Sydney (AFP)

The Australian Associated Press (AAP) news agency on Monday launched crowdfunding to tackle financial difficulties.

CEO Emma Cowdroy explained that APP faces particularly aggressive competition from NCA, a news agency recently set up by News Corp of magnate Rupert Murdoch.

In February, this press group withdrew from the Australian national agency, of which it was one of the two main shareholders.

Now he intends to "quickly return to the commercial sector" with NCA, according to the CEO.

"This threatens the unique role of AAP, which provides independent content" to small Australian news groups, she said in a statement.

Ms Cowdroy fears that this "will generate more upheaval for APP and therefore for the media market in general, at a time when the industry is on its knees."

AAP was relaunched in early August by a consortium led by philanthropists, just months after announcing it was shutting down due to media industry struggles made worse by the coronavirus outbreak.

In March, its major shareholders, News Corp Australia and the news group Nine Entertainment, announced that they had stopped supporting AAP, raising fears of increased concentration in the Australian media sector already dominated by a handful of players.

News Corp launched NCA by hiring reporters, including former APP employees, who will deal with subjects hitherto covered by the national agency.

The Guardian claimed on Monday that News Corp plans to provide various Australian news outlets with the NCA information after the non-compete clause with AAP expires at the end of the year.

Faced with the prospect of this competition from its former shareholder, AAP launched a fundraising campaign, hoping to raise 500,000 Australian dollars (307,700 euros).

"As our clients, the media, face the most difficult advertising market in modern history and the government struggles to find a way to support competition and media diversity, we ask for everyone's help. Australians, ”said Cowdroy.

The news agency has already cut its staff by half.

Small local publishers rely on its nationwide coverage of news, sports and politics.

© 2020 AFP