After the controversial online news bill was passed by the Canadian parliament, Meta announced that it would start limiting news on its platforms to Canadian consumers. The legislation mandates that major platforms pay news publishers for the content that is posted on their websites.
The restriction of news access to some Canadians has already been tested by Meta and Google.
A similar law resulted in the blocking of Australian users from sharing or viewing news on Facebook in 2021 but after discussions with the government resulted in changes, Facebook Australia brought back news content for its users.
The Online News Act of Canada, which was approved by the Senate on Thursday, establishes guidelines requiring platforms like Meta and Google to enter into commercial agreements and compensate news organisations for their content.
According to Meta, the law is “fundamentally flawed legislation that ignores the realities of how our platforms work”.
Before the bill goes into effect, it was announced on Thursday that news will no longer be available to all Canadian users on Facebook and Instagram, the BBC reported.
“A legislative framework that compels us to pay for links or content that we do not post, and which are not the reason the vast majority of people use our platforms, is neither sustainable nor workable,” a Meta spokesperson told Reuters.
Additionally, the company said the changes to the news would not have an impact on other services for Canadian users while Google criticised the online news bill as “unworkable” and is seeking a solution with the government.
Meanwhile, the federal government believes it is necessary to improve fairness in the Canadian digital news market and ensure fair compensation for news and links shared on platforms.
An independent parliament budget watchdog estimated news businesses could receive C$329 million per year from digital platforms. In addition, Canadian Heritage Minister Pablo Rodriguez criticised tech platforms’ tests as unacceptable and a threat.
Rodriguez’s office plans further discussions with Google and Facebook, but the government will proceed with the bill’s implementation, saying, “If the government can’t stand up for Canadians against tech giants, who will?”
Furthermore, media industry groups see the act which expected to take effect in six months in Canada as a step towards market fairness, promoting real journalism and democracy.
“Real journalism, created by real journalists, continues to be demanded by Canadians and is vital to our democracy, but it costs real money,” said Paul Deegan, president and chief executive officer of News Media Canada, a media industry group, said in a statement
