Juno News - October 08, 2023


CRTC forces streaming platforms to register with government


Episode Stats


Length

20 minutes

Words per minute

186.25937

Word count

3,819

Sentence count

5

Harmful content

Hate speech

1

sentences flagged


Summary

Summaries generated with gmurro/bart-large-finetuned-filtered-spotify-podcast-summ .

In this episode of the Broadband Matters podcast, I speak with Peter Menzies, former Vice Chair of the Canadian Radio-television and Communications Standards Council (CRCTC) and former Director of Strategy and Strategy at the Commission on the Future of Canadian Broadband, to discuss the controversial C11 Bill C11, which expands the scope of the CRCTC's regulatory authority over the spectrum used by Canadian broadcasters.

Transcript

Transcript generated with Whisper (turbo).
Hate speech classifications generated with facebook/roberta-hate-speech-dynabench-r4-target .
00:00:00.000 so it is not actually fair to say that you can say whatever you want wherever you want
00:00:13.640 whenever you want in canada and again some people may agree with that you may say well
00:00:19.520 that's a reasonable restriction we're not debating reasonableness it is a restriction
00:00:24.240 on free speech anything after that is a matter of degrees which is why i do take things like what
00:00:32.300 the crtc is doing very seriously this is a body which has existed throughout its history to regulate
00:00:38.680 airwaves which are a public good there is only a finite amount of radio frequencies of television
00:00:46.280 frequencies and i get that you need a regulator a bureaucracy to start divvying that up and i get
00:00:51.300 that you need to have some compliance especially on technical issues the united kingdom is a great
00:00:57.020 example of what happens when you start adding a much more aggressive and content focused mandate
00:01:02.740 to their telecom regulator ofcom as it exists in the u.s does in fact regulate content the crtc does not
00:01:11.720 and that has not directly changed under c11 but we're seeing a creep in that direction when they
00:01:18.140 start talking about all of these qualitative things that we need more of beyond even simply
00:01:22.520 canadian content but specific forms showcasing diversity all of that there is a lot to take
00:01:28.880 issue with in this bill i want to welcome to the program here peter menzies he is a former vice chair
00:01:35.220 of the crtc peter it is always good to talk to you thanks for coming back on the show thanks for having
00:01:41.360 me always a pleasure let me just go back to that distinction between canada and the uk here has
00:01:48.000 there been an active push within the crtc to try to have a more expansive mandate on content historically
00:01:54.480 um i'm not quite sure what you mean by that expansive mandate on content they do regulate content the
00:02:01.320 the crtc does that it's through conditions of license and it's done you know transactionally as you
00:02:06.840 were saying as i caught the end of what you were saying you know that's fair it's a the spectrum
00:02:11.920 is a crown asset it's it's a limited resource uh the state has every right to decide how it's used
00:02:17.640 on behalf of canadians and when people apply for a license they accept certain terms and conditions
00:02:23.260 and one of those is that they will conduct themselves in a certain way on air and in you know
00:02:29.220 comply with things like the code of conduct for the canadian broadcast standards council which at the
00:02:34.840 end of the day can be appealed to the crtc so the crtc tries to keep has tried to keep a long arm
00:02:41.000 on that content regulation but it is there because the broadcasting act um compels it to make sure that
00:02:49.580 the uh system is uh to use its terms i believe it's high standard which is about as subjective as you
00:02:55.500 can get but yeah but but i mean that that right there is what i was referring to in in that you know in
00:03:00.320 in the uk they don't really have their equivalent with as much power as as the broadcast standards
00:03:05.800 council which i think has probably helped the crtc keep its nose clean on really getting into the
00:03:11.360 nitty-gritty where a lot of these large broadcasters and then you bring this into an internet context
00:03:16.380 and we're taking this regulatory authority and putting it over what has been a space that i it's
00:03:22.380 not completely unregulated you know laws that exist elsewhere in canada still exist on the internet
00:03:27.580 but you don't have that core requirement there of a limited public good that needs to be regulated as
00:03:34.560 such yeah and that's that was one of the big problems i found in the last week's decisions by
00:03:40.080 the crtc was that they were making decisions like about online news organizations online news
00:03:45.860 and the other one was that caught the eye was pornography or adult content right and then the
00:03:52.060 the reasoning was that well it wouldn't be fair to leave those guys unregulated when the guys within
00:04:01.980 the license system are regulated and that makes no sense at all to me because like i was saying if
00:04:09.340 you're inside the license system you it's a transaction you get the license and when you get the license
00:04:15.580 you also get you know you take on these responsibilities and you take on these conditions of license but you
00:04:20.940 also get protected you get you there's all kinds of benefits that come with a license in the
00:04:27.260 unlicensed area you're going to get the same regulation but where's your benefit 0.88
00:04:33.500 yeah i think that's a tremendously important question here and you know right now a lot of
