AI-generated news should carry “nutrition” labels, and tech companies must compensate publishers for the content they utilize, according to a report from the Institute for Public Policy Research (IPPR). This recommendation comes in light of the increasing prevalence of AI as a source for current affairs, raising concerns about the integrity and sustainability of journalism.
The IPPR emphasizes that AI firms are becoming the new “gatekeepers” of the internet, necessitating intervention to cultivate a robust AI news ecosystem. The report advocates for standardized labels on AI-generated news that indicate the sources of information, including peer-reviewed studies and articles from reputable news organizations. It also suggests establishing a licensing regime in the UK that would empower publishers to negotiate with tech giants regarding the use of their content in AI news.
“If AI companies are going to profit from journalism and shape what the public sees, they must be required to pay fairly for the news they use and operate under clear rules that protect plurality, trust, and the long-term future of independent journalism,” said Roa Powell, senior research fellow at IPPR and co-author of the report.
The IPPR has proposed that the UK’s competition regulator should initiate discussions on licensing, leveraging its new enforcement powers over Google. Recently, the Competition and Markets Authority suggested granting web publishers and news organizations the authority to prevent Google from scraping their content for its AI overviews. This collective licensing approach would help ensure a diverse range of publishers are included.
According to the Reuters Institute for the Study of Journalism, Google’s AI overviews currently reach around 2 billion users monthly, with approximately 25% of individuals utilizing AI for information retrieval. The IPPR argues that maintaining copyright law is essential to foster a thriving licensing market, while also urging the government to support innovative business models for news that do not rely solely on the tech sector, including bolstering the BBC and local news outlets.
“With the right policies in place, the government can shape this market so that UK news organizations transition their business models for the AI age, and AI companies enhance the reliability of their products by utilizing trusted sources,” the report stated.
In assessing the impact of AI on journalism, the IPPR tested four AI tools—ChatGPT, Google AI overviews, Google Gemini, and Perplexity—by inputting 100 news-related queries and analyzing over 2,500 links generated by the AI responses. Notably, both ChatGPT and Gemini failed to cite journalism from the BBC, which has restricted the bots used to compile answers, while Google’s overviews and Perplexity included BBC content despite the broadcaster’s objections.
The report highlighted that notable outlets like the Telegraph, GB News, The Sun, and the Daily Mail were referenced in fewer than 4% of responses on ChatGPT. In contrast, the Guardian, which has a licensing agreement with OpenAI, served as a source in nearly 60% of responses. The Financial Times, another publication with a licensing agreement, also featured prominently, while the Guardian was the most common source in responses from Gemini, appearing in half of all answers.
Moreover, Google’s deployment of AI summaries atop search results has adversely affected click-through rates for publishers, consequently impacting their revenue as users often consume the overview without proceeding to the original articles.
The IPPR points to critical questions surrounding the influence of financial relationships between AI companies and news providers on the information presented. “If licensed publications appear more prominently in AI answers, there is a risk of sidelining smaller and local news providers, who are less likely to secure AI deals,” the report cautioned.
While the think tank acknowledged that licensing agreements could partially offset lost advertising revenues, they asserted that such measures would not sustain a healthy news environment. It warned that dependence on tech giants for revenue could jeopardize news organizations, especially if copyright protections were to weaken.
To safeguard the future of investigative and local journalism threatened by the rise of AI-generated news, the IPPR is advocating for public funding to encourage new business models and for the BBC to innovate with AI technologies.
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