Why AI startups are selling the same equity at two different prices

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Meta signs a multimillion dollar AI licensing deal with News Corp

Meta has signed an AI licensing deal with News Corp that will allow the Meta AI maker to use content from The Wall Street Journal and other brands in its chatbot responses and for training of its AI models. News Corp confirmed to Engadget that it had struck a deal with Meta, but didn't provide specifics on the terms of the arrangement. According to The Wall Street Journal, Meta will pay News Corp. "up to $50 million a year" for a three-year deal that covers content from The Journal, as well as the media giant's other brands in the US and UK. 

News Corp previously struck a five-year deal with OpenAI that was valued at around $250 million. During a recent appearance at Morgan Stanley's annual Technology, Media & Telecom (TMT) conference, News Corp CEO Robert Thomson hinted that the media company was in the "advanced stage with other negotiations."

He described the company's overall approach to such arrangements as "a woo and a sue" strategy, depending on whether companies want to pay for content or scrape it without permission. "We have what you might call a woo and a sue strategy," he said. "We'll woo you. We'd like you to be our partner. But if you're stealing our stuff, we are going to sue you. So there'll be a discount for those who hand themselves in, and there'll be a penalty for those that resist."

A spokesperson for Meta confirmed that the two companies had reached an agreement . The company, which has been reorganizing its AI teams as it looks to create its next model, has struck a number of licensing deals in recent months. It previously signed multi-year agreements with USA Today, People, CNN, Fox News and other outlets. The company said at the time that “by integrating more and different types of news sources, our aim is to improve Meta AI’s ability to deliver timely and relevant content and information with a wide variety of viewpoints and content types.”

Update, March 3, 2026, 4:18PM PT: This story was updated with additional information from a Meta spokesperson.

This article originally appeared on Engadget at https://www.engadget.com/ai/meta-signs-a-multimillion-dollar-ai-licensing-deal-with-news-corp-234157902.html?src=rss

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