Ottawa, Canada – Canadian authorities announced on Wednesday that they will impose fees on Google to recover costs associated with enforcing the Online News Act, a law requiring major online platforms to pay for news content displayed on their websites. The Canadian Radio, Television and Telecommunications Commission (CRTC) confirmed that the cost recovery provisions will take effect on April 1, with no upper limit on the fees, which may vary annually.
The decision follows a public consultation period during which Google voiced strong opposition, calling the fee structure “not a rational approach” and arguing that it unfairly burdens the company. Despite these objections, the CRTC finalized the rule, stating that fees paid by regulated businesses support the majority of its operations.
The Online News Act was introduced last year to address concerns in the media industry that tech giants like Google and Meta are dominating the online advertising market, pushing news outlets out of the ecosystem. The law is part of a global trend compelling internet companies to compensate publishers for news content.
While Google has agreed to pay $100 million annually to Canadian publishers to keep news in its search results, Meta has taken a different approach, blocking news content on its Facebook and Instagram platforms in Canada to avoid paying fees. Google has criticized the requirement as “an unfair additional regulatory burden” for a company that continues to support the country’s news ecosystem.
The CRTC clarified that the cost recovery fees will only apply to digital platforms subject to the Online News Act. Google declined to comment further on the matter beyond its submissions during the CRTC’s consultation process.
This move marks a significant step in Canada’s efforts to regulate the digital landscape and ensure tech companies contribute to the sustainability of the news industry.
