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In PragerU founder Dennis Prager's view, NewsGuard lacks respect for the pursuit of truth through differences in opinion. (Samira Bouaou/The Epoch Times)
Ms. Streit did try to make changes to satisfy some of NewsGuard’s demands and to see how it would respond.
“The goalposts kept changing. Every time we would make a change, they would want more changes,” she said.
When PragerU commentator Amala Ekpunobi did a podcast questioning the motives of the World Economic Forum, NewsGuard demanded that the video be taken down, Ms. Streit said.
In Mr. Prager’s view, NewsGuard lacks respect for the pursuit of truth through differences in opinion.
“I still haven’t noted what did we say that’s misinformation, as opposed to [an opinion on which] honorable people can differ,” he said.
The bad rating caused PragerU’s video-hosting provider, JW Player, to abandon it, Ms. Streit said.
PragerU has since launched an online petition against NewsGuard.
“They are powerful in a very bad, malevolent, malicious, destructive way,” Mr. Prager said.
NewsGuard has argued that its process is fair because it reaches out to the rated outlets for comment and includes the comments in the rating writeup.
Yet based on PragerU’s experience, it appears this practice may well be a mere formality and whatever arguments the outlets present don’t affect the final rating. Sooner or later, it seems, the targeted outlets simply give up and write off NewsGuard from that point on.
Anthony Watts founder and editor of WattsUpWithThat.com and a fellow with the Heartland Institute. (heartland.org)
Anthony Watts and Charles Rotter run WattsUpWithThat.com, a blog for content skeptical of catastrophic consequences of climate change.
In their view, NewsGuard is not acting in good faith.
“They are purposefully focused on destroying the credibility of websites they don’t like,” Mr. Watts, a fellow with the Heartland Institute, told The Epoch Times.
Earlier this year, NewsGuard staffer Zack Fishman reached out to Mr. Watts about several articles. One mentioned that the arrest of climate activist Greta Thunberg was “staged.” Mr. Fishman took issue with that, saying it was a real arrest. But Mr. Watts explained that he was talking about the manner in which Ms. Thunberg was arrested. A video circulating online showed that the police officers arresting her were posing for pictures holding her while she was smiling and laughing before they led her away.
“It boils down to a disagreement with the reviewer,” Mr. Watts said.
“They apply these sort of credentialist straw man games,” Mr. Rotter said.
“It’s like, ‘We found this study that contradicts what this person said, therefore you’re wrong.’”
But even if what Mr. Fishman found were real errors, it seemed too minor to impeach or call into question the credibility of the entire blog, which NewsGuard did.
Newsguard attaches credibility ratings to news outlets and other content creators. (Petr Svab/The Epoch Times)
Mr. Fishman brought to Mr. Watts’s attention three or four articles with claims he was able to contradict. But the site has posted tens of thousands of articles. NewsGuard itself suggested its ratings shouldn’t be a reflection of the factuality of a small number of specific pieces of content.
“Our ratings do not mean that a site with a poor rating will never get a story right, or that a site with a strong rating will never get a story wrong,” Matt Skibinski, general manager of NewsGuard, told Breitbart.
NewsGuard has argued that what it looks at is journalistic criteria—when it points out errors, are they corrected?
But Mr. Watts wasn’t refusing to correct errors. He believed those weren’t errors to begin with, but rather issues of legitimate disagreement and opinion.
“These people are like robots. It’s very difficult to actually have a discussion with them,” Mr. Rotter said.
Mike Benz, executive director of the Foundation For Freedom Online and a former State Department official. (Jack Wang/The Epoch Times)
Mr. Hayden’s Twitter account shows blatant, even over-the-top disdain for President Trump and his supporters. One tweet he shared likened Trump supporters to the Taliban terrorist group; another likened Trump supporters to Nazis; yet another called for the ouster of prominent Republican lawmakers, including Sen. Ted Cruz (R-Texas), Rep. Matt Gaetz (R-Fla.), and Rep. Marjorie Taylor-Green (R-Ga.).
Other NewsGuard advisers include Anders Fogh Rasmussen, former secretary-general of NATO; Arne Duncan, former education secretary under the Obama administration; Don Baer, former Clinton White House spokesman; and Tom Ridge, the first head of the Department of Homeland Security, under President George W. Bush.
