Meta Platforms initiated the process of blocking access to news on both Facebook and Instagram for all users in Canada, citing its response to a recently passed law that mandates internet giants to pay news publishers for their content.
The Canadian government swiftly condemned this move, labeling it “irresponsible” and drawing international attention to the unfolding situation.
The Online News Act, passed by the Canadian parliament, requires major platforms like Meta and Google’s parent company, Alphabet, to engage in commercial negotiations with Canadian news publishers for the use of their content. Rachel Curran, Meta’s head of public policy in Canada, defended the decision, stating that users of their platforms primarily seek entertainment content rather than news.
Canadian Heritage Minister Pascale St-Onge, responsible for handling the government’s interactions with Meta, expressed dissatisfaction with the company’s stance, accusing them of prioritizing their interests over supporting quality local news. She emphasized the government’s commitment to standing firm against tech giants in order to safeguard Canadian interests.
CBC, Canada’s public broadcast network, echoed the government’s sentiment, denouncing Meta’s action as an abuse of market power. The Canadian law follows in the footsteps of Australia’s groundbreaking legislation in 2021, which led to Google and Facebook threatening service curtailment but ultimately resulted in agreements with Australian media companies after amendments were made to the legislation.
While Google has argued that the Canadian law is broader than those implemented in Australia and Europe, as it places a value on news story links displayed in search results, Meta has claimed that news links constitute less than 3% of content on users’ feeds and, therefore, lack significant economic value.
Canadian Prime Minister Justin Trudeau previously dismissed this argument, considering it detrimental to democracy and the economy. The situation remains tense as the Canadian government continues to defend its law, highlighting the ongoing global trend of holding tech companies accountable for their use of news content.