Google has indicated a possibility of prohibiting access to news websites on its search engine in Canada starting this December.
The tech behemoth’s announcement emerges as a countermeasure to a new Canadian law that obligates substantial digital companies to financially compensate media outlets for sharing their content.
This budding discord in the digital sphere can be traced back to the fresh legislative advancements in Canada, where Bill C-18, colloquially known as the 'Digital News Content Act,' is poised to compel mammoth digital platforms like Google to forge equitable commercial agreements with media entities concerning the content disseminated on their platforms. In the event of non-compliance or failed negotiations, the legislation propels the entities towards federal arbitration.
However, Google, in a 12-page document released last Friday, delineated its concerns and objections, stating that the law "subjects Google to potential unlimited financial liability simply for facilitating access to news websites and directing valuable traffic to publishers."
In light of these stipulations and absent amendments before the law comes into effect this December, Google might resolve to restrict access to news websites in Canada.
The scenario unfolds in the shadow of an earlier standoff, wherein Meta, the parent company of social media platforms Facebook and Instagram, pre-emptively blocked its users from viewing or sharing news article links in Canada, thereby escalating tensions between digital platforms and regulatory authorities before the law even formally activated its dominion.
Concurrently, the aforementioned document from Google underlines that "as a result, a timing issue remains, potentially placing Google in a position where it might have to suspend links to news content during the exemption acquisition process."
Earlier on the same day, Canada's Heritage Minister, Pascal Saint-Onge, conveyed her "optimism" about persuading Google of the law's merits, which is confronting "significant resistance" from digital magnates, during a gathering of news agency officials in Toronto.
“Google has been engaged and cooperative throughout the process, whereas Facebook has blocked news in Canada even though the law has not yet come into effect," she said.
Intriguingly, the new Canadian law, inspired by Australia's actions in 2021, currently targets Google and Meta, envisaging to enable media companies to receive up to 230 million Canadian dollars (158 million Euros), according to Ottawa.
Thus, the federal government aims to decelerate the erosion of journalism in Canada in favor of giant digital companies, which have seen a shift of advertising revenues in recent years.
This unfolding narrative establishes a crucial checkpoint in the perpetual debate surrounding digital platforms and their role in disseminating journalistic content, unveiling a battlefield where legislation, economic sustainability of the journalism industry, and the open-access principle of the internet collide.
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