Meta loses court fight over compensation to Italian publishers


Meta logo, EU flag and Judge gavel are seen in this illustration taken, August 6, 2024. REUTERS/Dado Ruvic/Illustration

LUXEMBOURG, May 12 (Reuters) - Meta Platforms on Tuesday lost ⁠its fight against an Italian regulatory order that ‌it should compensate publishers for using snippets of their news articles after Europe's top court sided with the Italian telecoms watchdog.

The ​case underscores the ongoing copyright battle ⁠between publishers and creators ⁠and tech companies over the use of newspaper articles or ⁠authors' ‌work for AI training that have triggered litigation against companies including Meta, OpenAI and ⁠Anthropic for infringement.

"The Court finds that a right ​to fair ‌compensation for publishers is consistent with EU law, ⁠provided that ​that remuneration constitutes consideration for authorising their publications to be used online," said the Luxembourg-based Court of Justice of ⁠the European Union (CJEU).

The case came before ​the Court after Meta challenged the Italian communications authority AGCOM's power to set the compensation that online platforms should ⁠pay for using press articles.

Meta argued that such national measures are incompatible with rights already granted to publishers under EU copyright legislation. An Italian court subsequently ​sought guidance from the CJEU.

"We will ⁠review the decision in full and engage constructively as ​the matter returns to the ‌Italian courts," said a Meta company ​spokesperson.

The case is C-797/23 Meta Platforms Ireland (Fair compensation).

(Reporting by Foo Yun Chee;Editing by Sudip Kar-Gupta)

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