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Beyond a Netflix Tax: Why Melanie Joly’s Comments Point to Regulation of Internet Services

The prospect of new digital taxes and regulation to fund the creation of Canadian content continues to attract attention with cultural groups leading the charge. For example, the Canadian Independent Music Association recently called for the regulation of digital services and ISPs including mandated contributions to support the development of Canadian content, while ADISQ has previously lobbied for a similar policy approach.

With mounting coverage of the issue, Canadian Heritage Minister Melanie Joly appeared last weekend on CTV’s Question Period, spending most of the nine minutes dodging questions from host Evan Solomon. Joly started by clearly stating that “there will be no new Netflix tax”, but spent the rest of the interview making the case for one. The discussion featured speaking points that seemed to contradict the no Netflix tax approach, emphasizing that everything is on the policy table and that the government is looking at all scenarios. Solomon noted the inconsistency of the comments and Joly struggled to respond.

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October 21, 2016 7 comments News
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Why Copyright Reform Won’t Solve the Troubles Faced By the Newspaper Industry

Last week, I appeared before the Standing Committee on Canadian Heritage as part of its study on the future of media. The committee has heard from dozens of witnesses and one of the surprising themes has been the emphasis on copyright reform as a potential solution to the newspaper industry’s woes. My opening remarks, which are posted below, warn against the reforms, including the prospect of new taxes on Internet services or linking as a source of revenue for the industry. Instead, I point to several potential policies including an ad-free online CBC, sales taxes for digital services, and non-profit funding models for investigative journalism.

The Q & A that followed with me focused primarily on copyright law. The copyright discussion stems from the fact that several earlier witnesses implausibly claimed that it would help solve the problems facing news organizations. For example, Bob Cox of the Canadian Newspaper Association told the committee:

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October 11, 2016 7 comments News
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Canada’s Privacy Failure: My Appearance Before the Standing Committee on Access to Information, Privacy & Ethics

I appeared last week before the Standing Committee on Access to Information, Privacy & Ethics as part of the committee’s review of the Privacy Act. My opening remarks highlighted several longstanding concerns with the legislation and then turned to three broader issues: Bill C-51’s information sharing provisions, transparency reporting, and the revival of lawful access issues.

My full prepared opening remarks are posted below:

Appearance before the House of Commons Standing Committee on Access to Information, Privacy & Ethics, September 29, 2016

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October 6, 2016 3 comments Committees, News
Behind the Scenes of the Digital CanCon Consultation: No Netflix Regs, CRTC Review or Copyright Overhaul

Behind the Scenes of the Digital CanCon Consultation: No Netflix Regs, CRTC Review or Copyright Overhaul

Canadian Heritage Minister Melanie Joly launched her review of CanCon rules last spring by stating that “everything is on the table.” The pre-consultation revealed a sharp divide between industry and the public with industry stakeholders emphasizing more public and government support and the public focusing on efforts to promote Canadian content.

This week I obtained government documents under the Access to Information Act that provide some interesting insights in the behind-the-scenes process that brought a major government consultation from concept to launch in a matter of weeks. The roughly thousand pages show Canadian Heritage officials worked long hours to develop timelines, consultation documents, communications plans, and advisory committees. Given the time constraints, it is an impressive effort.

The documents also highlight internal thinking on several major issues, including Netflix regulation, the CRTC’s Let’s Talk TV rulings, and copyright.

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September 16, 2016 3 comments News
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No Netflix Tax & No New Money: Reading Between the Lines of the Digital CanCon Consultation

Canadian Heritage Minister Melanie Joly’s release of the Canadian content in a digital world consultation is likely to spark renewed demands from industry stakeholders for more money from two main sources: unregulated Internet companies such as Netflix and the government. As I noted in my first post on the consultation release, there is a significant divide between the industry and the public on the issue.  Industry stakeholders emphasize more public and government support, while the public is focused on efforts to promote Canadian content.

The government will surely wait for the consultation to close before adopting firm positions, but the new consultation paper makes it clear that not everything is on the table. In fact, it adopts several notable policies and sends some signals about future funding sources.

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September 14, 2016 Comments are Disabled News