On Tuesday, Meta Platforms announced its decision to discontinue access to news content on Facebook and Instagram for all Canadian users. This action is a direct response to Canadian legislation mandating that major internet companies compensate news publishers for their content.
The Canadian government promptly criticized the decision, labeling it as “irresponsible” and asserting that the situation is being closely monitored both nationally and internationally.
The Online News Act, recently enacted by the Canadian parliament, seeks to compel tech giants, including Meta and Google’s parent company Alphabet, to negotiate payment agreements with Canadian news organizations for their content usage.
Rachel Curran, Meta’s head of public policy in Canada, remarked, “News outlets voluntarily share content on Facebook and Instagram to expand their audiences and help their bottom line. However, it is clear that users of our platforms do not primarily come for news.”
Canadian Heritage Minister Pascale St-Onge, overseeing interactions with Meta, responded in a statement, “This is irresponsible.” She criticized Meta, emphasizing, “They prefer to cut off users from accessing high-quality local news rather than fulfill their obligation to news organizations.” St-Onge further stated, “We are committed to defending our position. If the government cannot advocate for Canadians against tech giants, then who will?”
Opposing the law, Meta and Google declared in June that they would restrict news access on their platforms within Canada, part of a wider movement encouraging technology companies to fairly compensate news outlets.
The CBC, Canada’s public broadcaster, also condemned Meta’s actions, calling it “an abuse of their market power.”
This Canadian legislation mirrors a significant law passed in Australia in 2021, which prompted similar threats from Google and Facebook to limit their services. Ultimately, both companies reached agreements with Australian media outlets following revisions to that legislation.
In contrast, Google argues that Canada’s law is broader than those in Australia and Europe, as it establishes financial obligations for displaying news story links in search results. This applies to entities that may not produce original news content.
Meta has previously stated that links to news articles account for less than 3 percent of the content seen in users’ feeds, arguing that news lacks substantial economic value. Canadian Prime Minister Justin Trudeau criticized this perspective in May, deeming it flawed and “dangerous to our democracy and economy.”
© Thomson Reuters 2023
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
