Discusses the CRTC's tax on streaming services to boost Canadian content. Bill C-11's impact on funding and who pays the tax. Interview with Michael Geist on the topic. Concerns about rising Netflix prices for consumers.
Bill C-11 raises questions on defining Canadian content beyond existing investments.
Impact of CRTC's tax on streaming services may lead to cost burden on consumers.
Deep dives
Implementation of Bill C-11 and Financial Impact on Canadian Content
The podcast episode delves into the implementation of Bill C-11, focusing on the requirement for streaming services to contribute 5% of their Canadian revenues, estimated at around $200 million annually. While this amount is significant, it may not substantially influence film or TV production due to the diverse allocation of funds across different areas like news, diversity inclusion, and more. Despite efforts to support Canadian creators, questions arise regarding the effectiveness of this financial support in making a substantial difference in content production.
Challenges Faced by Streaming Giants and Uncertainties in Supporting Canadian Content
The podcast highlights the challenges faced by streaming giants regarding the new financial obligations imposed by the CRTC. Companies may need to adjust their spending allocations in Canada, potentially affecting existing projects. Moreover, the threat of a trade challenge by the US due to potential discriminatory practices adds to the uncertainties. The impact of increased costs on consumers and potential repercussions on the content produced in Canada remain critical considerations.
Consumer Impact and Role of the CRTC in Canadian Content Regulation
The episode raises concerns about the potential lack of value for Canadian consumers from the CRTC's decisions. Despite claims of aiming to support Canadian content and creators, the focus on financial contributions rather than addressing broader policy issues regarding Canadian content definition and consumer interests is highlighted. The CRTC's shift from prioritizing consumer interests to implementing government mandates reflects a disconnect in serving the public interest in Canadian broadcasting.
The CRTC decided last week to levy a tax on the Canadian revenue made by the giant streaming services. This money will ostensibly go towards supporting Canadian creators and improving Canadian content...which is what exactly?
This is where Bill C-11 gets interesting, because streamers already spend a ton of money making content in Canada, or purchasing stories and IP created by Canadians. Much of that won't count, so what will? And who will end up paying for the tax on those services—American corporations or, as some experts have warned, all of us, with rising Netflix prices?
GUEST: Michael Geist, Canada Research Chair in Internet and E-Commerce Law at the University of Ottawa
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