The temperature over the government’s Internet legislation has increased this week as many Canadians wake up to the consequences of Bills C-11 and C-18. CRTC regulations on mandated registration requirements arising from the Online Streaming Act and the possibility that Google will follow Meta’s lead and remove news links for search results in Canada due to the Online News Act have placed the spotlight on harmful effects of the government’s approach. In response, Canadian Heritage Minister Pascale St-Onge has become more vocal on both social media and mainstream media in defence of the government’s approach. Unfortunately, her comments included repeated errors (suggesting that independent media has not reached any deals with Internet platforms which is not remotely accurate), maligned digital creators (saying that Bill C-11 wasn’t about them), were contradicted by the CRTC, or featured outright misinformation. I posted a pair of threads fact-checking the Minister, which are posted below. There can obviously be different views on the Internet regulation, but the Minister ought to know her file and stick to the facts.
Post Tagged with: "c-18"
The Law Bytes Podcast, Episode 179: Peter Menzies on Why the CRTC Feels Broken Right Now
Last week, the CRTC issued the first two of what are likely to be at least a dozen decisions involving the Online Streaming Act. Those decisions are already sparking controversy, but as the Commission focuses on Bill C-11 and perhaps soon Bill C-18, there is mounting concern that its other responsibilities are falling by the wayside that its independence from the government is starting to show cracks. Peter Menzies is a former Vice-Chair of the CRTC and frequently commentator on broadcast, telecom and Internet regulatory issues. He joins the Law Bytes podcast to talk about the current state of the Commission, which has never seemed more important but also seemed more out of touch and incapable of meeting its duties.
A Reality Check on the Online News Act: Why Bill C-18 Has Been a Total Policy Disaster
Prime Minister Justin Trudeau was asked this week about concerns with the implementation of Bill C-18, to which he responded that other countries are quietly backing Canada in its battle against tech companies. I posted a reality check tweet noting that Meta is not returning to news in Canada, the law’s regulation stipulating a 4% fee on revenues is not found anywhere else, and that Bill C-18 has emerged as a model for what not to do. With the House of Commons back in session, it is worth providing a more fulsome reality check on where things stand with the Online News Act. While the government is still talking tough, the law has been an utter disaster, leading to millions in lost revenues with cancelled deals, reduced traffic for Canadian media sites, declining investment in media in Canada, and few options to salvage this mess.
For those that took the summer off, Bill C-18 received royal assent in late June. Over the past three months:
The Law Bytes Podcast, Episode 177: Chris Dinn on Bill C-18’s Harm to Torontoverse and Investment in Innovative Media in Canada
The Law Bytes podcast is back after a brief break, and with it, talk about the Online News Act or Bill C-18. All news – both Canadian and foreign – is blocked on Facebook and Instagram in response to Bill C-18 and the reports suggest that the move has had no real impact in use of the platform. Where it has had an impact, however, is on news outlets themselves, many of whom have experienced significant reductions in referral traffic, which invariably leads to less revenues.
Much of the attention is on the big players, but the problem is particularly acute for smaller, independent news outlets. Chris Dinn is the founder and publisher of Torontoverse, a new Toronto news outlet that combines news with mapping technologies to create a different way of engaging with the news. The year-old site was growing quickly, but recently announced that it was slowing down in response to Bill C-18’s impact. Chris joins the podcast to talk about the business, the effect of the government legislation, and what he thinks should come next.
Why the Government’s Draft Bill C-18 Regulations Don’t Work: The 4% Link Tax is Not a Cap. It’s a Floor.
The Online News Act has quickly emerged as one of the government’s biggest policy failures with Canadian news outlets facing lost traffic, lost revenues, and lost competition. The source of the Bill C-18 failure was the government’s seeming inability or unwillingness to game plan the potential outcomes of the law, rejecting criticisms and calls for a “Plan B” by instead relying on the hope that the policy measures would simply unfold as they did in Australia. That obviously has not happened, leading to the growing realization that Meta’s blocking of news links, which has already gone on far longer than it did in Australia, is not a bluff. With Meta out of news in Canada, the government is hoping to salvage the law by convincing Google to pay at least $172 million for news links. Unfortunately, the draft regulations released by Canadian Heritage Minister Pascale St-Onge suffer from the same failures as the law, namely an inability to game plan the potential outcomes of the regulations.
I’ve already written about how the draft regulations will do little to ensure more spending on journalism and how they are stacked against small, independent and digital first news outlets. But as I read analysis that suggests that Google got what it wanted – a cap on liability – I fear that the regulations are badly misunderstood. In fact, if you assess the competing policy objectives in the regulations and consider how they might actually play out, it becomes hard to avoid the conclusion that they don’t work and may well lead Google to walk away from news in Canada.
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