Last year, the Covid-19 crisis accelerated issues for the Canadian news industry, strengthening the argument for regulatory intervention. According to a recent report from the Canadian Media Concentration Research Project, their share of the domestic digital ad market was 80% in 2019.Ĭanadian publishers believe Google and Facebook benefit significantly from news content and should therefore contribute to the cost of newsgathering.

Google and Facebook, the duopoly of the digital advertising market, have taken much of the blame. Print circulations and advertising sales have plummeted, and digital revenues have so far failed to compensate. Click here to subscribe to Press Gazette’s must-read newsletters, Future of Media and Future of Media USĬanada’s news businesses, like their peers across the world, have suffered significant financial setbacks in recent years. Under this estimation – which is based on figures that have leaked from Australian deals – Google would cover 20% of editorial costs and Facebook 10%.Ī senior and well-placed industry source told Press Gazette that, as a result of the incoming legislation from Ottawa, Canadian publishers are anticipating annual payments worth a total of CA$100-150m from Google and Facebook (equivalent to US$78-117m or £59-88m). Ultimately, Canada’s publishers expect the tech giants will be persuaded to pay the equivalent of 30% of their annual newsroom costs. One senior industry source told Press Gazette that Google, perhaps in anticipation of Ottawa’s crackdown, has already started offering more generous payments for signing up to News Showcase. There is some evidence to suggest that the threat of this legislation is already paying off for Canadian publishers. Canadian publishers will expect to be offered similar terms and will likely be paid more than news companies in other countries. If and when the law passes, Canadian news publishers will expect to start striking valuable, long-term deals with the technology companies.Ī recent Press Gazette investigation found evidence that Australian publishers are being offered more generous deals to join Google’s News Showcase scheme than their international peers. It will grant collective bargaining powers to Canadian publishers, and will threaten platforms with compulsory arbitration if they cannot agree deals with news companies. Like Australia, Canada will seek to compel Google and Facebook to pay news publishers for the use of their content. MaBritish journalist David Walmsley appointed Canada Globe and Mail editor-in-chief

Change address canada revenue agency