Last year, NewsGuard was promoted by the World Economic Forum.
Its reach extends beyond American borders to Canada, Australia, Europe, and increasingly other parts of the world, with an apparent goal of global, ubiquitous coverage.
Its ratings are also utilized by other parts of the censorship industry, such as researchers and operatives, including those funded by the U.S. government, who are developing tools to detect and challenge disfavored views online.
Talking about the dangers of misinformation in its 2022 white paper, NewsGuard said that “researchers using NewsGuard’s source reliability data found that anti-establishment networks disseminated content from a large number of NewsGuard Red-rated sites during the German Federal Election in 2021, proliferating anti-vaccination, anti-lockdown, and anti-climate protection content specifically.”
NewsGuard was launched in March 2018 and maintains a staff of about 100. (Samira Bouaou/The Epoch Times)
NewsGuard landed its partnership with Microsoft before it even launched its product. (Samira Bouaou/The Epoch Times)
The company often describes its rating as a “nutritional label”—merely providing the public with useful data.
But the opt-in model, where customers have to pay to subscribe and download an app or an internet browser extension, seems to have hit a popularity wall.
Its Chrome browser extension has less than 40,000 users, according to Chrome Web Store, and its iOS app sports a less than 3-star rating from fewer than 80 reviews. About half the reviews are 1-star from people complaining about the app's functionality and bias.
Yet NewsGuard maintains a staff of about 100 and, according to its website, is hiring continually.
It’s “analysts” get paid $70,000 to $80,000 annually, according to Glassdoor.
Based on these financial figures, individual user subscriptions would appear to only cover a portion of the company’s running expenses.
Mr. Crovitz acknowledged in a 2021 op-ed that while people can subscribe to NewsGuard on their own, they “more commonly get access through companies and other entities that license the ratings and labels, and provide them to people in their network.”
That indeed appears to be its business model; more than catering to the public, the company seeks corporate and government clients. By all accounts, it’s managed quite well on that front.
NewsGuard reached profitability in 2021 “thanks to licensing deals with advertisers and other firms that use its ratings,” CNN Business reported.
The company landed its partnership with Microsoft by August 2018—before it even launched its product. It’s not clear how much the deal is worth. Microsoft made the NewsGuard plug-in available for free to all users of its web browser, Edge. The mobile version of the browser even included the ratings functionality by default, though it was left up to users to turn it on. It appears that the mobile version was scrapped sometime in 2021.
In addition, Microsoft also sponsors NewsGuard licensing for libraries.
“We’ve been able to get our news reliability ratings tool into more than 800 public libraries, where 7 million public library patrons use NewsGuard when they go to the library for their broadband access. And we’re already being used in dozens of public schools and universities, as well as independent schools,” Mr. Brill said in a January 2022 press release.
The release announced NewsGuard’s partnership with the American Federation of Teachers (AFT), the second-largest U.S. teachers union, which licensed NewsGuard subscriptions for all of its 1.7 million members.
The AFT is a major political lobby for various progressive causes and a large source of campaign funding for the Democratic Party.
In 2021, NewsGuard received a nearly $750,000 Pentagon contract for a project called “Misinformation Fingerprints.”
NewsGuard also applied for funding from DARPA, the Pentagon’s military technology investment arm, according to information on the LinkedIn profile of NewsGuard’s former project manager. It’s not clear whether the funding materialized.
House Speaker Kevin McCarthy (R-Calif.) said in April that lawmakers will examine NewsGuard, including its Pentagon funding. (Joshua Roberts/Reuters)
In addition, the company at its launch secured $6 million from about 20 investors, FinSMEs reported.
According to its website, its top investor is Eyk van Otterloo, co-founder of a $1.3 billion investment fund and former owner of Chemonics International, a development consultancy that has derived almost all its revenue from U.S. foreign aid grants and contracts—worth more than $14 billion—since 2008.
Government monies to Chemonics increased from about $400 million in 2015 to more than $900 million in 2016, $1.6 billion in 2017, and peaking above $2.2 billion in 2022, according to USASpending.gov.
Chemonics employs consultants to travel the world to set up development programs for “diversity, equity, and inclusion," fighting climate change, managing “sustainable development,” and “strengthening systems of democratic governance to ensure accountability, justice, and inclusion.”
