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Facebook and Instagram will impose restrictions on news access in Canada, following the passage of a controversial online news bill in parliament. The legislation mandates that major platforms compensate news publishers for content shared on their sites. Both Meta (formerly Facebook) and Google have previously conducted tests limiting news access for certain Canadian users. Similar action was taken in Australia in 2021 due to a comparable law.
The Canadian Online News Act, which received Senate approval on Thursday, establishes regulations that require platforms like Meta and Google to engage in commercial negotiations and remunerate news organizations for their content. Meta criticized the law, describing it as "fundamentally flawed legislation that ignores the realities of how our platforms work." The company announced that news availability on Facebook and Instagram would be terminated for all Canadian users prior to the bill's implementation.
A spokesperson from Meta informed Reuters that a legislative framework forcing payment for links or content not posted by the platforms and unrelated to the primary reasons users engage with their services is neither sustainable nor viable. The company clarified that the changes in news availability would not affect other services for Canadian users. Google deemed the bill "unworkable" in its present form and expressed its intent to collaborate with the government to find a mutually agreeable solution.
The federal government argues that the online news bill is necessary to promote fairness in the Canadian digital news market and enable struggling news organizations to receive fair compensation for news and links shared on these platforms. According to an analysis by an independent parliamentary budget watchdog, news businesses could potentially receive around C$329m ($250m; £196m) annually from digital platforms.
Canadian Heritage Minister Pablo Rodriguez denounced the tests conducted by tech platforms as "unacceptable" and a "threat." Facebook previously reinstated news content for Australian users after reaching agreements with the government. Rodriguez's office confirmed meetings with both Google and Facebook this week, with further discussions planned, but reiterated the government's commitment to implementing the bill.
In response, Rodriguez stated in a release, "If the government can't stand up for Canadians against tech giants, who will?" Media industry groups welcomed the bill's passage, considering it a step toward achieving market fairness. Paul Deegan, president and CEO of News Media Canada, a media industry group, emphasized the significance of real journalism created by journalists and its vital role in democracy, underscoring the cost involved. The Online News Act is expected to become effective in Canada within six months.