Benzinga | Jun 1, 2021 07:57AM EDT

Nine Entertainment Establishes News Content Supply Deal with Google, Facebook

* Australia's Nine Entertainment Co. Holdings Ltd (OTC:NNMTF) entered into multi-year content-supply deals with Alphabet Inc's Google (NASDAQ:GOOG) (NASDAQ:GOOGL) and Facebook Inc (NASDAQ:FB) for the Australian Financial Review, Sydney Morning Herald newspapers, and the Nine free-to-air channel to provide articles and clips for Google's News Showcase platform for five years, and to a similar Facebook product for three years, Reuters reports.

* The deal could be worth A$200 million annually, the Financial Times reported.

* Nine's rivals Seven West Media Ltd (OTC:WANHY) and News Corp (NASDAQ:NWSA), have inked similar deals in recent months.

* Facebook planned to invest $1 billion globally over three years to support journalism.

* Google launched the News Showcase platform following Australia's new content law that mandated the social media companies to pay for the use of the country's content.

* Price action: FB shares traded higher by 0.33% at $329.8 in the premarket session on the last check Tuesday.