Google and Facebook must heed the warnings of a landmark report, a senior Australian media executive says.
The Australian Competition and Consumer Commission on Friday released its final report on the impact of digital platforms on the Australian media market as well as data privacy concerns.
The report makes 23 recommendations covering privacy, media regulation, competition and consumer protections.
The tech giants will face greater scrutiny of their use of Australians' personal data, while a new watchdog has been recommended to monitor anti-competitive behaviour by the digital platforms.
Other recommended measures are making technology companies report potential mergers to the ACCC.
AAP chairman and News Corp group executive of corporate affairs and policy Campbell Reid said it was clear the government intended to act on the report's findings.
"The commercial viability of companies that are able to monetise their content - either through fair payment for that content or the ability to contact and reach subscribers directly through that content or attach advertising to that content - all of those opportunities have been fundamentally eroded by the behaviour of the platforms," Mr Reid told Sky News on Friday.
"We are encouraged that that problem is clearly called out."
However, he said he was not confident Google and Facebook would come to the table.
"The leadership globally of the tech platforms has to get over what I would describe as their 'deaf ear' to the way the world is re-examining the relationship between us and the tech giants," he said.
"It is absolutely time that they came to the table rather than being forced to the table."
A Google spokeswoman said the company would work with the government.
"The final report examines important topics in relation to Australia's changing media and advertising industry and we have engaged closely with the ACCC throughout the process," the spokeswoman said.
"We will continue to engage with the government on the recommendations put forward in this report."
The journalists' union, MEAA, said the dramatic decline of local, regional and rural media outlets and the cuts in funding to the national public broadcasters should ring an alarm bell for politicians and bolster the case for public funding.
More than 100 local and regional news titles have closed over the decade to 2018, with 20 per cent of print journalism jobs disappearing between 2014 and 2018.
MEAA chief executive Paul Murphy said the ACCC had correctly recognised Google and Facebook should be regulated similarly to other media businesses and pay for the content they have "exploited for free".
"MEAA supports the urgent development of a regulated code of conduct governing digital platforms' commercial relationships with news media businesses."
© AAP 2019