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Google has agreed to create a 60m euro ($82m; £52m) fund to help French media organisations improve their internet operations.
It follows two months of negotiations after local news sites had demanded payment for the privilege of letting the search giant display their links.
The French government had threatened to tax the revenue Google made from posting ads alongside the results.
The US firm had retorted it might stop indexing French papers' articles.Google Settles Dispute With French Media Over Links [bbc.co.uk]