00:04:39.020 the defenders of this are i think being very short-sighted they're talking about uh effectively
00:04:44.940 oh well all they're doing is asking for their name and phone number and address but it's like okay
00:04:49.340 to do what with it's basically to have the point of contact when they start expanding these
00:04:54.140 expectations and requirements i i think and it's not benign no it's not and and it's it's it's funny
00:05:01.340 how people can just shrug that off all they're asking for is your name and phone number and address
00:05:05.580 right if you were walking down the street and an officer of the law came up and asked you your name
00:05:09.900 and phone number and address right that's i mean i don't want to over exaggerate it but that's a papers
00:05:15.820 please please society right i mean it really is i mean it can sound benign and it can be benign but it
00:05:23.500 can it it uh can also be you know a bridge that you don't want to cross right particularly when you're
00:05:31.660 it's unclear to me as to what the benefit is to society of it occurring and what
00:05:37.900 and just to go back to the the limited public good aspect because not only is there you know
00:05:45.740 there are only so many radio stations that you could have conceivably because of the laws of
00:05:50.860 frequencies but but even within radio programming and television program you have programming you
00:05:56.540 have 24 hours in a day so i i can understand and i would question whether canadian content
00:06:02.220 regulations are are relevant today but i could understand okay we have this many hours a day you need to
00:06:07.180 devote a certain aspect of it to canadian content the internet is finite or is infinite
00:06:13.340 as we were talking about and by that uh if you want to access you know canadian content you have it
00:06:18.300 available to you if you want to access american content if you're an immigrant that wants to access
00:06:22.940 content from your home country or in a foreign language you you have all of that right and i i'm
00:06:28.860 i've yet to hear from the government a compelling reason for how canadian content is being underserved by
00:06:36.140 the internet there isn't really a compelling reason i mean we've been we went through this discussion a
00:06:42.140 bit with bill c11 in terms of that when especially when people were talking about all we're trying to
00:06:46.700 do is make sure that canadian content is discoverable on the internet well there's something called a
00:06:52.620 search tool right and all you have to do is open up your netflix app go into the search tool and type
00:07:00.300 canadian or type canada and all kinds of stuff comes up right so they're not really talking about
00:07:06.860 giving people the ability to discover that what they're talking about is forcing the discoverability
00:07:13.500 on people and that means suppressing the discover this discoverability of other people so you end up with
00:07:19.020 a a favored group getting you know uh getting bumped up on your on your on your feed uh online and the
00:07:28.300 less favored groups um getting less exposure so you know you'll still be able to be free to do what
00:07:35.660 you want to do but your ability to find an audience for what you're doing will be impaired
00:07:41.980 because of the government's preference for different types of content over others
00:07:47.020 yeah i think that's a tremendously important point you raise because one of the big challenges here
00:07:52.380 is that it is like one's gain has to be at another's loss if you assume that there's only so much
00:07:59.260 space on the netflix home page on the youtube home page uh certain content has to be downgraded
00:08:04.620 and these tech companies whatever criticisms you may wish to level at them of which many have come from
00:08:09.980 me they are pretty attuned to their viewers as businesses they've invested millions of dollars
00:08:16.780 in in fine-tuning the algorithms and what people want and what they're going to respond to and and
00:08:21.980 this bill by design is a manipulation of that and i i can't remember i think it was pablo rodriguez a
00:08:27.740 while back when he was still the minister was saying that you know this isn't going to manipulate uh any
00:08:32.860 algorithms no but it's government forcing these companies to manipulate their algorithms yeah ian
00:08:38.060 scott the the the past chair of the crtc said that exactly senator pamela wallen asked him said
00:08:44.300 sort of said well you're not exactly regulating but you're you're you're regulating rating through
00:08:50.380 the platforms right and he said yep that's exactly right we're not we're not going to tell you what
00:08:56.220 to do with your algorithm we're just going to tell you the outcome we want and then we'll talk about
00:09:00.380 how you do that in terms of your licensing so that's exactly what happened the sad part about that too
00:09:06.140 is that because because you know youtube and these other products are sort of are global products
00:09:12.300 if you if you monkey with those algorithms here and people don't get the sort of visibility they they
00:09:19.580 they want within canada that has an impact on their opportunity to have visibility in global markets
00:09:26.300 and the the best way for canadian producers of any kind to make money like serious money is to have
00:09:33.500 access to global markets i mean there's there's a there's 120 million anglophones in india
00:09:39.580 right um there's there's i mean there's 350 million of them just next door like you can take
00:09:47.340 your you can get an audience of 30 million people in canada or you can expand and have access to an
00:09:52.780 audience of 350 million next door all you know speaking english and you know and and we're choosing to
