As I've mentioned before you only need to look at the fact that public and smaller news organisations e.g. ABC, SBS are not compensated to get an idea of the intention of this policy.

It's purely to prop up News Corp which is struggling (16% loss in 2020 revenue) because of weak newspaper sales and Foxtel bleeding customers to Netflix, Disney etc.

And unfortunately just like in UK and US whenever Rupert Murdoch says jump you better say how high or else your government will go down in the next election.