Google agrees with Canadian government to pay $100 million annually to resume news distribution

The Canadian government and Google have agreed to resume news distribution in Canada, where Google has suspended news distribution from June 2023. Based on the agreement, Google will provide financial support of $100 million (approximately 10.8 billion yen) annually to news operations.

Statement by Minister St-Onge on next steps for the Online News Act

Federal government reaches deal with Google on Online News Act | CBC News

In response to a series of bankruptcies of news organizations, a bill was created in Canada called the 'Online News Act' that stipulates that news distribution companies pay usage fees to news organizations, and it was passed by Parliament in June 2023. Did. Google, which provides news distribution services all over the world, has stopped distributing news in Canada in response to this. Google and the Government of Canada have been in discussions prior to the law's entry into force.

Pascal Saint-Onge, Minister of Heritage, issued the following statement:

“After several weeks of productive discussions, I am pleased to announce that we are now on track to move forward with Google to implement the Online News Act. 'We aim to play an important role as a reliable news content provider for the world.'

'As part of the framework, Google will provide $100 million in annual funding, indexed to inflation, to a wide range of news businesses across Canada, including independent news organizations and news businesses from Indigenous and official language minority communities. Google will have the option to work with a single organization and distribute contributions to all eligible news organizations based on the number of journalists they have.'

“A sustainable news ecosystem is good for everyone. News and journalism serve to inform communities, engage citizens, and counter the rise of fake news. 'Access helps Canadians participate in and fully benefit from a democratic society. With layoffs and closures of news organizations, the health of Canada's news industry is at risk.'

“The Government is confident that the Online News Act is a viable and fair framework for news organizations and digital platforms.”

Canada's Online News Act comes into effect on December 19, 2023.