The Online News Act (Bill C-18): Crazy Unintended Consequences Revealed

Bill C-18

What is Bill C-18?

Bill C-18, also known as the Online News Act, is Canada’s controversial attempt to reign in the tech giants who have supposedly been exploiting news content. This legislation requires digital behemoths like Google and Facebook to pay news publishers for articles that appear on their platforms. Skeptics argue that it’s a misguided effort that could backfire, stifling innovation and potentially leading to less access to news for the average user. While some praise it as a necessary measure to support struggling journalism, others see it as an overreach that might do more harm than good. Whether Bill C-18 will achieve its lofty goals or end up as another bureaucratic blunder which it seems to be the latter today.

And boy, did it ever backfire!

Total news engagement on social media nosedived so dramatically that it slashed 11 million views from Canadian media websites, forcing some 212 predominantly local outlets to shutter in the wake of Bill C-18’s devastating impact.

Bill C-18 on the parliament building
Home of Bill C-18

Social media engagement with Canadian news plummeted by more than half, one year after Meta’s audacious Canadian news ban. Outrage ensued with the passing of Bill C-18, the Online News Act, compelling tech behemoth Meta to block Canadian news on its platform. Just last month, Google kowtowed to the law, conditionally agreeing to dole out $100 million annually to government-approved media.

“Thanks to the Online News Act, newsrooms across the country will now shove their way into fair negotiations for compensation when their work materializes on the colossal digital platforms. It levels the playing field by holding big tech in check and ensuring that even our tiniest news business can claw back their fair dues,” then-Heritage Minister Pablo Rodriguez gloated last June 22.

A mere month later, Meta retaliated by banning the sharing of all Canadian news for Canadian users. Fast forward a year, engagements with local Canadian news outlets nosedived by over five million (58%) on Facebook, Instagram, TikTok, Twitter, and YouTube, as per new research. Canadian news engagement declined by 24% nationwide.

“These internet leviathans would rather sever Canadians’ access to local news than pay their dues—a real affront, now exacerbated by bullying tactics to coerce compliance. It’s not going to work,” Prime Minister Trudeau railed at the time. The Meta news ban barely dented Canadian user traffic, Reuters disclosed, revealing Canadian news makes up less than 3% of their feeds—a trivial fraction, leaving Meta resolute in its ban on Canadian news.

Media icons have since lambasted the federal government’s bumbling approach, The Hub noted, pointing out outlets must now absorb the loss of site traffic themselves. “With links to news pages banned, the hordes of readers Facebook had been handing the industry daily—for free—vanished. The government miscalculated, presuming Facebook was bluffing. It wasn’t,” scoffed Globe and Mail columnist Andrew Coyne.

Coyne, joined by Rudyard Griffiths of The Hub, signed the Ottawa Declaration, denouncing ongoing media subsidies. “Our media companies refuse to accept the per-employee handouts currently dangled by government and industry,” it reads. Canadian news engagement on social media plunged so dramatically, resulting in 11 million fewer views on their websites, per the Media Ecosystem Observatory (MEO).

“The ban has devastated local news organizations in Canada,” MEO analyst Sara Parker confided to The Hub. “Many struggle to cultivate an audience from the ground up on any other platform.” One year post-ban, 212 mainly local news outlets vanished, while 501 local and 54 national outlets still survive. The report noted that Facebook and Instagram were the main culprits.

Over half (51%) of users on either platform remained blissfully ignorant of the news ban. “The most appalling aspect is that most Canadians haven’t even realized this is happening,” Parker despaired. Since 2008, 516 local Canadian radio, print, TV, and online news outlets have shuttered. At least 36 local news outlets folded across Canada last year alone, pointing the finger at the Meta news ban for their downfall.

Meanwhile, Google acceded to fund Canadian media with $100 million annually but refused to disburse payments until obtaining a full exemption, permitting payments into a single collective media fund. News organizations must attain recognition as qualified Canadian journalism organizations under the Income Tax Act for eligibility.

Google drew in 1,500 funding hopefuls earlier this year. CBC/Radio-Canada will cap out at receiving $7 million from the annual fund, with another $30 million max earmarked for other broadcasters. The leftover will trickle down to other qualifying news outlets, including newspapers and digital platforms.

Guess What? You Should Have Seen This Coming!

From the first day when I heard about Bill C-18, even before it was passed, I had my doubts. The bill made no sense to me. I mean, these websites are already getting free ad placements on social media platforms, directing traffic to their sites! Why would tech companies pay news outlets for this so-called “free traffic” to their websites? It seems Mark Zuckerberg shared this skepticism and decided to ban all Canadian news, essentially saying, “THERE! No news for you!” in a tone reminiscent of Seinfeld’s Soup Nazi.

When they claim that 51% of users weren’t aware of the ban, I can’t help but wonder, “Were their heads buried under a rock?” Every single time a memory pops up in my Facebook feed, it’s plastered with a glaring info box bluntly stating that Canadian News is blocked from the moment I share a news article.

Bill c-18 blocked news
Because of Bill c-18 No News For You!

I can confidently declare that many of the news outlets I once followed on Facebook are now invisible to me. Why? Because I only clicked on those intriguing news articles that peppered my feed. Now that they’ve vanished, those sites no longer get a single glance from me.

Prime Minister JT is determined to devastate Canada for every single Canadian by over-taxing us, censoring our news, and squandering tax money on everything except Canada. This buffoon is so obsessed with his moronic and egocentric schemes that it’s jeopardizing the lives of all Canadians.

The Unintended Consequences of Overreach

Bill C-18 news blackout
Bill C-18 news blackout

Bill C-18 might have been crafted with good intentions, but its repercussions have been anything but beneficial. As we watch the erosion of local journalism and the blatant disregard for the public’s access to information, it begs the question: Is the government genuinely serving its citizens, or is this a play to control the narrative? The drastic drop in news engagement and the shuttering of local outlets point to an undeniable failure in foresight.

The time has come for a serious reassessment of Bill C-18. Should it be revoked to restore the flow of news and information critical to an informed society? Or is there a middle path that ensures both the survival of journalism and the freedom of information?

What do you think? Should Bill C-18 be removed to bring back our access to news? Or do you see value in its original intent despite the fallout? Share your thoughts in the comments below!

Let’s ignite the discussion and make our voices heard!


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