Google And Facebook Forced to Pay Canadian News Publishers by Federal Government in Ottawa
Reading Time: 2 minutes

Google And Facebook were forced to pay Canadian news publishers by the federal government in Ottawa for content. The decision was taken in an attempt to help to struggle Canadian media companies as they continue to lose online advertising revenue to companies like Google parent Alphabet and Facebook parent Meta Platforms.

According to Pablo Rodriguez, Heritage Minister, the “Online News Act” bill will be introduced to ensure companies such as Alphabet and Meta Platforms compensate Canadian news publishers for their content via privately negotiated deals.

The introduction of the law might help Canadian media companies such as Postmedia Network (PNC), Torstar, and more.

Earlier Australian legislation introduced a similar law that requires the platforms to pay

local news publishers. This law has resulted in a multi-year deal between Rupert Murdoch’s News Corp. and Facebook after the social media giant started blocking sharing of news articles.

The minister stated that Canada has studied Australian law extensively. The US has also similar legislation in place, while in the case of new publishers in Europe have lobbied for something similar to the Australian law. 

The introduction of the latest law will give news businesses the much-needed bargaining power in groups on issues that platforms reproduce or facilitate access to news content, senior government officials.

The Canadian Radio-television and Telecommunications Commission (CRTC will enforce the proposed legislation which is designed to help the Canadian media sector that saw 450 outlets closed between 2008 and 2021. 

Rodriguez’s two months ago submitted a separate proposal to amend the country broadcasting Act. He suggested online service providers like  Netflix (NFLX) and Spotify contribute to local funds to support. Currently, the Online Streaming Act is under review in Parliament.

Related Articles:
British Government Will Soon Mint its Own NFT
Fortnite Lantern Fest 2022 – How To Complete Lantern Trials
DeepMind accused of mishandling Sexual Misconduct allegations