Online streaming services will be required to make “meaningful contributions” to Canadian and Indigenous content, the country’s regulator has ruled.
The Canadian Radio-Television and Telecommunications Commission (CRTC) says that online streaming services will have to contribute 5% of their Canadian revenues to support the Canadian broadcasting system.
These obligations will start in the 2024-2025 broadcast year and will provide an estimated C$200m per year in new funding.
The CRTC said the funding will be directed to areas of immediate need in the Canadian broadcasting system, such as local news on radio and television, French-language content, Indigenous content, and content created by and for equity-deserving communities, official language minority communities, and Canadians of diverse backgrounds.
Online streaming services will have some flexibility to invest part of their contributions to support Canadian television content directly.
The move comes in the wake of the passing of Canada’s Online Streaming Act.
Vicky Eatrides, Chairperson and Chief Executive Officer of the CRTC said: “Today’s decision will help ensure that online streaming services make meaningful contributions to Canadian and Indigenous content. The CRTC will continue to move quickly, listen carefully, and take action as we implement the new legislation.”
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