Canada Proposes Google and Facebook Pay Media – 10/14/2022

Legislative power in Canada Study a bill from the government of that country so that companies like it The Google also Facebook Paying the media to use their content on their digital platforms.

Canadian media reported on Wednesday that the legislative project was inspired by a similar law passed in Australia last year that would require internet giants to reach commercial agreements with companies that create media content to compensate for the use of their material.

If the bill is approved, the media will be able to collectively negotiate trade agreements, which will allow them to act “on fairer terms” against the tech giants.

but if the agreements are unreasonable, in accordance with the requirements set forth in the bill, the Canadian Television and Telecommunications Commission (CRTC for its English acronym) will have the power to levy compensation that Internet companies have to pay.

The Canadian government justified the bill’s introduction due to the crisis in the information sector since internet giants grabbed a large portion of content distribution and grabbed ads.

Canadian Heritage Minister Pablo Rodriguez noted during the introduction of the bill last April that since 2008, more than 450 media outlets have closed in Canada and that in the past two years alone, 60 outlets have disappeared.

In 2020, online advertising revenue was 9.7 billion Canadian dollars (7.77 billion US dollars). 80% of this amount went to the alphabet s Goalthe parent companies of Google and Facebook, respectively.

Rodriguez emphasized that advertising revenue has shifted from media outlets to these large platforms “which benefit from the distribution of informational content.”