{"id":474905,"date":"2026-06-03T23:21:10","date_gmt":"2026-06-03T23:21:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/474905\/"},"modified":"2026-06-03T23:21:10","modified_gmt":"2026-06-03T23:21:10","slug":"ottawa-tells-crtc-to-change-course-on-increasing-streamers-financial-contributions","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/474905\/","title":{"rendered":"Ottawa tells CRTC to change course on increasing streamers’ financial contributions"},"content":{"rendered":"

OTTAWA \u2014 Ottawa is directing the CRTC to back down on its recent decision to triple streamers\u2019 financial contributions to Canadian content, and will instead provide $600 million to the sector, Culture Minister Marc Miller said Wednesday.<\/p>\n

The decision comes after the Motion Picture Association, the U.S. group representing streamers, called on cabinet to reconsider the current approach and the U.S. ambassador to Canada called for the policy to be rescinded.<\/p>\n

The CRTC said in May it would require large streaming services like Netflix to contribute 15 per cent of their Canadian revenues to Canadian content. It made the decision as part of its work to implement the Online Streaming Act.<\/p>\n

\u201cThe CRTC\u2019s new requirements would impose new costs on the companies providing these services, which could ultimately fall on Canadian consumers through higher prices,\u201d the government said in a press release.<\/p>\n

\u201cAt a time when Canadians face cost-of-living pressure, now is not the time to make culture and entertainment more expensive.\u201d<\/p>\n

Miller told reporters on Parliament Hill the fact that the U.S. has identified the Online Streaming Act as a trade irritant wasn\u2019t the only reason the government asked the CRTC to change course.<\/p>\n

\u201cIt\u2019s no secret to anyone that\u2019s been paying any attention to this that the USTR has identified these issues as a trade issue. It would be disingenuous to suggest that this is the single issue,\u201d he said.<\/p>\n

\u201cThe reality is we\u2019re impatient to make sure that the sector stays vital and stays supported, and that\u2019s why we\u2019re making that investment of $600 million into the industry.\u201d<\/p>\n

Miller said the industry is suffering while money for Canadian content is frozen in litigation.<\/p>\n

In 2024, the CRTC made an initial order under the Online Streaming Act requiring large streaming companies to pay five per cent of their annual Canadian revenues to funds devoted to producing Canadian content, including local TV news.<\/p>\n

The Federal Court of Appeal put a pause on the payments \u2013 which are estimated at roughly $1.25 million annually per company \u2013 and has not yet issued a decision.<\/p>\n

It\u2019s not clear what the government\u2019s announcement Wednesday means for two years\u2019 worth of decisions the CRTC has made to implement the Online Streaming Act under the previous policy direction.<\/p>\n

Under the Broadcasting Act, cabinet does not have the authority to overturn the specific decision on streamers\u2019 contributions. It must instead direct the CRTC on how to broadly implement the Online Streaming Act.<\/p>\n

The government said Wednesday Ottawa will issue a new policy direction to the CRTC to adjust how it is implementing the Online Streaming Act.<\/p>\n

Monica Auer, a lawyer and executive director of the Forum for Research and Policy in Communications, has told The Canadian Press that if cabinet wants to issue a policy direction saying the CRTC shouldn\u2019t implement the decision on streamers\u2019 financial contributions, it has to first cancel its 2023 order directing the commission on how to implement the Online Streaming Act.<\/p>\n

The work the CRTC has done since 2023 to implement the Online Streaming Act has happened under that previous policy direction.<\/p>\n

This report by The Canadian Press was first published June 3, 2026.<\/p>\n

Anja Karadeglija, The Canadian Press<\/p>\n

\t\tKeep it Factual<\/p>\n

Add CityNews Vancouver as a trusted source on Google to see more local stories from us.<\/p>\n

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