Illustration photo: Globalnews.ca
This is part of the agreement betweenGoogleand the Canadian government must compensate for the loss of advertising revenue from the traditional newspaper industry.
The above step comes from the Online News Act, which Canada passed in 2023.
Google and Meta – two “giants” that hold about 80% of advertising revenue in Canada – have long been criticized for cutting into the income of traditional news outlets while still using free content.
The above amount was transferred to Canadian Journalism Collective – a non-profit organization established to distribute this funding.
Grandfather
According to him, Canadian press agencies can receive up to 20,000 CAD per journalist, creating additional incentives for newsrooms to produce high-quality news content.
“This support will help news organizations produce more quality articles, while Google also benefits greatly from the verified content that journalists create,” Mr. Deegan emphasized.
Canada’s Online News Act was introduced to support the local journalism sector, which has been hit hard by falling advertising revenues, leading to the closure of hundreds of newspapers over the past decade. .
ButMetaresponded by blocking news content on Facebook and Instagram platforms in Canada to avoid having to compensate media companies.
According to the agreement, 30% of the money from Google will be allocated to radio and television stations, the rest will be divided among news publishers.
Google previously reached a similar agreement with the state of California (USA) to support local press agencies.
