NZ Herald
  • Home
  • Latest news
  • Herald NOW
  • Video
  • New Zealand
  • Sport
  • World
  • Business
  • Entertainment
  • Podcasts
  • Quizzes
  • Opinion
  • Lifestyle
  • Travel
  • Viva
  • Weather

Subscriptions

  • Herald Premium
  • Viva Premium
  • The Listener
  • BusinessDesk

Sections

  • Latest news
  • New Zealand
    • All New Zealand
    • Crime
    • Politics
    • Education
    • Open Justice
    • Scam Update
  • Herald NOW
  • On The Up
  • World
    • All World
    • Australia
    • Asia
    • UK
    • United States
    • Middle East
    • Europe
    • Pacific
  • Business
    • All Business
    • MarketsSharesCurrencyCommoditiesStock TakesCrypto
    • Markets with Madison
    • Media Insider
    • Business analysis
    • Personal financeKiwiSaverInterest ratesTaxInvestment
    • EconomyInflationGDPOfficial cash rateEmployment
    • Small business
    • Business reportsMood of the BoardroomProject AucklandSustainable business and financeCapital markets reportAgribusiness reportInfrastructure reportDynamic business
    • Deloitte Top 200 Awards
    • CompaniesAged CareAgribusinessAirlinesBanking and financeConstructionEnergyFreight and logisticsHealthcareManufacturingMedia and MarketingRetailTelecommunicationsTourism
  • Opinion
    • All Opinion
    • Analysis
    • Editorials
    • Business analysis
    • Premium opinion
    • Letters to the editor
  • Politics
  • Sport
    • All Sport
    • OlympicsParalympics
    • RugbySuper RugbyNPCAll BlacksBlack FernsRugby sevensSchool rugby
    • CricketBlack CapsWhite Ferns
    • Racing
    • NetballSilver Ferns
    • LeagueWarriorsNRL
    • FootballWellington PhoenixAuckland FCAll WhitesFootball FernsEnglish Premier League
    • GolfNZ Open
    • MotorsportFormula 1
    • Boxing
    • UFC
    • BasketballNBABreakersTall BlacksTall Ferns
    • Tennis
    • Cycling
    • Athletics
    • SailingAmerica's CupSailGP
    • Rowing
  • Lifestyle
    • All Lifestyle
    • Viva - Food, fashion & beauty
    • Society Insider
    • Royals
    • Sex & relationships
    • Food & drinkRecipesRecipe collectionsRestaurant reviewsRestaurant bookings
    • Health & wellbeing
    • Fashion & beauty
    • Pets & animals
    • The Selection - Shop the trendsShop fashionShop beautyShop entertainmentShop giftsShop home & living
    • Milford's Investing Place
  • Entertainment
    • All Entertainment
    • TV
    • MoviesMovie reviews
    • MusicMusic reviews
    • BooksBook reviews
    • Culture
    • ReviewsBook reviewsMovie reviewsMusic reviewsRestaurant reviews
  • Travel
    • All Travel
    • News
    • New ZealandNorthlandAucklandWellingtonCanterburyOtago / QueenstownNelson-TasmanBest NZ beaches
    • International travelAustraliaPacific IslandsEuropeUKUSAAfricaAsia
    • Rail holidays
    • Cruise holidays
    • Ski holidays
    • Luxury travel
    • Adventure travel
  • Kāhu Māori news
  • Environment
    • All Environment
    • Our Green Future
  • Talanoa Pacific news
  • Property
    • All Property
    • Property Insider
    • Interest rates tracker
    • Residential property listings
    • Commercial property listings
  • Health
  • Technology
    • All Technology
    • AI
    • Social media
  • Rural
    • All Rural
    • Dairy farming
    • Sheep & beef farming
    • Horticulture
    • Animal health
    • Rural business
    • Rural life
    • Rural technology
    • Opinion
    • Audio & podcasts
  • Weather forecasts
    • All Weather forecasts
    • Kaitaia
    • Whangārei
    • Dargaville
    • Auckland
    • Thames
    • Tauranga
    • Hamilton
    • Whakatāne
    • Rotorua
    • Tokoroa
    • Te Kuiti
    • Taumaranui
    • Taupō
    • Gisborne
    • New Plymouth
    • Napier
    • Hastings
    • Dannevirke
    • Whanganui
    • Palmerston North
    • Levin
    • Paraparaumu
    • Masterton
    • Wellington
    • Motueka
    • Nelson
    • Blenheim
    • Westport
    • Reefton
    • Kaikōura
    • Greymouth
    • Hokitika
    • Christchurch
    • Ashburton
    • Timaru
    • Wānaka
    • Oamaru
    • Queenstown
    • Dunedin
    • Gore
    • Invercargill
  • Meet the journalists
  • Promotions & competitions
  • OneRoof property listings
  • Driven car news

