The federal government will order the CRTC to nix its requirement for foreign streamers to invest a portion of their Canadian revenue into Canadian programming, according to The Globe and Mail.
Citing multiple government sources, The Globe reports that the feds are now outlining a “series of steps” for the CRTC to roll back Online Streaming Act requirements. In 2023, this act was introduced to force foreign streamers who reach high revenue thresholds, including Netflix, Disney+, and Amazon’s Prime Video, to invest five per cent of their Canadian revenues into Canadian content. That already proved controversial, with U.S. streamers quickly fighting back against the ruling, and the CRTC drew even more ire last month when it announced that it is tripling this requirement to 15 per cent.
Now, The Globe says the feds are looking into a “more reasonable rate” of foreign streamers’ contribution to Canadian programming. Given that the Online Streaming Act has been a major irritant with the Trump administration, this move is seen as a way to play nice in larger trade negotiations with the U.S.
That said, Marc Miller, Minister of Canadian Identity and Culture, had noted last week that one of the government’s primary goals is to secure greater funding for the Canadian arts and broadcasting scenes, which are always in need of more money. The Canadian Media Producers Association also told The Globe that it’s “concerned that the federal government has sold out Canadian culture in favour of big U.S. tech interests.”
It’s unclear if and when Canada will ultimately roll back the existing Online Streaming Act requirements and replace them with any alternatives. In the meantime, the government just announced that it will invest $600 million annually into Canada’s cultural sectors.
