A Canadian regulatory body announced on Wednesday its intention to implement a fee on Google, aimed at recouping costs associated with enforcing legislation that mandates significant internet platforms to compensate for news content utilized on their sites.
This new levy comes amid escalating tensions between Canada and the United States concerning trade, border security, and a digital services tax affecting American tech firms.
The Canadian Radio-television and Telecommunications Commission (CRTC) elaborated that the bulk of its operations are financed through fees imposed on the companies it oversees. The cost recovery mechanism linked to the Online News Act is set to take effect on April 1. The fee is expected to fluctuate annually without a defined cap.
Following a series of public consultations, the CRTC finalized the regulations despite opposition from Google, which argued that charging one entity for all incurred costs was “not a rational approach.”
As part of a global movement to hold major internet companies accountable for news funding, Canada enacted this law last year in response to concerns from the media sector about tech giants disadvantaging news organizations in the online advertising realm.
Only Google, under its parent company Alphabet, and Meta, the owner of Facebook, have been categorized as large enough entities to necessitate payments to news outlets.
After extensive negotiations with the Canadian government, Google agreed to a deal with publishers to pay CAD 100 million annually in order to retain news stories in its search results. In contrast, Meta chose to restrict access to news content on its Facebook and Instagram platforms in Canada to circumvent financial obligations.
In its feedback to the CRTC, Google noted the new regulation introduces what it views as an unjust additional regulatory obligation on a firm that has actively contributed to the country’s news landscape.
In a policy update shared on its website, the CRTC indicated that the framework of the Online News Act allows for cost recovery to be imposed solely on the digital platforms specified by the legislation.
Google refrained from providing further comments beyond its input during the CRTC’s consultation process.
© Thomson Reuters 2025
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
