Shailesh Prakash, an executive at Google News, has resigned from his position amidst growing tensions with publishers who claim that the company is taking away crucial advertising revenue. Prakash, who served as a vice president and general manager for Google News, is no longer with the company, according to reports from the Wall Street Journal and the New York Post.
The exact reasons behind Prakash’s resignation remain unclear, as Google declined to comment on the matter. Prakash, who joined Google in November 2022 after working at the Washington Post for 11 years, has extensive experience in the news industry. During his time at the Washington Post, he played a key role in the newspaper’s transition to digital content and the development of an in-house advertising technology business.
Prakash’s departure comes at a time when Google is facing criticism for its business practices, particularly in relation to news publishers. The introduction of features like “AI Overviews,” which provide auto-generated summaries at the top of search results, has sparked backlash from publishers who claim that it diminishes their site traffic and ad revenue.
In India, where publishers rely heavily on Google for website traffic, concerns about the tech giant’s control over ad revenue distribution have been raised by industry bodies like the Digital News Publishers Association and the News Broadcasters & Digital Association. With approximately 55% of news website traffic in India coming through Google, publishers are worried about the impact of “zero-click searches,” where users find all the information they need on the search results page without clicking through to publishers’ websites.
In response to complaints from publishing associations, the Competition Commission of India launched an investigation into Google’s dominance over digital advertising and its revenue practices. The outcome of this investigation could have far-reaching implications for Google’s relationship with publishers and the distribution of advertising revenue in the digital news industry.
Overall, Prakash’s resignation highlights the ongoing challenges and tensions between tech giants like Google and news publishers, as they navigate issues related to revenue sharing, content usage, and market dominance. The outcome of investigations like the one by the Competition Commission of India will be closely watched to determine the future of this complex relationship.