{"id":6553,"date":"2012-11-01T17:13:38","date_gmt":"2012-11-01T16:13:38","guid":{"rendered":"https:\/\/www.rudebaguette.com\/?p=6553"},"modified":"2019-05-03T14:34:04","modified_gmt":"2019-05-03T12:34:04","slug":"9-little-known-facts-about-the-france-vs-google-dispute","status":"publish","type":"post","link":"https:\/\/www.rudebaguette.com\/en\/2012\/11\/9-little-known-facts-about-the-france-vs-google-dispute\/","title":{"rendered":"10 Little-Known Facts about the France vs. Google dispute"},"content":{"rendered":"<p><img fetchpriority=\"high\" decoding=\"async\" class=\"wp-image-6569 alignright\" title=\"We automatically control statistics about the visitors to your website\" src=\"https:\/\/www.rudebaguette.com\/wp-content\/uploads\/2012\/11\/4397366091_64a5bdcf5c_o-e1351785977145.jpg\" alt=\"We automatically control statistics about the visitors to your website\" width=\"221\" height=\"298\" \/><br \/>\n<strong>1. France vs. <a href=\"https:\/\/www.rudebaguette.com\/tag\/Google\/\">Google<\/a> is a User Custody Battle<\/strong><br \/>\nOnline news consumption is more about user behavior than about media content. What fails to connect the user with content has more to do with an underdeveloped system in place to synthesize modern media curation. The tendency of online newsprint is to maintain the status quo, relying on outdated print business models and playing with subscription fees. Flagellating the user with advertisements and \u2018free\u2019 online media sites creates a user that isn\u2019t willing to pay for what he\/she uses and not necessarily use what he\/she would most likely prefer. Nielsen conducted an international study in 2010 that revealed a shocking <a href=\"https:\/\/online.journalism.utexas.edu\/2012\/papers\/chyiandlee.pdf\" target=\"_blank\" rel=\"noopener\">80%<\/a> of global consumers who are unwilling to use fee-based news sites. Findings from audience behavior research predicts that users alongside social media tools drive content and paying intent. Media sites should focus on the User not Google. Likewise, marathon experience tells you to \u2018focus on the finish\u2019 not the other runners.<\/p>\n<h1><strong>2.\u00a0<a href=\"http:\/\/www.latribune.fr\/technos-medias\/20121026trib000727376\/lex-google-eric-schmidt-sera-a-paris-lundi.html\" target=\"_blank\" rel=\"noopener\">Lex Google <\/a>is the German vs. Google bill<\/strong><\/h1>\n<p>Lex Google targets Google News for alleged abuses of editorial content distribution. France\u2019s grievances begin with the search engine itself, which claims <a href=\"http:\/\/www.lefigaro.fr\/medias\/2012\/09\/10\/20004-20120910ARTFIG00717-la-presse-veut-faire-payer-les-moteurs-de-recherche.php\" target=\"_blank\" rel=\"noopener\">93.5%<\/a> of the French market share in internet searches. The French policy is ambitious in that it will debut in early 2013, and largely penalize Google via taxation. French publishers demand a link-compensation model while still relying on the lucrative and reliable search engine. In their dreams.<\/p>\n<h1><strong>3. Google Ireland is officially located in Bermuda<\/strong><\/h1>\n<p>The tax on Google\u2019s revenue in Europe is declared in Ireland, routed to Holland, then to Bermuda, where the money is safely protected from corporate taxes. Under EU Law this is completely <a href=\"http:\/\/www.businessweek.com\/magazine\/content\/10_44\/b4201043146825.htm\" target=\"_blank\" rel=\"noopener\">legal<\/a>&#8212; profits made in one country can be taxed under another if the company has a subsidiary elsewhere. EU tax system promotes a unified market among the <a href=\"http:\/\/www.forbes.com\/sites\/timworstall\/2012\/10\/31\/apparently-france-will-tax-google-e1-billion-not-a-chance-m-hollande\/\" target=\"_blank\" rel=\"noopener\">27 countries<\/a> so that paying the corporation tax is seamlessly done in the location of registration.<\/p>\n<h1><strong>4. Google only owes <a href=\"http:\/\/www.theregister.co.uk\/2012\/10\/31\/google_france_tax_office_billion_euros\/\" target=\"_blank\" rel=\"noopener\">\u20ac100 million for VAT<\/a> and corporate income taxes<\/strong><\/h1>\n<p>However, according to political pundits from Le Canard Enchain\u00e9, the Head Tax Officer estimates 1 billion euros. Google denies having received any notification of tax assessment but has officially stated that they will continue to cooperate with tax authorities.