Assemblymember Buffy Wicks a first-of-its-kind partnership involving the State of California, news publishers, tech companies, and philanthropy to support local journalism and launch a National AI Accelerator. The partnership will provide nearly $250 million in funding over five years, with the majority allocated to newsrooms, especially those in underserved areas.
The News Transformation Fund, administered by the UC Berkeley School of Journalism, will support California-based news organizations, with contributions from tech platforms and the state. The National AI Innovation Accelerator will help various sectors (including journalism) leverage AI. The initiatives aim to sustain local journalism, particularly small and community-facing outlets, and foster innovation in newsrooms. Work on these initiatives is set to begin immediately, with full implementation by 2025.
The deal, which does not require legislation, is facing mixed reactions from journalists who are concerned about the adequacy of funding and the potential impact of AI on journalism jobs. Some say this agreement was made to avoid the enactment of the proposed California Journalism Preservation Act (), which was intended to mandate tech companies to pay news organizations for using their content. Others are okay with the compromise.
At some point, a preferred AI-focused business model will emerge. Until it does, we're going to see a broad range of deals and proposed legislation aimed at compensating creators and publishers for their content.
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ABOUT SHELLY PALMER
Shelly Palmer is the Professor of Advanced Media in Residence at Syracuse University’s S.I. Newhouse School of Public Communications and CEO of The Palmer Group, a consulting practice that helps Fortune 500 companies with technology, media and marketing. Named he covers tech and business for , is a regular commentator on CNN and writes a popular . He's a , and the creator of the popular, free online course, . Follow or visit .