00:09:59.980 build a wall between that to make it more difficult i mean i i get the idea that you want to promote
00:10:06.460 canadian content but there's ways to do that without hurting canadian content as a and its global
00:10:12.700 opportunities as an outcome well i was chatting about this a little yesterday with chris sims i mean the
00:10:18.220 the the amusing part of this i mean it's not really amusing i guess if you think about it is that
00:10:23.100 the government would i think vehemently reject other countries blocking off the import of canadian
00:10:29.980 content because i i think you know the canadian government would love nothing more than for more
00:10:33.580 canadian cultural exports more shits creeks of the world that will achieve popularity overseas but if
00:10:40.460 other countries were to do what canada has done that would never happen and and you basically become
00:10:45.820 very siloed where denmark will have danish content predominantly and canada will have canadian content
00:10:51.500 predominantly and that really is the very opposite of what the internet has ushered in that is good
00:10:57.340 it is it is exactly the opposite i mean and that that's the big difference that doesn't seem to have
00:11:02.140 sunk in with the department of heritage at all on it i really worry that they don't seem to understand
00:11:07.100 the internet and the opportunity of it right it's like with the online streaming act i get that there
00:11:12.700 might have been concerns in you know in quebec about francophone funding and that sort of stuff in
00:11:17.660 the long run okay but if they need more money just give them more money but you know the canadian
00:11:23.180 film and television industry its last 10 years have been out has been it's been just flourishing
00:11:29.660 they've had great years they've had the best years in their history and even the production of canadian
00:11:34.780 content is at record high levels but they still wanted to bring in this regulation because they were
00:11:40.780 worried about canadian content they're you know the problem is is mystical at this stage right and and
00:11:49.020 you are now risking bringing to an end this decade of incredible prosperity all because of some
00:11:57.900 political manipulation like i said i think the core issue was probably you know francophone content that
00:12:04.380 they they were they weren't getting as much funding as as was coming through the private sector to
00:12:09.500 anglophone i get that but if they need a leg up and the government wants to help them just give them
00:12:14.220 more money right you don't need to redo the whole internet um and and and create all these problems
00:12:21.740 and all this regulation to fix that problem we've seen with bill c18 the online news act what happens
00:12:28.380 when these big tech companies decide it's not worth their while to comply with legislation as a result
00:12:33.820 true north and countless other media outlets in canada cannot share their content on facebook
00:12:39.020 we've heard this week that uh google and the government have not really been able to reach
00:12:43.500 any resolution on this so i i don't know whether we're going to see a response like that from any
00:12:48.940 of the players when it comes to streaming i'm curious if you think any will respond that way i mean
00:12:55.340 surely for a netflix there's enough of a canadian market that is worth complying in some way with
00:13:00.540 this especially if it doesn't really cost them anything but do you see some c18 style response from
00:13:06.140 any of the big players yeah i think that's certainly possible um not so much necessarily from
00:13:11.580 the big players although it is possible from say at disney plus um and you know for reasons in addition
00:13:17.980 to this this legislation in terms of how they're positioning themselves but at a certain point you
00:13:24.540 know this is interesting for the crtc because in all of its hearings in the past it's everybody in
00:13:30.620 the room pretty much everybody in the room has a crtc license or wants a crtc license they're all
00:13:36.460 dependent on the crtc so all that really is happening in the room is you're negotiating the
00:13:41.580 terms of that relationship but the relationship is locked in you are married to the crtc when it comes to
00:13:49.900 now with the this next hearing there's going to be a whole bunch of people in the room who have the
00:13:54.700 option just to leave and that creates an entirely new dynamic and i'm really really curious to see
00:14:01.260 how the crtc is going to like respond to that because there will be people there who can say
00:14:07.020 well sure if you do that well then we'll have to you'll have to look at it from a business point of
00:14:11.820 view and some of the smaller streamers particularly could look at it and say you know you know what i
00:14:17.420 mean all this regulation and all this sort of stuff and if we have to make a contribution into this fund and
00:14:22.460 that sort of stuff you know there's a there's an anglophone market of just over 30 million people
00:14:28.300 it's not that big it's just not worth it right and they'll just leave and they'll take their most
00:14:33.340 popular shows and they will sell them most likely to crave so this will work very well for bell if if
00:14:40.780 that works because then they'll become an aggregator of all these smaller channels britbox like i mentioned
00:14:47.340 is is is one so i'm not saying nobody can say what will happen because you don't know but it's
00:14:53.100 certainly possible and and they'll just do a business analysis on it and say okay we'll just
00:14:58.060 sell some stuff into canada but we don't need to stream in canada and so canadians will have