<\/p>\n<h1><strong>5. Annual French advertising is <a href=\"http:\/\/www.nytimes.com\/2012\/10\/31\/technology\/european-newspapers-seeking-a-piece-of-google-ad-revenue.html?pagewanted=all&amp;_r=4&amp;\" target=\"_blank\" rel=\"noopener\">\u20ac150 million<\/a>\u00a0vs. <a href=\"http:\/\/www.nytimes.com\/2012\/10\/31\/technology\/european-newspapers-seeking-a-piece-of-google-ad-revenue.html?pagewanted=all&amp;_r=4&amp;\" target=\"_blank\" rel=\"noopener\">\u20ac1.5 billion <\/a>for Google<\/strong><\/h1>\n<p>France doesn\u2019t seem to enjoy a healthy high-stakes business competition. Google is not so much scary but competitive to the French. TF1, the largest domestic TV network is currently the leading advertising-based medium in France.<\/p>\n<h1><strong>6. Google made SERIOUS threats<\/strong><\/h1>\n<p><img decoding=\"async\" class=\"alignright size-thumbnail wp-image-6570\" title=\"French media Google Threats\" src=\"https:\/\/www.rudebaguette.com\/wp-content\/uploads\/2012\/11\/9f49262dddda7c8632b4ab3ee1223658d7ecc597_m-200x150.jpg\" alt=\"French media Google Threats\" width=\"200\" height=\"150\" \/>This is not LOL funny. Free flow of information is not merely a characteristic of the internet but at its very core. I\u2019d like to think of the internet as an unchartered globe. We\u2019ve discovered tiny islands, and rapidly, the shoreline of massive continents. Before a legislator or politician decides to \u2018regulate\u2019 a virtual globe, they should bear in mind what practices hinder or help discovery, that is&#8211; opportunity to launch expensive and life-endangering ventures. Currently 30%-40% of online French media traffic originates from links from Google. If Google decides to ban French media sites, would that hinder or help France in its digital journalistic voyage?<\/p>\n<h1><strong>7. In under <a href=\"http:\/\/www.ecrans.fr\/Google-Hollande-cuisine-Schmidt,15446.html\" target=\"_blank\" rel=\"noopener\">40 Minutes<\/a>, France increased Asia&#8217;s attractiveness for Tech<\/strong><\/h1>\n<p>On January 9, 2012, Eric Schmidt, the former CEO of Google who made a recent visit with Hollande this past Monday tweeted a <a title=\"Mixed messages In French Innovation Ad in NYTimes\" href=\"https:\/\/www.rudebaguette.com\/2012\/10\/24\/mixed-messages-in-french-innovation-ad-in-nytimes\/\">New York Times<\/a> article on China\u2019s humble roots in technology. Patrick McGovern, the founder of the International Data Group, and investor of one of China\u2019s most successful internet companies quipped, \u201cWhen I went to China for the first time in 1978, I saw workers stringing together computer memories with sewing needles&#8230;there is another kind of innovation that results in constant improvement that we are not good at \u2014 and they are. Now innovation is accelerating, and in the future, patents on smartphones and tablets will be originated by the Chinese people.\u201d If the best that can come out of the meeting with Eric Schmidt is billion dollar tax bargaining scheme, France is doomed for failure in tech relations.<\/p>\n<h1><strong>8. French Presidents are allergic to Google<\/strong><\/h1>\n<p><a href=\"http:\/\/www.lemonde.fr\/technologies\/article\/2012\/10\/30\/le-fisc-francais-pourrait-reclamer-un-milliard-d-euros-a-google_1783397_651865.html\" target=\"_blank\" rel=\"noopener\">Sarkozy<\/a> wanted Google to pay more taxes, too. Nicolas Sarkozy, now enjoying a retreat from the political spotlight, drafted unfruitful plans on a taxation project for Google. Jacques Chirac launched a \u201cQuaero\u201d internet search engine that could compete with the US. Do you use Quaero?