Puzzles & Quizzes

  • Puzzles
    • All Puzzles
    • Sudoku
    • Code Cracker
    • Crosswords
    • Cryptic crossword
    • Wordsearch
  • Quizzes
    • All Quizzes
    • Morning quiz
    • Afternoon quiz
    • Sports quiz

Regions

  • Northland
    • All Northland
    • Far North
    • Kaitaia
    • Kerikeri
    • Kaikohe
    • Bay of Islands
    • Whangarei
    • Dargaville
    • Kaipara
    • Mangawhai
  • Auckland
  • Waikato
    • All Waikato
    • Hamilton
    • Coromandel & Hauraki
    • Matamata & Piako
    • Cambridge
    • Te Awamutu
    • Tokoroa & South Waikato
    • Taupō & Tūrangi
  • Bay of Plenty
    • All Bay of Plenty
    • Katikati
    • Tauranga
    • Mount Maunganui
    • Pāpāmoa
    • Te Puke
    • Whakatāne
  • Rotorua
  • Hawke's Bay
    • All Hawke's Bay
    • Napier
    • Hastings
    • Havelock North
    • Central Hawke's Bay
    • Wairoa
  • Taranaki
    • All Taranaki
    • Stratford
    • New Plymouth
    • Hāwera
  • Manawatū - Whanganui
    • All Manawatū - Whanganui
    • Whanganui
    • Palmerston North
    • Manawatū
    • Tararua
    • Horowhenua
  • Wellington
    • All Wellington
    • Kapiti
    • Wairarapa
    • Upper Hutt
    • Lower Hutt
  • Nelson & Tasman
    • All Nelson & Tasman
    • Motueka
    • Nelson
    • Tasman
  • Marlborough
  • West Coast
  • Canterbury
    • All Canterbury
    • Kaikōura
    • Christchurch
    • Ashburton
    • Timaru
  • Otago
    • All Otago
    • Oamaru
    • Dunedin
    • Balclutha
    • Alexandra
    • Queenstown
    • Wanaka
  • Southland
    • All Southland
    • Invercargill
    • Gore
    • Stewart Island
  • Gisborne

Media

  • Video
    • All Video
    • NZ news video
    • Herald NOW
    • Business news video
    • Politics news video
    • Sport video
    • World news video
    • Lifestyle video
    • Entertainment video
    • Travel video
    • Markets with Madison
    • Kea Kids news
  • Podcasts
    • All Podcasts
    • The Front Page
    • On the Tiles
    • Ask me Anything
    • The Little Things
  • Cartoons
  • Photo galleries
  • Today's Paper - E-editions
  • Photo sales
  • Classifieds

NZME Network

  • Advertise with NZME
  • OneRoof
  • Driven Car Guide
  • BusinessDesk
  • Newstalk ZB
  • Sunlive
  • ZM
  • The Hits
  • Coast
  • Radio Hauraki
  • The Alternative Commentary Collective
  • Gold
  • Flava
  • iHeart Radio
  • Hokonui
  • Radio Wanaka
  • iHeartCountry New Zealand
  • Restaurant Hub
  • NZME Events

SubscribeSign In

Advertisement
Advertise with NZME.
Home / Business / Companies / Media and marketing

Fake news is all about false incentives

By Leonid Bershidsky
Bloomberg·
16 Nov, 2016 08:20 PM6 mins to read

Subscribe to listen

Access to Herald Premium articles require a Premium subscription. Subscribe now to listen.
Already a subscriber?  Sign in here

Listening to articles is free for open-access content—explore other articles or learn more about text-to-speech.
‌
Save

    Share this article

Substantive news is on the brink of extinction, and it's not all the social networks' fault. Photo / Getty

Substantive news is on the brink of extinction, and it's not all the social networks' fault. Photo / Getty

Opinion

In the blame games following the US election, the social networks, especially Facebook, are getting a hard time for allegedly aiding the spread of fake news.

