The Australian government has retracted a contentious bill that would have levied fines of up to 5 percent of global revenue on digital platforms that fail to manage the spread of misinformation effectively. The bill, supported by the Labor government, intended to give the Australian Communications and Media Authority the authority to enforce regulations against harmful content on online platforms.

Communications Minister Michelle Rowland noted that although the bill would have enhanced transparency and accountability for technology companies, there was no evident route to secure its passage in the Senate. The bill faced significant opposition, with critics including Elon Musk, owner of X (formerly known as Twitter), and Shadow Communications Minister David Coleman voicing their dissent. Coleman claimed it would violate free speech, while Musk labeled it as “fascist” in a brief tweet.

In light of the withdrawal, Rowland highlighted the government’s ongoing commitment to strengthening democratic processes and addressing online safety, which includes forthcoming legislation addressing deep fakes, political advertising, and AI regulations.