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Facebook has serious concerns over online news bill, considers options for response

Meta says it was 91Ƶnot consulted91Ƶ on its content, an assertion sharply disputed by Canada
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Canadian Heritage Minister Pablo Rodriguez rises during Question Period, Monday, April 25, 2022 in Ottawa. THE CANADIAN PRESS/Adrian Wyld

Digital giant Meta says it has 91Ƶserious concerns91Ƶ about the federal government91Ƶs online news bill, which would force tech companies to compensate news outlets for reusing their work on social media platforms.

Rachel Curran of Meta Canada told a parliamentary committee on Tuesday that the company, which owns Facebook and Instagram, is going through the proposed law in detail and looking at options for a future response.

She said Meta was 91Ƶnot consulted91Ƶ on its content, an assertion sharply disputed by Heritage Minister Pablo Rodriguez91Ƶs spokeswoman, who accused Curran of making a 91Ƶfalse claim.91Ƶ

Canada91Ƶs bill to support the news industry is modelled on a law in Australia, where Facebook introduced a temporary ban on viewing and sharing news on its site last year in protest of the draft legislation.

At the House of Commons committee on public safety, Conservative MP Raquel Dancho asked Curran if a similar ban in Canada was off the table for Facebook.

91ƵWe are still looking at all of the options based on our evaluation of the legislation,91Ƶ Curran replied.

The Meta public-policy head added she could not 91Ƶcomment definitively on our future action with respect to the bill specifically, since we are still evaluating it.91Ƶ

91ƵI will say we do have some pretty serious concerns,91Ƶ she said.

She said the tech giant was unaware of the 91Ƶscope91Ƶ of the legislation until it was tabled.

Laura Scaffidi, the heritage minister91Ƶs spokeswoman, said it was not true that Rodriguez had not consulted Meta about the bill.

91ƵThe minister met Facebook on Feb. 10, and officials from the Department of Canadian Heritage met Ms. Curran multiple times since last fall91Ƶs election. Facebook chose not to participate in the consultation last year.91Ƶ

Scaffidi said Rodriguez 91Ƶis open to constructive dialogue with tech giants,91Ƶ adding that Facebook was not given the chance to read the legislation before members of the House of Commons.

91ƵSince the bill was introduced, we have not heard from Facebook 91Ƶ until Ms. Curran91Ƶs false claim today,91Ƶ she said.

Canada91Ƶs law, which is different in some respects from the Australian model, will set up a process for digital platforms to privately negotiate deals with newspapers, magazines and online news groups, as well as broadcasters that publish news online.

It will permit news organizations to team up to bargain collectively with digital companies for compensation.

If they cannot reach a deal within six months, tech platforms will be forced into mediation with news outlets and, if that doesn91Ƶt work, then binding arbitration. Rodriguez has said arbitration would be 91Ƶa last resort.91Ƶ

Digital platforms that fail to comply with the new law could face penalties of up to $15 million per day for repeated non-compliance, government officials said.

However, Curran said publishers placing links on Meta91Ƶs platforms 91Ƶreceive significant value91Ƶ from doing so.

She said Meta was already committed to innovative solutions to ensure 91Ƶthe sustainability of the news industry in Canada91Ƶ and had programs supporting Canadian journalism.

Michele Austin, director of public policy at Twitter, told MPs the social media platform was also analyzing the bill.

Austin said because Twitter is a closed platform, users clicking on news links have to leave the site to read them.

She told MPs Twitter is not sure if it would be 91Ƶscoped in under the bill.91Ƶ She said the company does not make a lot of money from news.

91ƵMarie Woolf, The Canadian Press





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