(2) is correct as BillJ's comment states. (1) appears incorrect as written. But the excerpt is from a speech by Obama, who says the words in the order set forth in (1), so it's worth looking at the video. (He says it at 58:10 in the link below.)
After listening, I think the transcriber could have just as well written:
And I know Congress has been engaged with some of these companies to
look at: how can you get more revenue back into local news?
This sets up the embedded question directly, which is a more colloquial style, and there is nothing incorrect here. It's possible that this is how Obama intended it to come across, or it's possible that he just kind of stumbled through the point a bit (as is also evident), or some combination of the two.
Challenges democracy digital information realm