The New York Times, Vox, Inc. and many lesser-known websites have all run stories taking issue with Facebook founder Mark Zuckerberg's rejection of the idea that fake stories circulating on social networks affected the election's outcome.

The issue is far more complicated, though.

It's possible that technology has hit the natural limit of what it can meaningfully do to news and that the news industry has reached the boundaries of possible synergy with tech. At the same time, the audience's trust in what they collectively, and incorrectly, describe as "the media" has hit a low point.

All three interconnected problems can be fixed, but that would require some old-fashioned inputs such as journalistic skill, along with editorial and entrepreneurial courage.

Advertisement
Advertise with NZME.
Advertisement
Advertise with NZME.

Fake news doesn't spread because of Facebook's algorithmic attempts to deliver to the user what the company thinks he or she wants to see.

It spreads because of a fundamental disconnect between the definitions of "engagement" in the advertising industry and the newsrooms. To Facebook and Twitter, engagement is likes and shares.

They sell such interactions to advertisers, and they prioritise posts with high engagement on newsfeeds. To a journalist, it's how many people have read or watched the full story and intellectually engaged with it.

An engaged reader is someone who, after reading this column, will respond intelligently in the comment section or send me an email with her thoughts.

The trouble is that people who "like" and share content often don't read it -- beyond the headline, that is. According to a recent study by Maksym Gabielkov and collaborators, 59 per cent of links circulated on Twitter are never clicked.

Discover more

New Zealand

Racing car test track 'ruined by quake'

16 Nov 05:44 AM
Employment

Govt to announce relief for Kaikoura

16 Nov 05:23 PM
Business

CentrePort partly reopened for business

16 Nov 05:10 PM
New Zealand|politics

Brownlee's $20b defence spending plan

16 Nov 06:44 AM

NPR ran a brilliant experiment on Facebook in 2014 proving that people will often comment after reading the headline and nothing else.

A recent survey of millennials revealed that one in five of them only ever read headlines (and I suspect the other four weren't quite frank with the researchers).

Advertisement
Advertise with NZME.

Facebook, Google, Twitter and the Macedonian hustlers who produced fake pro-Trump stories (headlines, really -- it doesn't matter what's in the body of the article) in bulk to get traffic and make a few dollars through Google AdSense -- all want to keep things as they are. They don't care whether people read what they share and repost because that's not how their incentives work.

Editors, by contrast, hate this setup. Instead of employing thorough, accurate reporters and well-informed columnists, they might as well outsource most of the work to robots and concentrate on writing catchy headlines. That would kill off the journalistic profession and leave the public woefully uninformed.

If publications certain of the quality of their information were more resolute in placing all their content behind paywalls... they would end up with less money and smaller audiences.

Because of the commercial symbiosis between editorial operations and tech platforms, there are all sorts of uneasy compromises.

Editors write sensationalist headlines that don't always match the stories beneath them, and they develop social media strategies to spread these headlines as widely as they can -- knowing full well that even a majority of those who interact with the posts won't read the linked stories.

Tech companies pretend they want to police the fakes -- and in the process, they perfect their capability to block content based on certain words. Twitter's recent to let users block "abuse" by filtering feeds for certain words falls in the same category.

Getting serious about fake detection requires human input: Essentially, as Victoria Rubin and collaborators specified in a 2015 paper, it would require building a data set of various types of fake news to train natural language processing systems. Even if an "automatic crap detector" is ever built, I wouldn't trust it.

Advertisement
Advertise with NZME.

Journalists, who are professional fact-gatherers and fact-checkers, may disagree about a set of facts. But at least they can argue it out; artificial intelligence is a black box, and if it is allowed to make decisions about which news is fake and which is "real," there will be no way to verify these decisions without some complex reverse-engineering.

In any case, fact-checking has been weapon zed and discredited during the UK referendum campaign and the US election: The efforts to analyse the arguments have been defiantly partisan. Besides, what was supposed to be fact-based reporting left most people unprepared for election-day shocks.

Perhaps the increasingly profitable tech giants will want to show some civic responsibility by rethinking their business model in relation to news.

