The South African Competition Commission has recommended a fine of R500 million for Google due to its dominance impacting local publishers negatively.
The potential penalty raises questions about whether it will be effective in promoting fair competition or if tech giants will find ways to circumvent regulations.
The decline in traditional media's advertising revenue due to the shift to digital consumption has been a significant challenge.
The inquiry highlights that there is evidence of bias in Google's algorithm, disadvantaging South African media in favor of foreign media.
Traditional media needs to address structural issues, but the focus of the inquiry is on the impact of platforms on competition within the market.
The provisional report suggests Google should contribute to a fund, but the broader focus is on structural changes in platform news profiling.
Google's participation in the inquiry and the possibility of challenging the findings are noted, with a digital levy being an option if recommended remedies are not implemented.
The aim of the recommendations is to benefit a range of media outlets, from large houses to small rural startups, to promote media plurality.