<\/p>\n<h1><strong>9. The French bill is about fairness<\/strong><\/h1>\n<p><img decoding=\"async\" class=\"alignright size-thumbnail wp-image-6571\" title=\"The French bill is about Fairness\" src=\"https:\/\/www.rudebaguette.com\/wp-content\/uploads\/2012\/11\/tumblr_lvloolUn0c1qa3t46o1_500-200x150.jpg\" alt=\"The French bill is about Fairness\" width=\"200\" height=\"150\" \/>Minister of Digital Commerce, <a href=\"https:\/\/www.rudebaguette.com\/tag\/Fleur-Pellerin\/\">Fleur Pellerin<\/a>, Prime Minister Jean-Marc Ayrault, Minister of Culture and Communication, Aur\u00e9lie Flippetti, are currently drafting a bill to work alongside the press and search engines that will reach fair and negotiable remuneration indices for online content. However in achieving fairness is this just another means of administering internet justice?\u00a0Echoing the words of Carlos Castilho, a <a href=\"http:\/\/www2.macleans.ca\/2012\/11\/01\/europe-vs-google-threats-hover-over-meeting\/\" target=\"_blank\" rel=\"noopener\">Brazilian media pundit<\/a> of Observatorio da Imprensa, \u201cnews is everywhere today and to surround it with walls of copyrights is like trying to dry ice.\u201d<\/p>\n<h1><strong>10.\u00a0We don\u2019t have internet IP law enforcement, yet<\/strong><\/h1>\n<p>According to Business Insider, the Drudge Report is currently \u201cone of the most successful and profitable digital media businesses on the planet.\u201d The New York times, a credible news source that has a monthly subscription business model and thousands of staff and the Drudge report which runs on a modest-sized staff and an aggressive advertising business model, both accumulate between <a href=\"http:\/\/www.businessinsider.com\/drudge-report-is-worth-2012-10\" target=\"_blank\" rel=\"noopener\">14-17 million<\/a> views per month. The Drudge report, similar to Google News, finds headlines, manipulates titles and organizes content. The success of the model is based on a symbiotic relationship between the digital media businesses that provide the content who then reap hundreds of thousands of viewers from Drudge&#8217;s effort to promote news stories. The current trend of Upworthy, Gawker, and other blogs is not to create media content but to curate it. Thus the France vs. Google debate unearths a pressing issue of digital journalism standards of advertising and intellectual property rights.<br \/>\nCredit:<br \/>\nChyi, H. I. &amp; Lee, A. M. (2012). Theorizing online news consumption: A structural model<br \/>\nlinking preference, use, and paying Intent. Paper presented at the 13th International Symposium on Online Journalism, Austin, TX, April 20-21, 2012.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>1. France vs. Google is a User Custody Battle Online news consumption is more about user behavior than about media content. What fails to connect the user with content has more to do with an underdeveloped system in place to synthesize modern media curation. The tendency of online newsprint is to maintain the status quo,<\/p>\n","protected":false},"author":77,"featured_media":64784,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"subtitle":"","footnotes":""},"categories":[1962],"tags":[7876],"class_list":["post-6553","post","type-post","status-publish","format-standard","has-post-thumbnail","category-leisure","tag-fleur-pellerin-en-2"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.rudebaguette.com\/en\/wp-json\/wp\/v2\/posts\/6553","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.rudebaguette.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.rudebaguette.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.rudebaguette.com\/en\/wp-json\/wp\/v2\/users\/77"}],"replies":[{"embeddable":true,"href":"https:\/\/www.rudebaguette.com\/en\/wp-json\/wp\/v2\/comments?post=6553"}],"version-history":[{"count":0,"href":"https:\/\/www.rudebaguette.com\/en\/wp-json\/wp\/v2\/posts\/6553\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.rudebaguette.com\/en\/wp-json\/wp\/v2\/media\/64784"}],"wp:attachment":[{"href":"https:\/\/www.rudebaguette.com\/en\/wp-json\/wp\/v2\/media?parent=6553"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.rudebaguette.com\/en\/wp-json\/wp\/v2\/categories?post=6553"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.rudebaguette.com\/en\/wp-json\/wp\/v2\/tags?post=6553"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}