The worst case scenario for Canadian Heritage Minister Pablo Rodriguez, the Canadian news sector, and the Canadian public has come to pass: Google has announced that it will block news links in Canada in response to the mandated payment for links approach established in Bill C-18. The decision, which the company says will be implemented before the law takes effect, will cover search, Google News, and Google Discover. The decision – which government seemingly tried to avoid with last minute discussions with Google executives after it became apparent that the risks of exit were real – will have lasting and enormously damaging consequences for Canadians and represents a remarkable own-goal by Rodriguez who has managed to take millions away from the news sector and left everyone in a far worse position than if he had done nothing at all.
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The Damage Continues to Grow: Meta Begins Cancelling Existing Media Deals In Light of Bill C-18
The damage caused by the government’s Bill C-18 continues to grow as Meta has started to cancel its existing agreements with Canadian publishers. The move should not come as a surprise since any deals that involve facilitating access to news content would bring the company into the legislative framework and mandate payments for links. Indeed, Meta said earlier this week that its 18 existing deals “did not have much of a future.” When this is coupled with a reported “impasse” between the government and Google over its approach to Bill C-18, the risks to the Canadian media sector look increasingly dire.
Buyer’s Remorse?: The Risks of Bill C-18 Leading to Blocked News Sharing Becoming Real to Canadian Media
When Le Devoir director Brian Myles appeared before the Senate committee studying Bill C-18 last month, he closed by urging the committee to pass the legislation quickly, stating “the time to act is now. We can’t wait two years between the passage of the bill and the CRTC regulations, because the delay will benefit opponents, giving them time to organize and undermine the spirit and the letter of the law.” While Myles acknowledged that claims regarding “theft” of news content by Internet platforms was overstated, he nevertheless expressed full support for the bill. One month later, the Online News Act is now law, Meta has confirmed that it will block news sharing before it takes effect, and the government is reportedly in last ditch negotiations with Google to stop it from doing the same.
The Law Bytes Podcast, Episode 172: Marc Edge on Bill C-18 and the Postmedia Effect
Bill C-18 passed the House and Senate and received royal assent last week, leading Meta to confirm that it will be blocking news sharing on its Facebook and Instagram platforms given the economic costs and uncertainty with the law. Meanwhile Google is reportedly in discussions with the government about whether regulations might be crafted in a way to avoid a similar outcome.
I’ve covered Bill C-18 extensively on the Law Bytes podcast and on this website, but the history behind the legislation and associated lobbying provides valuable context for the current situation. Marc Edge has written several books on the newspaper industry. His most recent work, The Postmedia Effect, helps makes sense of Bill C-18 as a continuum of lobbying for government support that has resulted in hundreds of millions of dollars. He joins me on the podcast to discuss.
Episode 172: Marc Edge on Bill C-18 and the Postmedia Effect
Bill C-18 passed the House and Senate and received royal assent last week, leading Meta to confirm that it will be blocking news sharing on its Facebook and Instagram platforms given the economic costs and uncertainty with the law. Meanwhile Google is reportedly in discussions with the government about whether […]
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