From Making Web Giants Pay to Making Taxpayers Pay: Government Announces Plan to Kill the CRTC's Online Streaming Ruling

Ottawa announces policy re-direction overriding Online Streaming Act

Ottawa announced a major policy re-direction Wednesday morning that will “adjust the implementation” of the Online Streaming Act, while asking the CRTC to review its decision imposing further Canadian content spending requirements on foreign streamers. As part of its efforts to modernize the Broadcasting Act, the commission unveiled changes to the CPE (Canadian Programming Expenditures) requirement for online streaming services earning more than…

From Making Web Giants Pay to Making Taxpayers Pay: Government Announces Plan to Kill the CRTC's Online Streaming Ruling

The government today killed the centrepiece of its broadcasting policy, announcing it plans to issue a new policy direction to override the CRTC’s Online Streaming Act decision on Internet streaming service contributions less than two weeks after the Commission released it. The reversal, which undoubtedly reflects the harm the decision caused as part of trade negotiations with the United States, comes at a cost to taxpayers; the government promised a $600 million payout to the audio and audiovisual sectors to cover anticipated lost revenues. Canadian Culture Minister Marc Miller framed the move entirely in terms of affordability and consumer choice, cautioning that the Commission’s requirements could be borne by Canadian consumers through higher prices. That risk has been obvious since the government introduced the legislation years ago. In fact, it is close to word-for-word for the case I made before the Commission in December 2023 that consumer interests, competition, and affordability belonged at the centre of broadcast and Internet policy.