Trudeau Affirms Continued Push on Facebook for News Payments in Canada

16 Dec, 2023

Trudeau Affirms Continued Push on Facebook for News Payments in Canada

Prime Minister Justin Trudeau affirmed Ottawa's determination to compel Meta (META.O) to adhere to a new law mandating substantial internet firms to compensate Canadian news publishers. Despite Meta's stance of blocking news sharing instead of payment, the government stands resolute in its enforcement of the Online News Act, set to take effect on December 19.

The finalized regulations for the Online News Act were released on Friday, mandating technology companies with over 20 million unique monthly users and annual revenues exceeding C$1 billion to reimburse Canadian news outlets for sharing links to their content.

Google and Meta are the sole platforms meeting these criteria in Canada. While Google recently agreed to pay C$100 million annually to news publishers in the country, Meta chose to block news on Facebook and Instagram in Canada to circumvent these payments.

Trudeau emphasized the government's commitment to pushing Meta, a profit-generating entity, despite its refusal to invest in the journalistic integrity and stability of the media. Conversely, Meta, through Rachel Curran, head of public policy for Meta Canada, maintained their decision, emphasizing that news outlets opt for their free services, enhancing their financial standing.

Part of a global trend, this law aims to address concerns within the Canadian media industry regarding diminishing revenue as internet companies dominate the online advertising space, squeezing out news businesses.

Heritage Minister Pascale St-Onge highlighted the Canadian Radio-television and Telecommunications Commission's (CRTC) scrutiny on Facebook and Meta as part of its enforcement efforts.

Paul Deegan, CEO of News Media Canada, lauded the government's creation of a balanced and dependable framework. Deegan urged Meta to follow Google's lead in complying with the regulations for the benefit of news publishers and platforms alike.