Meta’s Gauntlet: FB, Insta to start blocking news in Canada as they don’t want to pay publishers

Meta believes that there is economic value in news and is therefore going to block all news links from Facebook and Instagram in Canada. Canada is the latest country that is pushing social media platforms to pay news outlets for their content

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Meta, the parent company of Facebook and Instagram, has taken a significant step by starting the process of blocking access to news content on its platforms for all users in Canada. This decision is a response to the Online News Act passed by the Canadian parliament, which requires big tech firms like Meta and Google to negotiate commercial agreements with Canadian news publishers for using their content.

The Online News Act is part of a larger global movement aiming to make tech companies pay for the news content they display from publishers. In June, both Meta and Google had already issued warnings that they would block access to news articles on their platforms in Canada as a form of protest against the legislation.

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Rachel Curran, Meta’s head of public policy in Canada, defended the company’s position, arguing that news outlets willingly share content on Facebook and Instagram to reach broader audiences and benefit financially. She emphasized that users primarily use the platforms for purposes other than consuming news.

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However, the Canadian government criticized Meta’s decision as “irresponsible.” Canadian Heritage Minister Pascale St-Onge expressed concerns that this move would deprive users of access to “good quality and local news” without compensating news organizations fairly. St-Onge affirmed the government’s commitment to protecting Canadians’ interests against tech giants and urged Meta to reconsider its actions.

This Canadian law shares similarities with Australia’s groundbreaking legislation from 2021, which also faced similar threats of service reduction from Google and Facebook. In the end, both companies reached agreements with Australian media companies after certain amendments were made to the legislation.

While Google has expressed concerns about the Canadian law, deeming it broader than those in Australia and Europe, Meta argued that news links constitute less than 3 per cent of the content on users’ feeds and claimed that news lacks significant economic value.

Canadian Prime Minister Justin Trudeau, who previously criticized Meta’s arguments as flawed and detrimental to democracy and the economy, has reiterated the government’s determination to safeguard the interests of Canadian news publishers and ensure fair payment from tech giants.