Google sends $100M in funds to journalism collective in exchange for Online News Act exemption

Google has fulfilled its commitment to pay $100 million to Canadian news outlets as part of an agreement that exempts the tech giant from the Online News Act. The funds have been transferred to the Canadian Journalism Collective, a non-profit organization established to distribute the money.

The Canadian Journalism Collective, founded by independent publishers and broadcasters, is responsible for allocating the funds to media businesses whose work was shared or repurposed by Google. The organization, which was created specifically for this purpose, is led by a steering committee composed of 12 independent media outlets representing French language outlets, community and Indigenous news, and publications catering to Black and minority Canadians.

Various organizations, including Pivot, The Resolve, IndigiNews, Village Media, and the Canadian Association of Community Television Users and Stations, are expected to receive different amounts from the fund. Eligible publishers can anticipate approximately $13,798 per full-time equivalent journalist, while broadcasters will receive around $6,806 per eligible worker. Small print and digital outlets are likely to receive approximately $17,000 per journalist they employ.

The Canadian Heritage Department has stated that there is a cap on the amount of money that major broadcasters like CBC/Radio-Canada can receive. CBC/Radio-Canada will receive a maximum of $7 million from the fund annually, with $30 million reserved for other broadcasters. The remaining $63 million will be distributed among other qualifying news outlets, such as newspapers and digital platforms.

Google’s agreement to pay $100 million in exchange for exemption from the Online News Act is in contrast to Meta’s approach. Meta has opted to block Canadian news content on its platforms to avoid making payments under the legislation.

The Canadian Journalism Collective is currently working on disbursing the funds to eligible recipients and did not provide immediate comment on the matter. The organization aims to support the sustainability of Canadian journalism and ensure that news outlets can continue to provide valuable information to the public.

In conclusion, Google’s contribution to Canadian news outlets through the Canadian Journalism Collective is a significant step towards supporting the journalism industry in the country. The funds will help media organizations continue their important work and serve the Canadian public with reliable and informative news content.