Meta threatens to restrict News in Canada if forced to pay publishers

Meta threatens to restrict News in Canada if forced to pay publishers

after the loss Similar fight in AustraliaMeta continues to resist efforts by a growing number of countries to require the social media company to pay for linked news on platforms like Facebook and Instagram. On Saturday, Meta announced that it would end news access for Canadian Facebook and Instagram users if the country Online news law passed, Reuters reported.

A spokesperson told Meta Ars that the online advertising giant maintains that laws like the proposed Canadian legislation “distort” the relationship between its platforms and news publishers. According to Meta spokesperson Lisa Laventure, the company position in Canada is the same Protest against competition law and preserve journalism in the United States (JCPA).

“A legislative framework that forces us to pay for links or content that we don’t publish, which is not the reason the vast majority of people use our platforms, is neither sustainable nor practical,” said Laventure.

Canadian government Describe Online news law acts as digital platforms to support the “production of reliable news and information”. It is designed to help reverse the collapse in news publisher revenue, which News Media Canada reported It decreased by billions between 2011 and 2020 and has continued to decline during the pandemic. If the law is passed, it should ensure that online advertising revenue is shared between news publishers and platforms, and establish a framework for platforms to negotiate with Canadian news organizations or — as a “last resort” — face “compulsory arbitration” when deals are no longer reachable.

Right now, Meta estimates that links to news articles make up less than 3 percent of the news feed and are “not an attraction for our users” or “a significant source of revenue,” a Meta spokesperson told Ars.

Social media users in Canada will learn more about how the move affects their access to news once the law is passed and Canada updates its guidance on how news organizations can apply for compensation for links shared on digital platforms. Meta said it will “keep Canadians informed of any changes to our services.”

Mita has already given up on this fight in Australia

Proposed laws such as that of Canada and the United States follow in the footsteps of that of Australia Bargaining law for the news media Enacted in 2021. When Australia first passed the law, Meta temporarily suspended access to news by come to an agreement that I mentioned wired It resulted in at least 11 content deals concluded between Facebook and news organizations.

Meta did not respond to Ars’ request for comment on how many content deals it currently has in Australia or how the proposed Canadian law might be amended to create a “sustainable” or “workable” solution that Meta appears to be seeking.

According to Wired, Australian law doesn’t work perfectly but it has led many tech companies to bargain privately with news organizations to avoid arbitrations that could cost more than content deals. No one is sure how lucrative these content deals will be for publishers. Media organizations told Wired last year that for some, the payments cover the salaries of two working journalists, but for others, like News Corp, “technology platform deals contribute more than $100 million to annual revenue.”

It’s unclear if rejecting the Meta would lead to any changes to the proposed legislation in Canada, however CBC reported that Canadian Heritage Minister Pablo Rodriguez criticized Meta for threatening to cut off access to the news.

“Once again, it’s disappointing to see that Facebook has resorted to threats rather than working with the Canadian government in good faith,” Rodriguez said, adding that “this tactic didn’t work in Australia, and it won’t work here.”

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