The Canadian political and business communities are unsurprisingly focused on the prospect of U.S. President Donald Trump instituting 25% tariffs on Canadian goods and services. The threat of tariffs, which could spark a retaliatory response by Canada and fuel a damaging trade war, would likely cause serious harm to the Canadian economy. But tariffs aren’t the only story arising from new Trump actions in his first day in office. Amidst the many executive orders signed on day one are several with significant implications for Canadian law, particularly Canadian digital policies such as the digital services tax, mandated streaming payments arising from Bill C-11, and mandated payments for news links due to Bill C-18. When combined the government’s decision to prorogue Parliament earlier this month, the results of years of Canadian digital laws and policies now largely fall into two groups: those that have died due to prorogation and those that are likely to die due to Donald Trump.
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New Era and New Risks: Meta’s Content Moderation Reforms and Freedom of Expression Online
Meta CEO Mark Zuckerberg yesterday announced significant new changes to the company’s content moderation policies. The five-minute video is worth watching in its entirety, as it demonstrates the shifting political sands that seemingly pressured even the world’s largest social media company to pay heed. Zuckerberg said the company’s reliance on third-party fact checkers had resulted in too much censorship and vowed to return to an emphasis on freedom of expression. That means the fact checkers are gone, replaced by the Twitter (X) model of community notes. Moreover, the company is moving its content moderation team from California to Texas (a nod to claims the California-based teams were biased), increasing the amount of political content in user feeds, and pledging to work with the Trump administration to combat content regulation elsewhere, including in Europe and South America.
The Law Bytes Podcast, Episode 221: Inside My Canadian Heritage Committee Appearance on Freedom of Expression
The Standing Committee on Canadian Heritage has for the past month been conducting a study on protecting freedom of expression. The counters of the study aren’t entirely clear. In fact, after I was invited to appear, I asked for some sense of what the committee was looking to address. There wasn’t much detail, which has really left it open for witnesses to cover whatever issues they like. I chose to focus my time on two issues: the expression implications of Canadian digital policy and the chilling effect of antisemitism. The two issues have really dominated my attention in recent months. Digital policy – including Bills C-11, C-18, C-63, and S-210 for years now and the antisemitism issues an enormous concern post October 7, 2023.
This week’s Law Bytes podcast takes the listener into the hearing room and the wide range of questions from Liberal, Conservative, and Bloc MPs my opening statement sparked.
How the Online Streaming Act Misdiagnosed Canada’s Broadcasting Woes
Nearly one year ago, I made my way from my home in Ottawa across the river to the Gatineau hearing room used by the Canadian Radio-television and Telecommunications Commission (CRTC) to participate in its inaugural proceeding on implementing the Online Streaming Act, better known as Bill C-11. I had regularly appeared as a witness at House of Commons and Senate committees, but this was my first time participating in a hearing before Canada’s broadcasting regulator. I came with a simple message: while the roster of witnesses was filled with cultural lobby groups and broadcasters asking for their share of the bill’s anticipated pot of gold, the perspective of consumers and the public interest needed to be heard.
My opening statement emphasized prioritizing public over private interests, which, I argued, meant putting Canadians at the centre of their communications system, as one CRTC chair once characterized it. I did not anticipate receiving a warm reception, but I was still taken aback by the frostiness toward the notion that consumers and the public interest were important considerations. Instead, commissioners pointed to the need to step in where broadcasters or content creators were struggling to succeed in the market.
The Bill on Canada’s Digital Policy Comes Due: Blocked News Links, Cancelled Sponsorship, Legal Challenges, and Digital Ad Surcharges
Canada’s digital policy has seemingly long proceeded on the assumption that tech companies would draw from an unlimited budget to write bigger cheques to meet government regulation establishing new mandated payments. Despite repeated warnings on Bills C-11 (Internet streaming), C-18 (online news), and a new digital services tax that tech companies – like anyone else – were more likely to respond by adjusting their Canadian budgets or simply passing along new costs to consumers, the government and the bill’s supporters repeatedly dismissed the risks that the plans could backfire. Yet today the bill from those digital policy choices is coming due: legal and trade challenges, blocked news links amid decreasing trust in the media, cancellation of sponsorship deals worth millions of dollars that will be devastating to creators, and a new Google digital advertising surcharge that kicks in next week to offset the costs of the digital services tax.
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