Meta, the parent company of Facebook and Instagram, has made a significant move by initiating the process to terminate access to news content on its platforms for all users in Canada.
The decision came as a response to the Online News Act recently passed by the Canadian parliament, which mandates internet giants like Meta and Google to negotiate commercial agreements with Canadian news publishers for the use of their content.
The Online News Act is part of a broader global trend seeking to make tech firms pay for news content provided by publishers. In June, both Meta and Google had already warned that they would block access to news articles on their platforms in Canada as a protest against the legislation.
Rachel Curran, Meta's head of public policy in Canada, defended the company's stance, stating, "News outlets voluntarily share content on Facebook and Instagram to expand their audiences and help their bottom line. In contrast, we know the people using our platforms don't come to us for news."
However, the Canadian government was quick to criticize Meta's decision as "irresponsible," with Canadian Heritage Minister Pascale St-Onge expressing concerns that the move would block users' access to "good quality and local news" instead of fairly compensating news organizations. St-Onge emphasized the government's commitment to stand up for Canadians against tech giants, calling on Meta to reconsider their actions.
The Canadian law bears similarities to Australia's ground-breaking legislation passed in 2021, which had sparked similar threats from Google and Facebook to curtail their services. Ultimately, both companies reached agreements with Australian media firms after amendments were made to the legislation.
While Google has also expressed concerns over the Canadian law, arguing that it is broader than the ones in Australia and Europe, Meta claimed that links to news articles make up less than 3% of content on its users' feed and that news lacks significant economic value.
Canadian Prime Minister Justin Trudeau, who previously criticized Meta's argument as flawed and dangerous to democracy and the economy, has reaffirmed the government's determination to protect the interests of Canadian news publishers and their access to a fair payment from tech giants.