The essentially economic conflict around the meaning of engagement is destroying the news industry's value proposition. It is no longer a trusted source of information. This year, only 32 per cent of Americans, and 14 per cent of Republicans, have a "great deal" or even a "fair amount" of trust in the media -- compared with 54 per cent and 52 per cent in 1998.

A small minority of people are willing to pay serious amounts of money for truthful, painstakingly collected information. Those who don't pay for it have to expect their news won't have so fine a filter on it. By nature, only propaganda is free because it's the consumers, not the content, who are being trafficked.

If publications certain of the quality of their information were more resolute in placing all their content behind paywalls, without loopholes or exceptions meant to increase "reach," "engagement" and ad revenues, they would end up with less money and smaller audiences. They would also be forced to prioritise coverage -- something many readers would welcome, I suspect. The social networks would cease to be a major channel for quality content: The links would only be shared among subscribers. Editors would have far more responsive and engaged audiences to deal with. I don't see it happening.

Perhaps the increasingly profitable tech giants will want to show some civic responsibility by rethinking their business model in relation to news.

Advertisement
Advertise with NZME.

Advertisers shouldn't be sold deceptive "engagement metrics": Only a story that has been read in full should generate income. That would kill off most of the fakes and sensationalist headlines.

Perhaps some combination of these two approaches could be worked out in a dialogue between the news and tech industries. I hesitate to suggest regulatory interference in freedom of speech matters, but governments could help regulate advertising in a way that would align commercial interests with editorial ones. It's clear that action is needed: Accurate, substantive news is on the brink of extinction, and it's not all the social networks' fault.

Bershidsky, a Bloomberg View contributor, is a Berlin-based writer.
Save

    Share this article

Latest from Media and marketing

Markets with Madison

'Look mom, I made it to Times Square!': How Kiwi brand-tracking company celebrated a major milestone

Business

Entrepreneur Bowen Pan on why he returned to NZ

Watch
Business

Silicon Valley to NZ: Kiwi Facebook Marketplace inventor is back home to give back


Sponsored

Solar bat monitors uncover secrets of Auckland’s night sky

Advertisement
Advertise with NZME.

Latest from Media and marketing

'Look mom, I made it to Times Square!': How Kiwi brand-tracking company celebrated a major milestone
Markets with Madison

'Look mom, I made it to Times Square!': How Kiwi brand-tracking company celebrated a major milestone

The co-founders reveal the software start-up's global growth figures.

10 Jul 07:00 PM
Entrepreneur Bowen Pan on why he returned to NZ
Business

Entrepreneur Bowen Pan on why he returned to NZ

Watch
05 Jul 12:00 AM
Silicon Valley to NZ: Kiwi Facebook Marketplace inventor is back home to give back
Business

Silicon Valley to NZ: Kiwi Facebook Marketplace inventor is back home to give back

05 Jul 12:00 AM


Solar bat monitors uncover secrets of Auckland’s night sky
Sponsored

Solar bat monitors uncover secrets of Auckland’s night sky

06 Jul 09:47 PM
NZ Herald
  • About NZ Herald
  • Meet the journalists
  • Newsletters
  • Classifieds
  • Help & support
  • Contact us
  • House rules
  • Privacy Policy
  • Terms of use
  • Competition terms & conditions
  • Our use of AI
Subscriber Services
  • NZ Herald e-editions
  • Daily puzzles & quizzes
  • Manage your digital subscription
  • Manage your print subscription
  • Subscribe to the NZ Herald newspaper
  • Subscribe to Herald Premium
  • Gift a subscription
  • Subscriber FAQs
  • Subscription terms & conditions
  • Promotions and subscriber benefits
NZME Network
  • The New Zealand Herald
  • The Northland Age
  • The Northern Advocate
  • Waikato Herald
  • Bay of Plenty Times
  • Rotorua Daily Post
  • Hawke's Bay Today
  • Whanganui Chronicle
  • Viva
  • NZ Listener
  • Newstalk ZB
  • BusinessDesk
  • OneRoof
  • Driven Car Guide
  • iHeart Radio
  • Restaurant Hub
NZME
  • About NZME
  • NZME careers
  • Advertise with NZME
  • Digital self-service advertising
  • Book your classified ad
  • Photo sales
  • NZME Events
  • © Copyright 2025 NZME Publishing Limited
TOP