Populist political movements commonly propose reducing or even abolishing foreign aid, which, given the company's historic revenue sources, would likely devastate Chemonics.
The company transformed to employee ownership in 2011, but Mr. Van Otterloo remained on its board until 2019.
It’s not clear how much Mr. Van Otterloo invested in NewsGuard.
Corporation giants including Disney, Verizon, Bank of America, and Pfizer are among Publicis's clients. (Charles Platiau/Reuters)
Publicis has counted among its clients giant corporations including Disney, Verizon, Bank of America, and Pfizer.
Moreover, a major part of the retail industry uses its products to manage advertising.
“Four out of every 10 dollars in retail goes through platforms we manage,” said Nigel Vaz, chief executive of Publicis Sapient, the company’s “digital transformation” subsidiary, according to Adage.
NewsGuard has also cultivated affiliations, partnerships, or licensing agreements with other top advertising houses in the world, including Omnicom Group and Interpublic Group (specifically its digital arm IPG Mediabrands).
By enmeshing itself in the advertising industry, NewsGuard has positioned itself to steer advertising spending—a major source of income for the media industry.
Corporations commonly hire ad agencies to place their ads. NewsGuard, in turn, through its rating system, tells the agencies which media outlets are “safe” and which are “unsafe” to advertise on.
This leverage weighs heavily on smaller, independent outlets that often depend on “programmatic” or automated advertising. They offer ad space on platforms that sell it in bulk. Ad agencies or individual advertisers then pick which ad spaces to buy based on audience data. Usually, the process is automated. And when ad agencies insert the NewsGuard filter in the middle of the selection process, small, independent outlets disfavored by NewsGuard’s ratings won’t sell their space.
Large, corporate media, on the other hand, can be virtually immune to poor NewsGuard scores, even if they receive them. They are themselves immensely valuable clients to the ad agencies and can negotiate with them directly.
MSNBC, for example, had its Newsguard score slashed to 52 last year (it stood at 57 as of July 25). That would land the Comcast-owned cable network in the “misinformation” bucket. But there’s no sign that it has been blacklisted among advertisers. Its ad revenue dropped more than 8 percent in 2022, but that seemed to have more to do with its ratings cratering by 21 percent.
Mr. Brill and Mr. Crovitz suggested that they didn’t start NewsGuard with the idea of partnering with advertisers, according to a January 2019 New York Times report.
“For them, it’s the whole problem of fake news being an issue for ‘brand safety,’” Mr. Brill told the paper. “I hadn’t even heard that term until we looked out for investors.”
But NewsGuard has been aggressively pitching its advertiser product, BrandGuard, to the point of issuing reports that shame “top brands” for advertising on supposed “misinformation websites.”
Meanwhile, services like Newsguard are pushed by the European Commission, the executive body of the European Union, through its Code of Practice on Disinformation, a voluntary set of guidelines for advertisers and tech platforms meant to reduce "disinformation" online. Last year, the code was updated with rules for companies “participating in ad placements” to “commit to defund the dissemination of Disinformation” by improving “the policies and systems which determine the eligibility of content to be monetised, the controls for monetisation and ad placement, and the data to report on the accuracy and effectiveness of controls and services around ad placements.”
A week later, the Global Alliance for Responsible Media (GARM), an initiative launched by the giant industry group World Federation of Advertisers, added “misinformation” to the list of online harmful content that shouldn't be advertised on.
Shortly after, Newsguard issued a release advertising BrandGuard as the most suitable way to ensure compliance with the European Commission and GARM rules, offering companies several months of free compliance consultations.
“These new standards are only the beginning,” Mr. Brill said in the release. “As policymakers continue to learn of the extent and impact of the monetization of misinformation online, the enactment of further regulations on this topic is all but inevitable.”
NewsGuard’s role in having advertisers defund outlets it disfavors “gives away the actual game,” Mr. Tillman said.
“If all they wanted was transparency, they would simply do their rating, put it out there, and let the public make their own decision whether it likes that rating or not. But that’s not good enough," he said. "They want to demonetize people. And that tells you they have an agenda besides judging the news by their own standards.”
NewsGuard’s advertiser defunding efforts have caught at least some negative attention from the government.
In March, Mr. Gaetz called for an investigation into the company. In April, House Speaker Kevin McCarthy (R-Calif.) told Breitbart that lawmakers will examine the company, including its Pentagon funding.
