Meta threatens to restrict news in Canada if it’s forced to pay publishers

Meta threatens to restrict Canadian news if forced to pay publishers

After losing a similar battle in Australia, Meta continues to resist a growing number of countries requiring social media companies to pay for news linked to platforms such as Facebook and Instagram. On Saturday, Meta announced that it would terminate his access to news for her Facebook and Instagram users in Canada if Canada’s online news law was passed, Reuters reported.

A spokesperson for Meta told Ars that the online advertising giant claims that legislation like Canada’s proposed bill “misrepresents” its platform’s relationship with news publishers. According to Meta spokeswoman Lisa Laventure, the company’s stance in Canada is Protest against US Journalism Competition and Preservation Act (JCPA).

“A legal framework that forces us to pay for links or content we don’t post is not the reason the majority of people use our platform. It is neither sustainable nor practical,” Laventure said. has said.

The Canadian government describes the Online News Act as positioning digital platforms to support “the production of credible news and information.” It is designed to help reverse the collapse of news media revenues, which have slumped billions of dollars from 2011 to 2020 and continue to decline due to the pandemic, according to a report by News Media Canada. If passed, the law would ensure the sharing of online advertising revenues between news publishers and platforms, and set a framework for platforms to negotiate with Canadian news organizations. Otherwise, “as a last resort”, you will face “mandatory arbitration” whenever a transaction fails. reached.

Currently, Meta estimates that links to news articles make up less than 3% of news feeds and are either “unappealing to users” or a “significant source of revenue.”

Canadian social media users have expressed concern over how the move will affect news access and how the law will be passed and how Canada will allow news organizations to apply for compensation for links shared on digital platforms. We will know more when we update our guidance. Meta says it will “continue to notify Canadians of any changes to our service.”

Meta has already given up on this fight in Australia

Proposed legislation such as the JCPA in Canada and the United States is following in the footsteps of Australia’s News Media Bargaining Code, which will be enacted in 2021. Facebook and news outlets.

How many content deals does Meta currently have in Australia or how Canada’s proposed legislation to create a ‘sustainable’ or ‘viable’ solution that Meta seems to be seeking? It did not respond to Ars’ request for comment as to whether it could be fixed.

Wired says Australian law isn’t fully operational, but many tech companies have negotiated privately with news outlets to avoid arbitration processes that can cost more than content deals. Who knows how lucrative these content deals really are for publishers. Media organizations told Wired last year that while some use the salaries of several of their staff journalists to pay the bills, organizations like News Corp say, It contributes more than $100 million in revenue.”

It’s unclear if Meta’s backlash will result in any changes to proposed legislation in Canada, but the CBC reported that Canadian Heritage Minister Pablo Rodriguez criticized Meta for threatening to cut off access to the news. bottom.

“I am again disappointed that Facebook resorted to intimidation instead of cooperating in good faith with the Canadian government,” Rodriguez said. I wouldn’t,” he added.



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