SIIA Urges Australia to Withdraw Proposed News Bargaining Incentive

The Software & Information Industry Association (SIIA) submitted comments to the Australian Department of the Treasury in response to its consultation on the proposed News Bargaining Incentive. While recognizing Australia's interest in supporting a vibrant news ecosystem, SIIA argues that the Incentive is fundamentally flawed in its design and scope.

In the letter, SIIA explains that the proposal would penalize digital platforms based on size rather than conduct, operate as a discriminatory digital services tax primarily affecting U.S. companies, and risk chilling foreign investment in Australia. SIIA further contends that the Incentive likely violates Australia's obligations under the U.S.-Australia Free Trade Agreement and urges the Treasury to abandon the proposal.