The Canadian Radio-television and Telecommunications Commission (CRTC) has granted Google a five-year exemption from the Online News Act, with the stipulation that the tech giant must pay $100 million to Canadian news publishers within 60 days. This decision marks a significant shift in how tech companies engage with news content in Canada.
As part of the exemption, Google agreed to make this annual payment, which will be adjusted for inflation. The aim is to avoid the need for mandatory agreements with news publishers to repost their content, as outlined in the Online News Act. The CRTC’s decision provides Google with a temporary reprieve while ensuring that Canadian journalism benefits from the platform’s widespread reach.
The funds will be managed and distributed by the Canadian Journalism Collective (CJC), which is responsible for ensuring that eligible news outlets across Canada receive their fair share. The CRTC emphasized that Google had met the necessary criteria for the exemption, but also recommended that Google allow more news organizations to join the CJC in order to broaden the impact of the funds.
In its official statement, the CRTC declared: “After reviewing the public record, the CRTC is granting a five-year exemption from the act to Google. Google must pay $100 million to the CJC within 60 days of this decision. The CJC will then distribute the funds equitably to eligible Canadian news organizations.”
News Media Canada, which represents hundreds of Canadian publishers, expressed strong support for the CRTC’s decision. Paul Deegan, President and CEO of News Media Canada, hailed the decision as a crucial step in addressing the power imbalance between digital platforms and traditional publishers. He commented, “The Online News Act is a world-leading regulatory framework that addresses the significant bargaining power imbalance between platforms and publishers when it comes to content licensing.”
Deegan also called on Meta, the parent company of Facebook and Instagram, to follow Google’s example by supporting Canadian journalism through similar initiatives. He stated, “We now call on Meta, whose platforms are more valuable with real news produced by real journalists, to follow Google’s socially responsible lead.”
In July 2024, the Canadian Journalism Collective submitted its governance structure to the CRTC, outlining how the $100 million in funds would be equitably distributed among Canadian news organizations. This move is seen as a positive step towards ensuring that journalism in Canada remains vibrant and sustainable in the face of growing challenges posed by digital platforms.
