The head of Facebook Canada says it will try to avoid a repeat of the news blackout it imposed in Australia, so long as impending legislation doesn’t force it to dim the lights of democracy.
“It is never something we would ever want to do unless we really have no choice,” Kevin Chan told a parliamentary committee hearing Monday.
Facebook blocked all news on its platform in Australia for five days last month in response to proposed legislation that would require digital giants to pay legacy media outlets for linking to their work.
Prime Minister Justin Trudeau and his Australian counterpart agreed to continue “co-ordinating efforts” to ensure Big Tech revenues are shared more fairly with creators and media after Facebook struck a deal with the Australian government on a revised bill, which still demands tech titans fork over cash for linked content.
The standoff Down Under shone a spotlight on Facebook’s massive clout — despite the public relations disaster that ensued — as well as broader questions around shifting media business models and modes of information consumption.
Ottawa is working on a three-pronged response to the challenges that social media platforms and other online content providers pose to how media in Canada has been financed, regulated and policed in the past.
Part of that solution is a bill currently before the House of Commons to modernize the broadcasting regime in a way that could force internet steaming sites like Netflix and Spotify to make Canadian content more discoverable and to cough up financial contributions to bolster Canadian creators and producers.
Online hate is a focus of the second prong, as global observers continue to question Facebook’s role in tragedies ranging from the Christchurch mosque shootings in New Zealand to deadly military violence directed at Myanmar’s Rohingya minority, along with racist posts in Canada.
The third prong seeks to address how major internet companies are taxed — with Australia providing a possible model — and in turn how traditional media companies are financially supported.
Facebook already props up struggling legacy news firms by directing traffic to their sites, Chan said, arguing that cumbersome regulation would hinder a free and open internet.
He pointed to Ontario-based Village Media, whose CEO estimates that Facebook and Google generated 24 million page views for the online community news company in January, amounting to $480,000 in ad revenue. Facebook Canada has also announced investments of $18 million in sustainable media models over six years.
Even if Facebook did choose to choke off news access, the platform doesn’t currently function as an essential source of information for most Canadians, Chan said. He cited a Ryerson Leadership Lab study showing that about one-quarter of the population gets its news from Facebook, below several other sources including television, which topped the list, but above newspapers and magazines.
“It’s not the case that Facebook is somehow synonymous to the internet or somehow synonymous with access to news,” he said.
Critics argue that paying publishers for links that they or their readers choose to post on social media — effectively a form of promotion — is backwards; if anything, news outlets should pay Facebook for the privilege of putting up de facto ads on its platform.
In a statement to The Canadian Press, Heritage Minister Steven Guilbeault said the government is consulting with France and Australia over the “market imbalance between news media organizations and those who benefit from their work.”
“News is not free and has never been. Our position is clear: publishers must be adequately compensated for their work and we will support them as they deliver essential information for the benefit of our democracy and the health and well-being of our communities,” he said.
In Australia, Facebook secured concessions in an agreement with the government that allows more room for private deals between Facebook and media firms — such as Rupert Murdoch’s News Corp — and an extra round of negotiation with publishers before binding arbitration kicks in.
But settling that dust-up did little to pacify concerns over the might and motivations of Big Tech.
“People are increasingly concerned about the power of the web giants and the ravages of the spread of online hate speech, the impact of unfair competition of these giants on local media, and the total lack of justice when people work hard to pay their fair share and multinational web companies do everything to circumvent the rules,” said New Democrat MP Heather McPherson.
She accused the Liberal government of fostering a “cosy relationship” with digital giants that protects platforms’ profits at the expense of local media and Canadian taxpayers.
The government hopes to table legislation on fair remuneration this year, Guilbeault said.
It also aims to put forward within weeks a bill on online hate speech that would establish a regulator responsible for enforcing an updated definition of hate and ensuring illegal content comes down within 24 hours, subject to strict penalties — which Chan says Facebook would support.
“If we aren’t seen to be in good faith building the right systems to enforce against our standards, then absolutely we should be subject to some kind of penalty and held to account,” he said.
Lawmakers also raised concerns Monday about disinformation around COVID-19 vaccines as Canadians rely increasingly on digital communications to stay informed amid a pandemic, an issue that Chan says the company is trying to address while respecting freedom of expression.
“The challenge is, we do need to strike a balance between people’s ability to speak their minds and share their own feelings and ideas … and also prevent harmful misinformation about the vaccine from being spread,” Chan said.
Facebook has 35,000 moderators screening content around the world, including for misinformation and hate speech, he said.
Current Criminal Code provisions barring hate speech can seem increasingly feeble against the daily tide of content that washes up online.
“Bigoted speech is always out there,” said University of Windsor law professor Richard Moon in an interview. “But the rise of social media as the principal platforms for personal and public engagement has helped hateful views of different kinds move more into the mainstream.”
Moon pointed to algorithms on sites such as YouTube, owned by Google, that can wind up fanning inflammatory posts.
“In order to try to maintain the attention of the viewer, they make suggestions of videos that are more and more extreme because people are often more and more engaged and it holds their attention,” he said.
Mohammed Hashim, executive director of the Canadian Race Relations Foundation, says one reason hate has been so tough to rein in online is a lack of government “guidance.”
“The harm that it’s creating not only to victims who face it but to our sense of common decency as Canadians is eroding our faith in democracy,” he said in an interview.
“And all of it is happening because of how social media platforms have allowed fringe voices to take over.”
