The federal government will reportedly stop requiring foreign streamers to contribute a portion of their Canadian revenues into Canadian content (CanCon).
As reported by The Canadian Press, a court document from the attorney general reveals that “the government’s intention is to eliminate the base contribution requirement on streaming services and to provide government funding to replace those contributions.” However, a spokesperson for Culture Minister Marc Miller clarified to Bloomberg that companies like Netflix, Apple and Disney “will still be required to reinvest a percentage of their revenues in Canadian and Indigenous content.”
With all of that said, the Canadian Association of Broadcasters told The Canadian Press that this letter doesn’t align with what it’s been told by the government. It added that it would therefore be “premature to reach any definitive conclusions” regarding the government’s plans.
This comes one month after the Carney government signalled its intent to revisit the long-running CanCon investment requirement for foreign streamers. The feds actually tripled the requirement in May before walking it back amid controversy from the U.S., noting that this would impose costs on streamers that would ultimately be passed onto Canadians.
To compensate, the government pledged to invest $600 million per year into audio and audiovisual sectors to “keep our culture accessible and affordable.” But of course, these decisions have also been viewed as a way to placate U.S. President Donald Trump amid the wider trade war between Canada and the U.S.
Image credit: Shutterstock
Source: The Canadian Press
