Internet platforms such as Google and Facebook may be required to pay news publishers for their content, according to details of a proposed Canadian legislation introduced Tuesday. Soon, the move could echo a groundbreaking Australian law passed last year.
Under the Online News Act or House Bill C-18, digital platforms that have a trading imbalance based on metrics such as a company’s global revenue, an regulators.
In the event that the agreements do not meet the detailed criteria, the platforms would be required to undergo mandatory negotiation and final offer arbitration under the supervision of the Canadian Radio Television and Telecommunications regulator.
The proposed law would cover newspapers and news magazines with a digital presence, giving permission to trade individually or in groups.
Image: Obi Pixel6Propix/Unsplash
Canada’s news media industry has been pushing Facebook, asking the government for more regulation of tech companies. The effort is an attempt to recoup the financial losses it has suffered in recent years in which Google and Facebook have steadily gained greater advertising market shares.
“Canada’s news industry is in crisis,” Canadian Heritage Minister Pablo Rodriguez told a press conference, introducing the bill introduced by the liberal government of Prime Minister Justin Trudeau.
Since 2008, more than 450 news outlets in the country have closed their doors, including 64 in the last two years.
Google and Facebook: ‘investment’ for a limited time
Both con platforms have agreed to invest around C$1 billion (about US$794 million) each over three years in initiatives around the world.
In holding discussions with the companies, Rodriguez said that “They were open to regulations… those conversations were very frank, honest and friendly.”
Image: Koshiro K/Shutterstock
In separate statements, Facebook and Google said they were reviewing the proposed legislation. “We are carefully reviewing the legislation to understand its implications.” We fully support ensuring that Canadians have access to reliable news and look forward to working with the government to strengthen the Canadian news industry,” Google Canada spokeswoman Lauren Skelly said. Engadget.
with information from Reuters and Engadget
