Meta signs multi-year AI deal with News Corp worth up to $50 million a year

Meta has signed a multi-year AI licensing deal with News Corp that will pay the Wall Street Journal's parent company up to $50 million annually. The contract runs at least three years and covers content from the US and UK, reports the Wall Street Journal. Meta can use current content for its AI products and tap article archives for training. News Corp already has a deal with OpenAI worth over $250 million over five years. Meta has also signed agreements with CNN, Fox News, and other outlets.

These deals are a mixed bag for the media industry. They bring in revenue for participating publishers during tough times but risk shrinking media diversity by squeezing out those not at the table. They also give platforms more leverage, letting companies like Meta increasingly set the terms. And because contracts are negotiated one by one, they split the publishing landscape in ways that make it harder for the industry to push for better conditions together.