News Corp's CEO, Robert Thomson, has revealed a unique perspective on the company's role in the AI landscape, stating that News Corp is essentially an 'input company' after securing a US$150 million deal with Meta. This deal, worth up to US$50 million annually, allows Meta to utilize News Corp's reliable breaking news and information from publications like the Australian, the Times of London, and Dow Jones to train its artificial intelligence products. The agreement, which will last at least three years, covers US and UK content, including the Journal and the New York Post, but excludes the Australian mastheads like the Daily Telegraph and the Herald Sun.
In a confident presentation, Thomson emphasized the value of News Corp's content as an 'input' for AI, comparing it to essential components in the AI ecosystem. He highlighted breaking news and unique real estate information as key assets. Despite concerns about the impact of AI on traditional journalism, Thomson believes the opportunities outweigh the risks, adopting a 'woo or sue' strategy. This approach involves welcoming AI deals while taking legal action if AI companies use News Corp's content illegally.
Thomson's relationship with prominent figures in the AI industry, including Sam Altman (OpenAI) and Mark Zuckerberg (Meta), further underscores his commitment to leveraging AI for News Corp's growth. However, News Corp's stance on social media platforms in Australia has been more confrontational, with executive chair Michael Miller advocating for a united media front against free content requests from these platforms and AI companies. The company has also embraced AI in its journalism, introducing the 'NewsGPT' tool, despite some journalists' concerns.
The news media industry's relationship with AI is complex. While some publications, like the New York Times, have sued AI companies over content usage, News Corp's approach is more collaborative. The company's deal with Meta and its internal AI initiatives demonstrate a willingness to adapt to the evolving media landscape, even as it navigates the challenges and opportunities presented by artificial intelligence.
