Corus Entertainment has announced that it will suspend advertising on Meta platforms, such as Facebook and Instagram, due to the company’s response to the Online News Act, also known as Bill C-18. This decision comes as part of a series of moves by both Meta and Google to block Canadian news content on their platforms in response to the legislation. Bill C-18 is an attempt to support the media sector, which has experienced a significant loss in advertising revenue to online tech giants over the years.
The Canadian Association of Broadcasters (CAB) supports the advertising boycotts as a way for media companies to stand up against big tech. They believe that the future of journalism in Canada is at stake, as a large portion of advertising revenue is being funneled out of the Canadian economy. CAB president Kevin Desjardins argues that without these advertising dollars, there won’t be enough resources to support news organizations in the future.
The bill received royal assent and is expected to take effect at the end of the year. Google has stated that it will block Canadian news content once the legislation is in effect, while Meta has already started testing methods to end the sharing of Canadian news on its platforms. Corus, the parent company of Global News and other Canadian entertainment brands, has decided to suspend advertising on Meta platforms and is encouraging its partners and clients to do the same.
Earlier this month, Heritage Minister Pablo Rodriguez announced that the government would cease all advertising on Facebook and Instagram in response to Meta’s actions. The government spends approximately $10 million on advertising on these platforms, and the funds will now be redirected to other ad campaigns. Rodriguez expressed satisfaction with Google, as the company is still engaged in discussions with the government on big tech regulation.
Other Canadian media companies, including Quebecor, TorStar, CBC, Bell Media, and Cogeco, have also paused their advertising on Meta platforms. Meta has started intermittently blocking accounts run by Canadian media outlets on platforms like Instagram. Prime Minister Justin Trudeau has criticized the internet giants for cutting off Canadians’ access to local news and emphasized the government’s commitment to making sure these corporations contribute to strengthening democracy.
Google argues that Bill C-18 is unworkable and refers to it as a “link tax” that imposes financial liability on just two companies. The company maintains that it was prepared to support news organizations through initiatives like the Google News Showcase program, which has partnerships with over 150 publications in Canada. Meta views the decision to end the sharing of Canadian news links as a business decision.
In summary, Corus Entertainment has joined other media companies in suspending advertising on Meta platforms due to their response to Bill C-18. This move reflects concerns about the impact of big tech on the Canadian media industry, and the government has also taken action by redirecting advertising funds. The dispute between Meta and Google and the Canadian government continues as discussions about big tech regulation persist.
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