The New York Times to get around USD 100 mn from Google over 3 years: WSJ
May 09, 2023
New York [US], May 9 : The New York Times (NYT) is getting around USD 100 million from Google over three years as part of a broad deal that allows the Alphabet unit to feature NYT content on some of its platforms, The Wall Street Journal citing people familiar with the matter.
The publisher announced its deal with Google earlier this year, which it described as an expanded agreement that included content distribution and subscriptions, as well as using Google tools for marketing and ad-product experimentation. The New York Times, which didn't provide details about the financial terms of its deal at the time, declined to comment beyond its earlier announcement, according to WSJ.
"We don't share the details of commercial agreements with partners," a Google spokeswoman said.
The deal gives NYT an additional revenue driver as news publishers are bracing for an advertising-market slowdown, WSJ said in the report. The company posted revenue of USD 2.31 billion last year, up 11 per cent from a year earlier.
It also more than offsets the revenue that NYT is losing after Facebook parent Meta Platforms last year told publishers it wouldn't renew contracts to feature their content in its Facebook News tab. The Wall Street Journal at the time reported that Meta had paid annual fees of just over USD 20 million to NYT.
The deal includes the NYT's participation in Google News Showcase, a product that pays publishers to feature their content on Google News and some other Google platforms, some of the people said. According to WSJ, the product has yet to be launched in the US, but is available in other countries including Germany, Brazil and Australia.
News Corp, parent of Journal publisher Dow Jones and Co, is among the publishers that previously have reached agreements with Google over Showcase and other elements. News Corp in early 2021 announced a multiyear deal with Google and said the deal and other partnerships would generate a combined annual revenue of more than USD 100 million.
