Online News Act

Royal assent received

C-18
June 22, 2023 (2 years ago)
Canadian Federal
Pablo Rodriguez
Independent
House of Commons
Royal assent
6 Votes
Full Title: An Act respecting online communications platforms that make news content available to persons in Canada
Social Issues
Technology and Innovation

Summary

The Online News Act creates a regulatory framework for digital news intermediaries in Canada, aiming to promote fairness and sustainability in the digital news marketplace. This Act outlines how digital platforms should negotiate with news businesses, define eligible news outlets, and create mechanisms for dispute resolution to address imbalances in bargaining power between large tech companies and smaller news organizations.

What it means for you

Various groups may be impacted by the Act:

  • Local and Independent News Outlets: Stand to benefit from fairer negotiations and potential financial support.
  • Digital News Intermediaries: They may face new regulations and costs associated with compliance.
  • Consumers: May experience higher costs for news services or reduced offerings if intermediaries pass additional expenses to them.
  • Indigenous and Minority News Sources: Can gain more visibility and support.

Expenses

The Act may lead to significant spending and expenses for both the government and citizens:

  • For News Businesses: Compliance with regulations could incur additional costs, especially smaller outlets that may struggle with administrative burdens and legal fees.
  • For Digital Intermediaries: They may face operational costs related to implementing compliance measures, potential fines for violations, and additional administrative costs.
  • For Consumers: Could see increased fees for accessing news content if intermediaries transfer their costs, or face reduced services as platforms may opt to limit offerings to cut expenses.

Proponents view

Supporters argue that the Act is crucial for:

  • Addressing power imbalances in negotiations, allowing smaller news organizations to gain fair compensation for their content.
  • Protecting journalistic independence by enforcing transparency and accountability in the dealings between digital news intermediaries and news sources.
  • Fostering a healthier digital news ecosystem that can better serve diverse audiences, including Indigenous and minority groups.

Opponents view

Critics raise concerns that:

  • The regulations might be overly burdensome for smaller news organizations, potentially deterring innovation and stifling competition due to increased compliance costs.
  • The Act might create inconsistencies in enforcement, leading to a lack of accountability in the negotiating process, especially if lesser penalties are imposed on larger players.
  • Overregulation may hinder the agile response needed in a rapidly evolving digital landscape, creating inefficiencies and limiting collaboration among news entities.

Overall, while the Online News Act aims to create a more equitable environment for news production and distribution, its impact on financial sustainability and operational flexibility remains a contentious topic among stakeholders.

Original Bill

Votes

Vote 244

That the bill be now read a third time and do pass.

For (65%)
Against (35%)
Vote 111

That the motion be amended by deleting all the words after the word '“That” and substituting the following: “Bill C-18, An Act respecting online communications platforms that make news content available to persons in Canada, be not now read a second time but that the order be discharged, the bill withdrawn, and the subject matter thereof referred to the Standing Committee on Canadian Heritage.”.

For (36%)
Against (64%)
Vote 405

That the motion be amended by deleting all the words after the word “That” and substituting the following: “the order for the consideration of the amendments made by the Senate to Bill C-18, An Act respecting online communications platforms that make news content available to persons in Canada, be discharged and the bill withdrawn.”.

For (35%)
Against (64%)
Paired (1%)
Vote 406

That a message be sent to the Senate to acquaint Their Honours that, in relation to Bill C-18, An Act respecting online communications platforms that make news content available to persons in Canada, the House: agrees with amendments 1, 2, 3, 6, 7, 8, 9 and 10 made by the Senate; and respectfully disagrees with amendments 4 and 5 because they undermine the objectives of the bill, which focus on encouraging fair deals that reflect what each party contributes to, and how each party benefits from, the making available of news online, and narrow the scope of the bargaining process and the key factors guiding final offer arbitration decisions.

For (64%)
Against (35%)
Paired (1%)
Vote 390

That, in relation to Bill C-18, An Act respecting online communications platforms that make news content available to persons in Canada, not more than five further hours shall be allotted to the stage of consideration of Senate amendments to the bill; and That, at the expiry of the five hours provided for the consideration of the said stage of the said bill, any proceedings before the House shall be interrupted, if required for the purpose of this order, and, in turn, every question necessary for the disposal of the said stage of the bill shall be put forthwith and successively, without further debate or amendment.

For (53%)
Against (45%)
Paired (1%)
Vote 112

That the bill be now read a second time and referred to the Standing Committee on Canadian Heritage.

For (64%)
Against (36%)