The report covered a range of issues, from the newly defined ‘Two-Tier’ media to the impact of big tech firms’ market dominance on news dissemination.

The report can be found here.

What is ‘two-tier’ media?

A term coined by Douglas McCabe, CEO and Director of Publishing and Tech at Enders Analysis, in an evidence session, ‘two-tier’ media refers to the divide between those who have access to high-quality journalistic content, usually behind a paywall. This contrasts with those who are limited to free content, which is increasingly accessed via less traditional outlets, such as social media.

The report suggested that such a system is already having implications for traditional news outlets. However, those with more niche audiences, such as specialist publishers, are in better positions to sustain themselves, given that most content is paid, and backed by audiences who are willing to pay for the content.

While the two-tier system may hold benefits to specialist publishers, the decline in accessible journalistic content threatens the pluralistic landscape that traditional publishers help sustain and support.

The report’s recommendations to the government on this included tax reliefs to reduce the costs of producing quality journalism.

Artificial Intelligence

The report also addressed the issues relating to AI, both relating to copyright and its impact on SEO. Algorithmic controls and AI overviews by tech platforms are reshaping how news is accessed and consumed. The report said, “If the trend towards generative search continues, many smaller media outlets may struggle to make money or reach consumers— particularly if they do not have licensing deals granting them revenue streams and exposure.”

On this, the report’s recommendations are as follows, “Advances in generative AI are enabling tech firms to provide engaging and high-quality news summaries. This suggests they are increasingly acting as publishers and may need to be regulated as such [therefore] the Government should commit to a 12-month deadline for responding to future Ofcom priority recommendations on media plurality”.

On addressing the issues of rightsholders and their copyright protection with AI development, the report recommended,

“The Government must aim for a robust framework that helps the creative industries strike mutually beneficial deals with tech firms, aligns incentives, respects intellectual property and champions responsible AI development in the UK. […] We caution strongly against adopting a flawed opt-out regime comparable to the version operating in the EU. Much better means for ensuring technical viability, transparency, consent and enforcement are needed for a new text and data mining regime to work to UK advantage.”

The PPA continues to call on the Government to address AI regulation to protect the trusted content of our members. We also call on the Government to ensure a pluralistic media landscape exists, and ensure smaller players can thrive in these markets

The full report can be found here, which includes full recommendations, as well as other topics.

To read an article on Two-Tier media, published by Baroness Tina Stowell, Chair of the Communications and Digital Committee, click here.

If you have any questions or would like to find out more, contact our Head of Policy and Public Affairs, Eilidh.wilson@ppa.co.uk