In recent weeks the government’s efforts to overhaul the Broadcasting Act has been subject to intense scrutiny inside and out of the House of Commons due to uncertainty around the implementation of regulations for web content. Media and the opposition have positioned Bill C-10 as an attack on free speech and an effort to “regulate the internet.” Yet, the government has continued to say that this is ‘ridiculous’, as the intent of the bill is simply to bolster visibility of Canadian content on streaming platforms.

We’ve taken a deep dive into Bill C-10 to provide an overview and our thoughts on how it might impact professional social media and web content.  

What is Bill C-10?

It is generally agreed that Bill C-10, introduced in November 2020, was flying under the radar as Canadian Heritage Minister Steven Guilbeault missioned to “make web giants pay” for Canadian content. The government maintains the objective of Bill C-10 is to ensure that digital streaming services like Netflix, Spotify, or Amazon Prime, contribute to the creation, production and promotion of Canadian content by subjecting them to the Broadcasting Act. This would allow the CRTC to impose regulations compelling them to pay into funds that support Canadian content or to make Canadian content more visible on their platforms.  

The CRTC is responsible for regulating and supervising Canadian broadcasting and telecommunications as well as The Broadcasting Act. It has the power to issue broadcasting licenses, make ownership decisions on mergers and acquisitions in the sector, and investigate complaints. Bill C-10 would create a distinct class of broadcasting called “online undertakings” that are not subject to current broadcasting regulations. A notable example of a CRTC regulation is the one that requires Radio stations to ensure at least 35% of the popular music they broadcast each week is Canadian content. Bill C-10 would remove the power of the CRTC to impose conditions on the proportion of programs that must be Canadian.

Notably, the legislation only subjects those “affiliated with the service provider” to CRTC regulation, meaning what the overwhelming majority of what Canadians post to social media would not be covered by the scope of Bill C-10.  

What’s the concern?

When the bill was introduced, Minister Guilbeault was always quick to note – and a Charter of Rights and Freedoms review by the Minister of Justice confirmed – content posted by individual Canadians would never be subject to regulations. In its original form, Bill C-10 exempted user-generated content posted to social media sites from the CRTC's authority but the bill has been amended to remove the exemption and grant the CRTC the power to regulate smartphone apps as well.  

Some media sources have been interpreting these new provisions as ‘big government regulation’ on all content posted to social media. The government will not be involved in content moderation on social media, it will still require the requisite media giant (e.g. Facebook) to handle its own services.

The issue is the uncertainty of how CRTC regulation would impact a given platform or when the CRTC would choose to impose regulations on a creator because it is unclear what one could consider “affiliated” with the platform.  

So what does this mean for professional social content?

Bill C-10 will force Canadian content to be more strongly promoted on social media in Canada. On YouTube, this might mean a section on YouTube music specifically for Canadian music posted at the top of the page or on Facebook this might mean suggested pages will include more results from Canadian pages. However, this will be up to what the CRTC demands and what these companies implement.

It is currently unclear if companies that produce commercial content on social media will fall under this regulation or if they will need to pay into Canadian content either directly from the Government or through the social media company.  

While we don’t expect direct impacts for most influencers, questions remain about how this bill may affect influencers with large followings and rich content streams. For example, if an influencer is part of YouTube’s creator program and has a large following, it is unclear whether the CRTC will consider them to be a broadcaster.  

The bottom line

Amendments made just this week clarify some of the concerns around individuals’ content posted online – meaning the government isn’t attempting to censor social media as some opponents suggest. However, questions around how regulations may impact professional content remain.  

Bill C-10 is currently being studied at the committee stage and can change further before being passed.  In the current minority government setting, support from at least one party is needed to pass.

Our Public Affairs team is monitoring the bill’s progress and keeping a close eye on how this will impact owned social content for our clients. If you have any questions or concerns about how changes may impact your business, our team is here to help. Please contact us here.