volume, and its monthly internet traffic.”

Google further explained to us that it is prioritizing IPG publishers because the French law emphasizes (referencing a specific clause in the law that considers “human, material, and financial investments made by publishers and press agencies, the contribution to press publications to political and general information, and the importance of the use of press publications by online public communication services”).

However, it added that it remains open to discussions with other publishers not affiliated with APIG.

The technology company also emphasized that French law and the EU copyright directive do not require consent for the use of links or “very short extracts,” clarifying that it is compensating for online use on its platforms for publisher content that exceeds links and brief excerpts—such as a News Showcase panel curated by the publisher.

“We are paying for content beyond links and very short extracts,” the technology company also stated.

We also contacted L’Alliance for further information. A spokesperson for the group informed us that the agreement currently covers over 120 of its publisher members, with that number likely to change. They also confirmed that all IPG-certified publishers are eligible.

Regarding the scope of the neighboring rights coverage, the spokesperson clarified that snippets displayed in Google News would not fall under the exception for “isolated words or very short extracts,” pointing out that the directive also stipulates that the exception should not undermine the effectiveness of neighboring rights.

The assessment of whether the criteria are met will be a collaborative effort between the Alliance and publishers, according to the spokesperson, who noted that the withdrawal of their complaint before the FCA is contingent upon this review for 30 publishers.

Payments will begin once the complaint is resolved and Showcase is launched, they added, without specifying a timeline.

While individual payments to publishers under the French framework are not being disclosed, the agreement appears to be a significant victory for Europe’s press sector, which actively campaigned to extend copyright protection to news snippets through the EU’s contentious copyright reform.

Several EU Member States—including Germany and Spain—previously attempted to compel Google to pay publishers by incorporating similar copyright provisions into national law. However, in those cases, Google either pressured publishers to provide snippets for free (by leveraging competition among traffic-dependent publishers) or shut down Google News altogether. Therefore, some payment is demonstrably preferable to none.

Nevertheless, with the specifics of individual deals remaining undisclosed—and a lack of clarity regarding how remunerations will be calculated—much about Google’s payment for news reuse remains uncertain.

Neither Google nor L’Alliance has revealed the total amount of funds that will be distributed to covered publishers under the French agreement, for instance.

Another concern is how the framework will safeguard publishers against changes to Google’s search algorithms that could negatively impact traffic to their websites.

This is particularly relevant given that monthly traffic is one of the criteria used to determine payment. (And instances of negative search ‘fluctuations’ are not uncommon.)

However, according to the Alliance’s spokesperson, Google has committed to a certain level of remuneration for the duration of the agreement (three years). Consequently, they believe that traffic and algorithmic changes will not affect the payment arrangement.

They also pointed out that the FCA is still investigating Google over complaints of a dominant position—noting that other organizations have also filed complaints, meaning the investigation can continue even after the publishing group withdraws its own.

Still, it is evident that the more publishers Google can attract into its ‘News Showcase’ program, the greater its flexibility in displaying news snippets in its products—and, therefore, at a price it has more control over. Thus, the long-term impact of the EU’s copyright directive on publisher revenues—and its potential influence on the quality of online journalism presented to Internet users—remains to be seen.

As previously mentioned, the French competition watchdog’s investigation is ongoing—and Google has confirmed that it continues to cooperate with the probe—meaning its business practices remain under close scrutiny, limiting its operational latitude for the time being.

In a separate action in 2019, the national watchdog imposed a €150 million fine on Google for abusing its dominant position in the online search advertising market, penalizing it for “opaque and difficult to understand” operating rules for its ad platform, Google Ads, and for applying them in “an unfair and random manner.”

Furthermore, last October, the US Justice Department filed an antitrust lawsuit against Google, alleging that the company “unlawfully maintains monopolies in the markets for general search services, search advertising, and general search text advertising.”

The UK’s competition watchdog has also expressed concerns about the ad market dominance of Google and Facebook, requesting feedback on potentially breaking up Google in 2019. The UK government has since announced plans to establish a pro-competition regulator to impose limits on big tech.

This report was updated with additional information and a direct statement from Google, as well as further details from L’Alliance