Payments have started to flow to Canadian media under a $100 million initiative aimed at supporting journalism in the face of digital disruption.
Payments have begun being distributed to Canadian media outlets under the terms of the Online News Act, which aims to financially support journalism in a rapidly changing digital landscape. The Canadian Journalism Collective reported last week that they have begun to disburse the first tranche of funding, totalling $17.25 million, from a $100 million agreement secured with Google.
This funding initiative is designed to provide compensation to news organisations in exchange for an exemption from certain provisions of the Online News Act, which was enacted to facilitate a fairer competitive environment between traditional media and major digital platforms like Google and Meta. The payments are part of a broader effort to mitigate the economic impact that digital advertising has had on journalism in Canada, where traditional revenue streams have been significantly disrupted.
Erin Millar, the outgoing interim board chair of the collective and CEO of journalism software firm Indiegraf, said that eligible news businesses will likely see payments reflected as about $13,798 per full-time equivalent journalist based on a 2,000-hour annual workload. For broadcasters, the estimated payment is around $6,806 per eligible journalist. Millar refrained from disclosing specific recipients of the cash due to privacy policies but affirmed that early beneficiaries include a diverse array of for-profit and non-profit outlets, with an emphasis on supporting organisations that cater to diverse communities.
The federal government’s Online News Act targets companies with substantial global revenues and significant use among Canadian users, aimed at redistributing wealth generated from advertisement revenue back to the news industry’s traditional players. Google managed to secure a five-year exemption from some Online News Act stipulations by agreeing to disburse the $100 million, a commitment that reflects its strategy to address increasing regulatory scrutiny.
Source: Noah Wire Services
- https://financialpost.com/news/media-outlets-receiving-google-payments-online-news-act – This article supports the claim that payments have begun to Canadian media outlets as part of the Online News Act initiative, with the first tranche of funding totaling $17.25 million from a $100 million agreement with Google. It also details the distribution process and the types of outlets receiving the funds.
- https://www.inma.org/blogs/Digital-Platform-Initiative/post.cfm/canada-s-final-deal-with-google-on-media-payments-sets-a-new-standard – This piece explains the broader context of the deal between Google and the Canadian government, highlighting how it sets a new standard for media payments globally and details the allocation of funds among different types of media outlets.
- https://en.wikipedia.org/wiki/Online_News_Act – This Wikipedia entry provides background information on the Online News Act, including its purpose, eligibility criteria for news businesses, and the regulatory framework it establishes for digital news intermediaries.
- https://financialpost.com/news/media-outlets-receiving-google-payments-online-news-act – This article further explains the exemption secured by Google from certain provisions of the Online News Act by agreeing to pay $100 million annually, and how this aligns with efforts to support journalism in Canada.
- https://www.inma.org/blogs/Digital-Platform-Initiative/post.cfm/canada-s-final-deal-with-google-on-media-payments-sets-a-new-standard – This article highlights the strategic importance of the deal for both Google and the Canadian media landscape, emphasizing how it impacts the relationship between digital platforms and news publishers.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
9
Notes:
The narrative mentions recent developments and ongoing initiatives, indicating it is current. However, specific timelines and future plans suggest it might not reflect the very latest updates.
Quotes check
Score:
8
Notes:
Quotes from Erin Millar and Sarah Spring are included, but without specific online sources to verify their original context. The quotes appear to be recent and related to current events.
Source reliability
Score:
8
Notes:
The narrative originates from the Toronto Sun, a known publication. However, the reliability could be further enhanced by cross-referencing with other reputable sources.
Plausability check
Score:
9
Notes:
The claims about the Online News Act and Google’s payments are plausible and align with recent regulatory efforts to support journalism. The narrative provides specific figures and context, supporting its credibility.
Overall assessment
Verdict (FAIL, OPEN, PASS): PASS
Confidence (LOW, MEDIUM, HIGH): HIGH
Summary:
The narrative appears to be current and well-supported by plausible claims about the Online News Act. Quotes are included but lack specific verification sources. Overall, it is reliable and credible, with a high confidence level in its accuracy.