Nine CEO expects new media levy and AI contracts to spark publishing growth amid cost cuts

Following the passage of revamped media bargaining legislation, Nine Entertainment expects levies on global tech platforms such as Google and Meta to match payments from a 2021 agreement, providing a new revenue stream for its publishing division. CEO Matt Stanton highlighted a growing pipeline of artificial-intelligence collaborations, notably a recent contract that gives Microsoft’s Copilot access to Nine’s content. At the same time, the company is executing a cost-reduction programme that will eliminate more than $160 million over three years, including staff cuts at one outlet and The Age after a prolonged slump in advertising revenue.

The Australian Financial Review, Nine’s business masthead, has been shielded from these cuts and continues to generate strong earnings. Overall, Nine reported flat publishing revenue, a slight dip in its streaming and broadcast units despite a record for Stan, and a net profit of $142 million from continuing operations. Stanton said the firm is focusing on “growth assets” like the newly acquired digital outdoor media firm QMS while shedding “structurally challenged and smaller assets.”