Google’s Controversial Move: Blocking News Access Across Search and More in Canada
Google has recently announced its decision to pull news from Google Search and other products in Canada. This move comes as a response to the legislation that would require the tech giant to share revenues with news publishers. The Online News Act, which received royal assent earlier this month, aims to force Google and other platforms to enter commercial deals with news publishers and provide them with a fair share of revenue. However, Google’s decision to block news content has raised concerns about the impact on publishers and the accessibility of news for Canadians.
According to a blog post by Google, the company has informed the Canadian government that it will remove links to Canadian news from its Search, News, and Discover products once the law takes effect. This means that users in Canada may no longer have access to news content through Google’s platforms. Additionally, Google will no longer offer its Google News Showcase product in Canada due to the implications of the legislation.
The legislation, known as C-18, would require platforms like Google to reach commercial agreements with news publishers to compensate them for the use of their content. While some publishers, like Postmedia, support the legislation, Google has expressed concerns about the financial expectations and regulatory issues associated with the law. The company has requested clarity on the financial obligations and a viable path to exemption based on its existing programs and commercial agreements with publishers. However, Google claims that the government has not provided sufficient certainty on these matters.
The decision by Google to block news content in Canada has significant implications for news publishers. Under the Online News Act, Google and Meta (Facebook’s parent company) could end up funding more than 30% of newsroom costs, contributing nearly $330 million annually. However, if Google and Meta remove news from their platforms, they will no longer be subject to the legislation, and publishers will lose out on additional funding. Furthermore, existing deals between Google and news publishers will be terminated, resulting in the loss of an undisclosed sum of money.
Google has signed deals with various news publishers in Canada, covering 150 outlets through its Google News Showcase program. The program involves licensing content from news outlets, though the financial details of these deals have not been disclosed. With the removal of news content, publishers not only miss out on potential revenue but also face the challenge of reaching their audience through alternative means.
While Google has engaged in discussions with the Canadian government, Meta (Facebook’s parent company) has taken a different approach. A spokesperson for Meta stated that the company is not negotiating with the government and intends to block news content on its Facebook and Instagram platforms. This stance further adds to the concerns surrounding the accessibility of news for Canadians.
It is worth noting that the legislation in Canada is modeled after Australia’s News Bargaining Code, which initially exempted both Meta and Google. However, the companies eventually reached revenue-sharing agreements with publishers, rendering the code unnecessary. In Canada, platforms will automatically be subject to the legislation, and companies with existing commercial deals can apply for exemption if they meet certain criteria set by the government.
Google’s decision to block news content in Canada is driven by the lack of certainty regarding financial expectations and regulatory issues. The company has expressed concerns about forced payment for links and uncapped financial liability, which could have significant implications for its operations. Without specific assurances from the government, Google feels that the regulatory process may not adequately address these structural issues.
The timeline for the blocking of news content on Google and Meta platforms has not been announced. However, the legislation stipulates that it must come into force within six months. The impact of this decision on news publishers and Canadians’ access to news remains uncertain.
The blocking of news content by Google and Meta raises concerns about the accessibility of news for Canadians. While the legislation aims to provide fair compensation for news publishers, the unintended consequence of blocking news content may limit the availability of diverse news sources through popular platforms. This could potentially have long-term effects on the news industry and the public’s ability to access reliable information.
It is essential for all stakeholders, including the Canadian government, news publishers, and tech companies, to find a balanced solution that ensures fair compensation for news publishers while maintaining the accessibility of news content for Canadians. The future of news in Canada depends on collaborative efforts and innovative approaches that address the needs of both publishers and readers.
Google’s decision to block news content in Canada in response to the Online News Act has raised concerns about the accessibility of news for Canadians. While the legislation aims to ensure fair compensation for news publishers, the unintended consequence may be a limitation on the availability of news content through popular platforms. The impact of this decision on news publishers and the public’s ability to access reliable information remains uncertain. It is crucial for all stakeholders to work together to find a balanced solution that supports the news industry while maintaining the accessibility of news for Canadians.
First reported by The National Post.