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What Is the Canadian Government Doing With Its Incoherent Approach to TikTok?
My latest Globe and Mail op-ed notes that TikTok has long presented a thorny challenge for Western governments. The security and privacy concerns resulting from its link to China have pushed some to ban the app altogether. Others, cognizant of its enormous popularity with younger demographics and its support for the cultural sector, have sought to establish regulatory safeguards, required sales of controlling interest, or demanded localized versions that limit the potential for Chinese influence or interference.
Ottawa has faced many of the same issues, yet what has emerged is an incoherent approach that leaves Canadians with the worst of all worlds: less protection against security and privacy risks, less support for the cultural sector, and less certainty about what the government is trying to achieve.
Risky Business: The Legal and Privacy Concerns of Mandatory Age Verification Technologies
When the intersection of law and technology presents seemingly intractable new challenges, policy makers often bet on technology itself to solve the problem. Whether countering copyright infringement with digital locks, limiting access to unregulated services with website blocking, or deploying artificial intelligence to facilitate content moderation, there is a recurring hope the answer to the policy dilemma lies in better technology. While technology frequently does play a role, experience suggests that the reality is far more complicated as new technologies also create new risks and bring unforeseen consequences. So too with the emphasis on age verification technologies as a magical solution to limiting under-age access to adult content online. These technologies offer some promise, but the significant privacy and accuracy risks that could inhibit freedom of expression are too great to ignore.
The Hub runs a debate today on the mandated use of age verification technologies. I argue against it in a slightly shorter version of this post. Daniel Zekveld of the Association for Reformed Political Action (ARPA) Canada makes the case for it in this post.
Another Canadian Digital Policy Own Goal: Corporate TikTok Ban Leads to Millions in Lost Cultural Group Support
The government’s bad run of digital policy choices that led to blocked news links on Facebook and Instagram, ongoing litigation over mandated streaming payments, and the recent cancellation of the digital services tax, has paved the way for another costly loss. Last fall, the Canadian government announced the conclusion of its national security review of TikTok and arrived at a curious plan: ban the company from operating in Canada but leave the app itself untouched. The decision raised concerns about weakening privacy enforcement as the Privacy Commissioner of Canada acknowledged that it is easier to compel documents and support investigations if the company is in Canada (the results of a Privacy Commissioner investigation into TikTok have still not been released).
Canada’s DST Debacle a Case Study of Digital Strategy Trouble
My Globe and Mail op-ed opens by noting that after years of dismissing the warnings of likely retaliation, the Canadian government caved to U.S. pressure earlier this week as it cancelled the digital services tax. Faced with the U.S. suspension of trade negotiations, Finance Minister François-Philippe Champagne announced that the government would rescind the legislation that created it.
Canadian Government Caves on Digital Services Tax After Years of Dismissing the Risks of Trade Retaliation
After years of dismissing the warnings of likely retaliation, the Canadian government caved last night on the digital services tax. Faced with the prospect of the U.S. suspending trade negotiations, Finance Minister François-Philippe Champagne announced that the government would drop the DST altogether, payments scheduled for Monday would be cancelled, and legislation will be forthcoming to rescind the legislation that created it in the first place. Over the weekend, I wrote about the repeated warnings that the DST was a serious trade irritant with the U.S. that cut across party and presidential lines. While ignoring the risks was bad enough, I argued that Canada played its DST card too early. Rather than delaying implementation in the hopes of incorporating it into a broader trade deal with U.S., it marched ahead, leading to an entirely predictable response from U.S. President Donald Trump. That left Canada in a no-win situation: stick with the DST but face the prospect of higher tariffs or embarrassingly drop the DST (and $7.2 billion in revenue over five years) with only restarting negotiations that were on until government overplayed its hand to show for it.