TORONTO – Hundreds of Taylor Swift fans lined up outside the gates of Toronto’s Rogers Centre Wednesday, with hopes of snagging some of the pop star’s merchandise on the eve of the first of her six sold-out shows in the city.
Swift is slated to perform at the venue from Thursday to Saturday, and the following week from Nov. 21 to Nov. 23, with concert merchandise available for sale on some non-show days.
Swifties were all smiles as they left the merch shop, their arms full of sweaters and posters bearing pictures of the star and her Eras Tour logo.
Among them was Zoe Haronitis, 22, who said she waited in line for about two hours to get $300 worth of merchandise, including some apparel for her friends.
Haronitis endured the autumn cold and the hefty price tag even though she hasn’t secured a concert ticket. She said she’s hunting down a resale ticket and plans to spend up to $600.
“I haven’t really budgeted anything,” Haronitis said. “I don’t care how much money I spent. That was kind of my mindset.”
The megastar’s merchandise costs up to $115 for a sweater, and $30 for tote bags and other accessories.
Rachel Renwick, 28, also waited a couple of hours in line for merchandise, but only spent about $70 after learning that a coveted blue sweater and a crewneck had been snatched up by other eager fans before she got to the shop. She had been prepared to spend much more, she said.
“The two prized items sold out. I think a lot more damage would have been done,” Renwick said, adding she’s still determined to buy a sweater at a later date.
Renwick estimated she’s spent about $500 in total on “all-things Eras Tour,” including her concert outfit and merchandise.
The long queue for Swift merch is just a snapshot of what the city will see in the coming days. It’s estimated that up to 500,000 visitors from outside Toronto will be in town during the concert period.
Tens of thousands more are also expected to attend Taylgate’24, an unofficial Swiftie fan event scheduled to be held at the nearby Metro Toronto Convention Centre.
Meanwhile, Destination Toronto has said it anticipates the economic impact of the Eras Tour could grow to $282 million as the money continues to circulate.
But for fans like Haronitis, the experience in Toronto comes down to the Swiftie community. Knowing that Swift is going to be in the city for six shows and seeing hundreds gather just for merchandise is “awesome,” she said.
Even though Haronitis hasn’t officially bought her ticket yet, she said she’s excited to see the megastar.
“It’s literally incredible.”
This report by The Canadian Press was first published Nov. 13, 2024.
OTTAWA – Via Rail is asking for a judicial review on the reasons why Canadian National Railway Co. has imposed speed restrictions on its new passenger trains.
The Crown corporation says it is seeking the review from the Federal Court after many attempts at dialogue with the company did not yield valid reasoning for the change.
It says the restrictions imposed last month are causing daily delays on Via Rail’s Québec City-Windsor corridor, affecting thousands of passengers and damaging Via Rail’s reputation with travellers.
CN says in a statement that it imposed the restrictions at rail crossings given the industry’s experience and known risks associated with similar trains.
The company says Via has asked the courts to weigh in even though Via has agreed to buy the equipment needed to permanently fix the issues.
Via said in October that no incidents at level crossings have been reported in the two years since it put 16 Siemens Venture trains into operation.
This report by The Canadian Press was first published Nov. 13, 2024.
LAVAL, Que. – The Japanese owner of 7-Eleven says it has received a new management buyout proposal from a member of the family that helped found the company, offering an alternative to the takeover bid from Alimentation Couche-Tard Inc.
The proposal for Seven & i Holdings Co. Ltd. is being made by Junro Ito, who is a vice-president and director of the company, and Ito-Kogyo Co. Ltd., a private company affiliated with him.
Terms of the non-binding offer by Ito were not disclosed.
In a statement Wednesday, Seven & i said its special committee has been reviewing the proposal with its financial advisers.
Stephen Hayes Dacus, chair of the special committee and board of directors of the company, said the company is committed to an objective review of all alternatives as it considers the proposals from Ito and Couche-Tard as well as the company’s stand-alone opportunities.
“The special committee and the company board will continue to engage with all parties in a manner designed to maximize value and will continue to act in the best interests of the company’s shareholders and other stakeholders,” he said in a statement.
The company noted that Ito has been excluded from all discussions within the company related to the offer and the bid by Couche-Tard.
Quebec-based Couche-Tard made a revised offer for Seven & i last month after an earlier proposal was rebuffed by the Japanese firm because it was too low and did not fully address U.S. regulatory concerns.
It did not respond to a request for comment about Ito’s offer.
RBC Capital Markets analyst Irene Nattel said the latest development underscored her belief that a Couche-Tard deal with Seven & i is a “low probability event.”
“Assuming attractive pricing and a fully-funded transaction, the potential privatization from a friendly Japanese group would seemingly provide investors with the value creation event they seek,” said Nattel, adding that it would skirt potential competition issues in the U.S. and concerns around the foreign takeover of a core local entity for Japanese regulators.
Couche-Tard has argued its proposal offers clear strategic and financial benefits and has said it believes the two companies can reach a mutually agreeable transaction.
However, the Japanese company has said there are multiple and significant challenges such a transaction would face from U.S. competition regulators.
Couche-Tard operates across 31 countries, with more than 16,800 stores. A successful deal with Seven & i could add 85,800 stores to its network.
Seven & i owns not only the 7-Eleven chain, but also supermarkets, food producers, household goods retailers and financial services companies.
This report by The Canadian Press was first published Nov. 13, 2024.
