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Google’s New Deal with California Lawmakers and Publishers Will Fund Newsrooms, Explore AI

Gov. Gavin Newsom, California lawmakers and some newspaper publishers last week finalized a $172 million deal with tech giant Google to support local news outlets and artificial intelligence innovation. This deal, the first of its kind in the nation, aims to invest in local journalism statewide over the next five years. However, the initiative is different from a bill proposed by two legislators, news publishers and media employee unions requiring tech giants Google and Meta to split a percentage of ad revenue generated from news stories with publishers and media outlets.

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By Bo Tefu, California Black Media

Gov. Gavin Newsom, California lawmakers and some newspaper publishers last week finalized a $172 million deal with tech giant Google to support local news outlets and artificial intelligence innovation.

This deal, the first of its kind in the nation, aims to invest in local journalism statewide over the next five years. However, the initiative is different from a bill proposed by two legislators, news publishers and media employee unions requiring tech giants Google and Meta to split a percentage of ad revenue generated from news stories with publishers and media outlets. Under this new deal, Google will commit $55 million over five years into a new fund administered by the University of California, Berkeley to distribute to local newsrooms. In this partnership, the State is expected to provide $70 over five years toward this initiative. Google also has to pay a lump sum of $10 million annually toward existing grant programs that fund local newsrooms.

The State Legislature and the governor will have to approve the state funds each year. Google has agreed to invest an additional $12.5 million each year in an artificial intelligence program. However, labor advocates are concerned about the threat of job losses as a result of AI being used in newsrooms.

Julie Makinen, board chairperson of the California News Publishers Association, acknowledged that the deal is a sign of progress.

“This is a first step toward what we hope will become a comprehensive program to sustain local news in the long term, and we will push to see it grow in future years,” said Makinen.

However, the deal is “not what we had hoped for when set out, but it is a start and it will begin to provide some help to newsrooms across the state,” she said.

Regina Brown Wilson, Executive Director of California Black Media, said the deal is a commendable first step that beats the alternative: litigation, legislation or Google walking from the deal altogether or getting nothing.

“This kind of public-private partnership is unprecedented. California is leading the way by investing in protecting the press and sustaining quality journalism in our state,” said Brown Wilson. “This fund will help news outlets adapt to a changing landscape and provide some relief. This is especially true for ethnic and community media journalists who have strong connections to their communities.”

Although the state partnered with media outlets and publishers to secure the multi-year deal, unions advocating for media workers argued that the news companies and lawmakers were settling for too little.

Sen. Mike McGuire (D-Healdsburg) proposed a bill earlier this year that aimed to hold tech companies accountable for money they made off news articles. But big tech companies pushed back on bills that tried to force them to share profits with media companies.

McGuire continues to back efforts that require tech companies to pay media outlets to help save jobs in the news industry. He argued that this new deal, “lacks sufficient funding for newspapers and local media, and doesn’t fully address the inequities facing the industry.”

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Oakland Post: Week of February 5 – 11, 2025

The printed Weekly Edition of the Oakland Post: Week of February 5 – 11, 2025

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Oakland Post: Week of January 29 – February 4, 2025

The printed Weekly Edition of the Oakland Post: Week of January 29 – February 4, 2025

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Oakland Poll: Tell Us What You Think About the Cost of Groceries in Oakland

Food banks and grocery giveaways are a large part of the resources nonprofits in Oakland prioritize, particularly in areas like East and West Oakland where low-income families of color tend to reside. These neighborhoods are often labeled as “food deserts” or communities that have limited access to affordable and nutritious foods.

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Oakland Poll: Tell Us What You Think About the Cost of Groceries in Oakland
Oakland Poll: Tell Us What You Think About the Cost of Groceries in Oakland

By Magaly Muñoz

In 2023, the average spending on groceries increased by nearly $30 each month from the year before;people are spending over $500 a month to put food on the table.

Through previous reporting by the Post, we’ve learned that families in Oakland are depending more and more on free or low cost groceries from food banks because they can no longer afford the rising costs of food at the store.

Food banks and grocery giveaways are a large part of the resources nonprofits in Oakland prioritize, particularly in areas like East and West Oakland where low-income families of color tend to reside. These neighborhoods are often labeled as “food deserts” or communities that have limited access to affordable and nutritious foods.

We’ve recently spoken to families across these two areas of Oakland and have heard several stories that all point to one problem: food is expensive. Some individuals are spending upwards of $150 a week for themselves or double if they have teens or small children in the family.

We’ve also heard stories of people with chronic illnesses like diabetes and high blood pressure struggling to maintain their diets because they’re having a hard time affording the food that helps them stay healthy.

Do these experiences sound similar to what you or your family are dealing with every month? Are you struggling to afford your basic groceries every week? Do you depend on food banks to help you get by? Are there any chronic illnesses in your household that need to be managed by a special diet?

We want to hear about your experiences and ideas for solutions!

The Oakland Post is investigating food access in Oakland and how residents are surviving as the cost of living continues to increase. Your experiences will help shape our reporting and show local leaders the need to invest in our communities.

In order to get as much feedback as possible, we ask that you click this link to fill out a brief questionnaire or visit tinyurl.com/Oakland-Post-food-survey. You can also scan the QR code above to reach the survey. After you fill it out, please consider sharing the link with your friends and family in Oakland.

If you have questions, please reach out to our Oakland reporter Magaly Muñoz at mmunoz@postnewsgroup or text/call her at (510) 905-5286.

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