The federal government is halting all advertising on Facebook and Instagram in reaction to Meta’s plans to block Canadian news content. This decision mirrors a move by Quebecor Inc., who also announced it would stop advertising with Meta due to the same issue.
This bit of digital disobedience comes after the approval of Bill C-18, also known as the Online News Act, which received Parliamentary approval last month and is set to be enforced within six months post-regulatory details. The bill obligates major platforms like Google and Meta to share about $330 million each year with publishers for using and sharing their news content.
Both Meta and Google have voiced objections to the bill, labeling it as unfeasible. Google announced its intention to block Canadian news on its platform on June 29 but remains engaged in the regulatory process. Meta, on the other hand, has stated it will restrict access to Canadian news, showing little interest in finding a resolution within the regulatory framework.
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Canadian Heritage Minister Pablo Rodriguez, who made the government’s decision public at an Ottawa press conference, revealed that the federal government spends roughly $10 million annually on advertising on Meta’s platforms. Rodriguez also commended Quebecor’s decision to stop advertising on Meta but refrained from commenting on whether the Liberal Party would echo the government’s action.
Advertising on platforms like Facebook plays a crucial role in contemporary political campaigns due to their ability to deliver messages to a fine-tuned demographic. However, Liberal Party spokesperson Parker Lund told the Globe and Mail that the party’s advertising policy remains unchanged, stating, “We will continue to advertise on Meta platforms.”
Information for this briefing was found via Twitter, the Globe and Mail, and the sources mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
