(OTTAWA) Prime Minister Justin Trudeau shows no interest in dealing with Meta and Google over proposed online news legislation that would make tech giants pay for journalistic content created by others that helps these companies generate income.
Google says it wants to compromise with the Liberal government on Bill C-18 that would force tech giants to pay news media for links to news content.
But Mr. Trudeau says the bullying tactics of Meta and Google won’t work with his government, which he says is making sure those companies don’t weaken Canadian democracy by threatening its national media industry.
Meta announced last week that it will test blocking access to certain news for certain Canadian users of its Instagram and Facebook social media platforms – a move it is prepared to make permanent if C-18 is passed more later this month.
Google conducted a similar test earlier this year, limiting access for about 4% of its Canadian users to news on its search engine.
“The fact that these internet giants would rather cut off Canadians’ access to local news than pay their fair share is a real problem. Now they are resorting to bullying tactics to try to get what they want. It won’t work,” Mr. Trudeau said at a press conference.
“We will continue to ensure that these incredibly profitable companies help strengthen our democracy, not weaken it,” he added.
At a Senate committee, where the bill is currently being considered, news media executives said they could lose millions of dollars if their content is blocked by Google and Meta.
The Online News Bill has already passed the House of Commons and could be approved by the Senate as early as this month.
If C-18 becomes law, the two companies would be required to enter into indemnification agreements with news organizations for news content that is shared on their sites.
According to senators studying the bill in the transport and communications committee, up to 700 news organizations in Canada will likely benefit from the new legislative framework.
Parliamentary Budget Officer Yves Giroux, however, told the committee on Wednesday that the legislation was not well designed for small media companies. These, he believes, do not have the same resources as the traditional media, and they might be intimidated to negotiate with the powerful companies of Silicon Valley.
Meta and Google have both argued that news doesn’t generate much revenue for their businesses. They plan to completely end the broadcast of local news on their platforms.
Meta said news accounts for about 3% of content shared on its Facebook platform, while Google claimed less than 2% of searches were for news, pointing out that people care more about recipes than articles.
Still, each company has proposed amendments to the Senate, including changes to the section of the bill that deals with arbitration and adjustments that would create more certainty about which news companies they should enter into agreements with.
For example, Google argued that the way the bill is currently drafted, it would have to enter into agreements with community and student broadcasters, even if they do not produce news content and have no obligation to comply a code of ethics.
A Google spokesperson, Shay Purdy, said in a statement Wednesday that the company has offered “reasonable and pragmatic solutions” that would increase the company’s investment in Canadian news.
“We are very mindful of the path we are on and are doing everything we can to engage constructively and avoid a negative outcome for Canadians. »
Heritage Minister Pablo Rodriguez said the bill was already balanced and Meta and Google had his phone number if they wanted to talk.
“[C-18] is about the future of our news industry in our country,” Rodriguez said in the Senate on Wednesday. It is about supporting our democracy, because our democracy, any democracy, needs a free, independent and thriving press. »
Meta declined to comment on Prime Minister Trudeau’s remarks.
