Law is made to compel Google to pay for news

Spanish government has passed a IP law which is called a Google tax in which Google has to pay tax for displaying news links on the search engine. Media reports states that this law will give a  boost  to the print media industry in the Spain The  newly introduced  law  will enforce Google to pay  for news agencies  of Spain

The Spanish medias state that  it requires service, which post link and excerpts of article  to pay a fee to the representation organization of  Spanish Newspaper, the Association  of  editors of Spanish Dailies .

The law also made the provision of fine up to 600,000 euros for the failure of the payment.

In the response Google stated   that Google news helps publisher bring traffic to their sites by stating the fact that it encourages around 10 billion views to newspaper websites every month.

It seems that paying monthly fee to media agencies has disappointed Google as a whole. Last year Google has won the law suit against ‘Digital Library Project’ which has given great relief.

The Google is now in new kind of trouble by this law. If this kind of law is made in other countries it would be quite difficult for the Google in the long run. However if this kind of law  made in  developing countries like Nepal it would  be easy for the survival for the media industry.

For the reminder since last year Google has stopped giving ads to Nepali language based  web portals which led to shut down many portals.