Facebook and Instagram Threaten to Pull the Plug on News in Canada
Meta and Google are on a collision course with lawmakers over the Online News Act, which would force them to pay publishers for content.
Meta puffed out its chest over the weekend, threatening to block links to news sites in Canada from its social networks if the country moves forward with its “Online News Act,” which would force internet companies to pay publishers for their content. The statement follows similar ultimatums from Google over the bill, officially called C-18. Now, Big Tech looks like it’s on a collision course with Canadian lawmakers over the fate of online news in the US’ Northern neighbor.
In a statement Monday, a Meta spokesperson told Gizmodo the bill, as currently written, would force the company into an unworkable situation.
“If the Online News Act passes in its current form, we will end the availability of news content on Facebook and Instagram for people in Canada,” the Meta spokesperson said in an email. “A legislative framework that compels us to pay for links or content that we do not post, and which are not the reason the vast majority of people use our platforms, is neither sustainable nor workable.”
What’s in the Online News Act, and why is Big Tech mad about it?
Modeled after similar Australian legislation, C-18 would require Meta and other internet companies pay news publishers when they reproduce their content, i.e. when a link appears on their sites. Companies that try to wiggle free of paying publishers for their links could open themselves up to binding arbitration. If passed, Canada’s Office of the Parliamentary estimates Google and Facebook combined would wind up paying around CA$329.2 million (roughly $242.99 million USD) to news publishers per year.
Though supporters like Canadian Heritage Minister Pablo Rodriguez say the legislation is necessary to help a media industry devastated by social media, tech giants have derided the bill as an unnecessary “link tax.” Facebook followed through on its threat to block news links in Australia in 2021.
“All we’re asking Facebook to do is negotiate fair deals with news outlets when they profit from their work,” Rodriguez told Reuters Monday. “This is part of a disappointing trend this week that tech giants would rather pull news than pay their fair share.” Read More…
