Generative AI tools like ChatGPT are significantly impacting traditional news media by reducing traffic and revenue, prompting publishers to adopt new strategies like GEO and licensing agreements, while raising concerns about content access, legal battles, and the future of journalism in an AI-driven web.
Google's AI Overviews feature has significantly increased 'zero click' searches, leading to a sharp decline in traffic to news websites, with organic visits dropping from over 2.3 billion to under 1.7 billion in a year, and many publishers experiencing substantial traffic losses, despite Google's claims of new opportunities for content discovery.
Referrals from ChatGPT to news sites are increasing significantly, but not enough to offset the decline in organic search traffic caused by users turning to AI for news. While ChatGPT referrals grew 25-fold from 2024 to 2025, overall news site visits have dropped, and publishers are exploring new monetization strategies amid the changing landscape. Some sites like Reuters and NY Post see more AI-driven traffic, whereas others like The New York Times see less, highlighting uneven impacts across publishers.
Google's AI-powered search features, including AI Overviews and chatbots, are significantly reducing traffic to news publishers by providing answers directly, bypassing traditional links, which threatens the revenue streams essential for quality journalism. Despite Google's claims of increased search traffic, publishers like The New York Times and others are experiencing a decline in organic search referrals and are seeking new revenue models and partnerships to adapt to this shift.
Google is removing links to California news websites in response to proposed state legislation that would require tech companies to pay news outlets for their content. The California Journalism Preservation Act, introduced in March 2023, aims to address concerns about tech giants profiting from news aggregation without adequately compensating publishers. Google's move has sparked criticism from lawmakers and news organizations, with some calling it an abuse of power and a threat to public safety. The company has previously pushed back against similar laws in Canada and Australia, citing concerns about business uncertainty and financial exposure.
Google is protesting a California bill that would require it and other platforms to pay media outlets for linking to their content, by beginning a "short-term test" that will block links to local California news sources for a "small percentage" of users in the state. The move is in response to the California Journalism Preservation Act, which Google claims amounts to a "link tax." The company is also halting new spending on California newsrooms and threatening to limit the services it offers in the state. This comes as tech companies like Meta have also used similar tactics in response to laws aiming to force them to pay for journalism.
Google has been fined €250m by French regulators for breaching an agreement over paying media companies for reproducing their content online. The fine is related to breaches of intellectual property rules and concerns about Google's AI service. The competition authority accused Google of not negotiating in good faith with news publishers and training its AI chatbot on content from publishers and news agencies without notifying them. Google has settled the case and agreed to changes in how it negotiates with publishers, but stated that the fine is not proportionate to the issues raised.
Meta Platforms, owner of Facebook, has announced it will stop paying Australian news publishers for content that appears on its platform, sparking a fresh battle with the Australian government. This move comes in response to a 2021 law that forces internet giants to strike licensing deals with news publishers. The decision has drawn criticism from Australian officials and media outlets, with concerns raised about the impact on journalism quality and the industry. The government is seeking advice on its next steps, including the possibility of appointing a mediator to set Meta's fees and potentially imposing fines if it fails to cooperate.
Google is reportedly paying independent publishers to publish AI-generated articles using an unreleased AI model, as part of the Google News Initiative. The program aims to assist under-resourced publishers in creating aggregated content from data provided by other sources, with a focus on local news. While Google denies that the tools will re-publish other outlets' work, concerns remain about the potential impact on journalism. This initiative follows the introduction of Google's "Genesis" tool, which was designed to generate news copy and assist journalists.
OpenAI has proposed licensing deals to media companies, offering $1 million to $5 million per year for the rights to use their news articles to train its language models. These offers are considered low by industry standards, potentially complicating negotiations. Apple is also pursuing similar deals but with higher financial offers and broader usage rights for content in its AI initiatives.
A class action lawsuit has been filed against Google and parent company Alphabet, accusing them of anticompetitive behavior and violating antitrust laws on behalf of news publishers. The lawsuit claims that Google's AI technologies, such as Search Generative Experience (SGE) and Bard AI chatbot, are harming publishers' bottom line by siphoning off their content, readers, and ad revenue. It also highlights Google's older technologies like the Knowledge Graph and Featured Snippets as contributing to the problem. The suit raises concerns about the impact of AI on publishers' businesses, citing a report that suggests publishers could lose 20-40% of their website traffic when Google's AI products fully roll out. The lawsuit seeks damages and an injunction requiring Google to obtain consent from publishers to use their website data for AI training.
News publishers are concerned about the impact of Google's AI integration on their web traffic. With social media platforms like Facebook and Twitter moving away from news distribution, Google's AI-powered search could worsen the situation as it generates almost 40% of publishers' traffic. A task force at The Atlantic found that integrating AI into search could potentially deprive them of 40% of their web traffic. News publishers are also worried about the use of copyrighted materials by AI model operators and are calling for regulations to negotiate with them regarding the use of their intellectual property.
Google has reached an agreement with Canada to pay $73.6 million annually to news publishers in the country and keep links to news stories in search results. The deal resolves concerns over Canada's Online News Act, which aims to make large internet companies share advertising revenue with news publishers. Google had threatened to block news on its search engine, but the agreement ensures support for journalists and local journalism. Meanwhile, Meta Platforms, the other internet giant targeted by the law, has already blocked news sharing on Facebook and Instagram.
The ongoing antitrust trial against Google raises the possibility of the tech giant facing real competition in search for the first time in decades. Apple, with its dominant position in the smartphone market, could potentially become a significant player by making its own search engine the default option on Safari. This could have a profound impact on the news industry, as Google search is currently the primary source of external traffic to news sites. The emergence of a strong competitor to Google could give news publishers more leverage in their relationship with search engines and potentially lead to new models for platform monetization. Additionally, the rise of artificial intelligence (AI) further complicates the relationship between tech giants and publishers, as negotiations over the use of publisher content in AI training become more prevalent. Overall, the possibility of increased competition in search presents both challenges and opportunities for news publishers.
Google is developing an AI tool for news publishers that can generate article text and headlines, aiming to enhance journalists' work and productivity. The project, referred to as "Genesis," has been pitched to media companies such as The New York Times, The Washington Post, and News Corp. Google clarified that the tool is not intended to replace journalists but to assist them. However, concerns have been raised about the accuracy of AI-generated content.