NewsGuard is funded by liberal groups who are trying to discredit conservative information, House Speaker Kevin McCarthy (R-Calif.) said in April. (Madalina Vasiliu/The Epoch Times)
“This is a liberal organization, funded by liberal groups trying to do this— trying to discredit conservative information,” he said. “The one thing I firmly believe in, the freedom of the press. You have a right to deliver the news and people have a right to decide one way or another. But we cannot allow them to continue doing what they’re doing and you’re going to see within hearings we’re going to bring light to this.”
A few months later, Reps. Virginia Foxx (R-N.C.), Burgess Owens (R-Utah), and Jim Banks (R-Ind.) questioned NewsGuard’s AFT partnership, in a letter.
At the state level, Florida Chief Financial Officer Jimmy Patronis sent a letter to NewsGuard in March, threatening to “use the full force” of his office “to shed light on the organization.”
“My concern is, we have a third-party group that shows up and says, ‘We’re going to start grading you,’ and issues demands on the way you present content. I see that as an attack on Florida businesses,” he told The Epoch Times.
He called it “a political shakedown.”
“They’re telegraphing, ‘You need to act more like The New York Times or NPR, and if you’re not, then you’ll receive a poor grade and then your advertising will dry up,’” he said, later adding that it’s “literally trying to discredit somebody through a scoring system in order to hurt them financially.”
On the flipside, NewsGuard's issuing of perfect scores to legacy outlets creates false credibility, he suggested.
“Honestly, I think the mainstream media’s record has not been good,” Mr. Patronis said, pointing to a number of instances where such media, according to critics, continually misinformed the public on major issues, including facts regarding the COVID-19 pandemic and the emergence of Hunter Biden’s laptop before the 2020 election.
“I just don’t think you can rely on The New York Times or the NPRs of the world for our most important news information,” he said.
If you don’t act like The New York Times, you’ll receive a low NewsGuard score and then your advertising will dry up, Florida Chief Financial Officer Jimmy Patronis said in March.
Mr. Patronis suspects that NewsGuard serves to shore up ad revenue for these legacy media.
“It’s a way to handcuff businesses to certain media outlets that probably have lost their viewership or lost their following,” he said.
The NewsGuard office in New York City on July 26, 2023. (Samira Bouaou/The Epoch Times)
Today, NewsGuard hands out perfect scores to corporate outlets but penalizes independent media for not toeing official narratives closely enough.
In 2009, Mr. Brill partnered with Mr. Crovitz to found a venture that was to help newspapers set up paywalls. They sold the business in 2011 for about $35 million.
Mr. Brill then went on to author several nonfiction books, most recently in 2018 “Tailspin: The People and Forces Behind America’s Fifty-Year Fall—and Those Fighting to Reverse It.” The book details a litany of American ills, from poorly maintained infrastructure to high health care bills, and it places the blame largely on lawyers and bankers, casting the government as a victim that has been tricked and co-opted.
His perhaps greatest claim to literary fame stemmed from his 2015 book “America’s Bitter Pill: Money, Politics, Back-Room Deals, and the Fight to Fix Our Broken Healthcare System.”
The book shed light on the questionable practices in the health care and pharmaceutical industries.
Ironically, today’s NewsGuard has relentlessly pursued critics of Big Pharma who have pointed out flaws in the COVID-19 vaccines.
Mr. Brill now sits on his board with a top executive of Publicis, the same company that’s being sued by the state of Massachusetts for helping Purdue Pharma boost sales of opioid drugs that have been blamed for an overdose epidemic that has killed more than half a million Americans. Publicis collected more than $50 million from Purdue before the pharma giant was sued into bankruptcy in 2019.
Mr. Brill seems to have different concerns now.
In a CNBC interview shortly before the 2020 presidential election, he shared his seasoned journalistic view of the Hunter Biden laptop story.
“My personal opinion is, there’s a high likelihood this story is a hoax, maybe even a hoax perpetrated by the Russians again,” he said.
He then criticized social media for blocking the story, arguing that they don’t have the relevant expertise to do so. Instead, he suggested, social media platforms should partner with NewsGuard—let his company sort out what is true and what is not.
Read more at: TheEpochTimes.com
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