Global Courant
Facebook says a new Canadian law forcing social media giant to pay publishers for news will come at a price.
Meta Platforms Inc has announced it will end access to news on Facebook and Instagram for all users in Canada after the Canadian Parliament passes legislation designed to force internet giants to pay publishers.
The legislation, known as the Online News Act, was approved by the Senate on Thursday and is expected to be formally passed soon.
“Today we confirm that the availability of news on Facebook and Instagram to all users in Canada will be terminated before the Online News Act takes effect,” Meta said in a statement afterwards.
The law outlines rules to force platforms such as Facebook and Alphabet’s Google to make commercial deals and pay news publishers for their content, a move similar to a landmark law passed in Australia in 2021.
However, US tech companies have said the proposals are unsustainable for their companies. Google has said Canadian law is stricter than Australia and Europe, and has proposed changes to address concerns.
The federal government of Canada has so far resisted suggestions to make changes. Earlier this month, Prime Minister Justin Trudeau said Meta and Google used “bullying tactics” while campaigning against the legislation.
Heritage Minister Pablo Rodriguez, who introduced the bill last year, said on Thursday the government will “start a regulatory and implementation process” after the legislation comes into effect.
“If the government can’t stand up for Canadians against tech giants, who can?” Rodriguez said in a statement.
A Google spokesperson, Shay Purdy, said the search engine giant has “proposed thoughtful and pragmatic solutions” but that the bill remains “unworkable.”
“We continue to urgently look to work with the government on a path forward,” said Purdy.
The heritage ministry has met with Facebook and Google this week and looks forward to further discussions, a government spokesman said.
Google confirmed that senior business executives would meet with Rodriguez later on Thursday.
The legislation was proposed after complaints from the Canadian media industry, which wants tighter regulation of technology companies to prevent them from displacing news companies from the online advertising market.
“Canadian parliament should be applauded for standing up to Big Tech by requiring them to compensate news publishers for the use of their articles,” Danielle Coffey, president of global industry group News Media Alliance, said in response to the bill’s passage. in the Senate.
“We are encouraged by the increasing recognition of the need for legal action to ensure just compensation, both in Canada and abroad, and we hope the United States follows suit,” said Coffey.
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