Canada’s broadcast regulator tripled the financial burden on foreign streaming platforms Thursday, raising the mandatory contribution rate on Canadian revenues from 5% to 15% — a decision the CRTC says will unlock $2 billion a year for Canadian and Indigenous content.
The move builds directly on the base 5% levy the regulator introduced in 2024, absorbing it into a substantially larger obligation. Platforms that generate more than $25 million in annual Canadian broadcasting revenues fall within the regime, a group that includes Netflix, Amazon’s Prime Video, Apple, Disney+ and Spotify.
The obligation flows from the Online Streaming Act, passed in 2023, which requires foreign services to both fund and promote domestic content.
The rules carry more detailed requirements for the largest players. Streamers and Canadian broadcasting groups earning more than $100 million in annual Canadian revenues must channel 30% of their expenditures into partnerships with Canadian production companies where Canadians hold majority copyright. At least 15% of investments from that same tier must support Canadian news content. Nearly 30% of the base expenditure is earmarked for French-language content.
The CRTC is also rolling out discoverability guidelines requiring Canadian and Indigenous content to be prominently featured on streaming platforms — a nod to the reality that financial contributions mean little if audiences never stumble across the programming they’re meant to fund.
The CRTC is pushing ahead even as the original 5% order faces a live court challenge. Apple, Amazon, Spotify and the Motion Picture Association-Canada are contesting that base levy in Canadian federal court, and payments under it remain paused pending the outcome.
The pushback isn’t limited to Canadian courtrooms. Republican lawmaker Lloyd Smucker tabled the Protecting American Streaming and Innovation Act in Congress in March, a direct legislative response to what Washington views as discriminatory treatment of U.S. platforms. Canada argues the streaming legislation falls within the cultural exemption under the Canada-United-States-Mexico Agreement. The Motion Picture Association of Canada has condemned the new decision, arguing it unfairly singles out global streamers.
On the domestic side, the CRTC adjusted obligations for traditional broadcasters as well, cutting their base contribution rate to 25% from a prior range of 30% to 45%.
A portion of funds from both conventional broadcasters and high-revenue online streamers must flow to a dedicated fund supporting outlets the regulator has designated as being of exceptional importance, among them the Cable Public Affairs Channel and the Weather Network.
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