00:15:03.420 us be living in a smaller world well it's an interesting dilemma you bring up i mean one that i've
00:15:08.940 been trying to sort of goad into this debate is daily wire in the u.s which operates its own
00:15:15.660 streaming service for content behind a paywall they've got ben shapiro and jordan peterson it's a
00:15:20.700 more conservative aligned network obviously so i don't think it's particularly keen to
00:15:25.660 uh do justin trudeau's bidding but beyond that it's a mark it's a an outlet that would have very little
00:15:31.580 interest in the canadian market and it's probably not worth their time to focus on compliance with
00:15:36.620 canadian regulation so you take the daily wire as one example and there are probably others that you
00:15:41.580 could point to in australia or the uk or europe that just do not invest in canadian government
00:15:48.060 relations or compliance because it's so minuscule to them and i i'm wondering what will happen because
00:15:52.860 a lot of these organizations may not even think to register if and if they do they may think that it's
00:15:57.980 not worth their while does the crtc even have the capacity right now to start going after any outlet
00:16:05.900 around the world that doesn't register that uh under the letter of what they're doing operates
00:16:10.620 in canada by virtue of being accessible here yeah i'm still trying to figure that one out because i
00:16:15.420 was i was asking a couple colleagues this morning in anticipation of being asked that question uh how
00:16:21.340 can they find out who makes 10 million dollars in canada and who doesn't right so like i mean and
00:16:27.500 does it does it have to be 10 million from canada or can it be just 10 million because the way i read it
00:16:32.140 just said if they have revenues exceeding 10 million i wasn't even sure if it was geographically limited
00:16:37.260 i think that maybe stands to be clarified as well okay um but i mean but even so how are you know
00:16:44.540 how are you going to tell if i mean let's let's just assume that it's 10 million dollars in revenue
00:16:48.620 that you draw from canada that you are because it sort of says you are active in canada and you have
00:16:53.740 revenues so it it probably needs to be clarified but let's let's assume it's 10 million dollars and how
00:16:59.100 do you find out right like um and and who wants to find out who wants to sort of when you don't
00:17:05.660 register does that mean everybody knows how much money you're not making right um you know you know
00:17:11.420 and that sort of stuff so i think the 10 million was a real mistake i think they should have had a
00:17:16.700 much bigger number in part to make life easier for everybody at least starting down this path of
00:17:22.380 internet regulation but secondly the whole purpose of this act was sold to everybody is this is just
00:17:28.060 about getting money from web giants so go get my coat so what now you make 11 million bucks that
00:17:33.340 makes you a web giant like i don't i don't i don't get that at all so anyway i don't know i don't know
00:17:39.500 yet how they would find out like if you don't register how they would find out about you um if they
00:17:45.500 do find out they they have fairly limited powers um at this point but they would have to go to federal
00:17:54.540 court and get a court order forcing your compliance um they've done that they've done that in the past
00:18:00.460 with other groups that are supposed to register that have refused to register but they don't have
00:18:05.260 a big hammer they can bring down on you so this could you know that gets immediate action so this is
00:18:11.260 something that could drag on for years well and also i mean if we are talking about a player that's
00:18:16.540 completely non-compliant for whatever reason you know inevitably you have one tool in the toolkit
00:18:23.260 which is block canadians from accessing this uh you know the government would have to and that's a
00:18:28.540 road that i would hope no government wants to go down yeah you'd have to you'd end up going to court
00:18:34.700 to get a federal court to to issue a blocking order to isps yeah that says that you you may no longer show
00:18:41.980 andrew lawton's show uh you have to don't give them any ideas peter you have to i promise you
00:18:49.740 no you have to you have to block that right because they are non-compliant and that sort of stuff and
00:18:54.060 that gets you know that is really really draconian when you when you have to get into that right so
00:19:01.020 i think people's willingness to register i mean there will be a number of people who will do so very
00:19:06.140 nervously um and everybody says well right now you're just being asked to register and that sort of
00:19:11.740 stuff but no you're not you're being asked you're being asked to walk through a door and you don't
00:19:17.900 really know what's on the other side and that makes people nervous and it'll it'll have a negative impact
00:19:23.900 on investment it'll have a negative impact on growth just as it has just as the facebook ban has had a
00:19:30.780 on news has uh you know had people put uh expansion plans and growth plans on hold because everybody's
00:19:37.980 right now it's two months we're two months in and everybody's trying to get in the calculator out
00:19:42.380 and trying to figure out how much this has cost them so far and you know where are we at where you
00:19:46.300 know how does this impact our budget for this year do we have to where do we have to cut back do we have
00:19:51.260 to cut back can we make it up someplace else you know that's what you create when you do this and
00:19:56.220 it can go on for years and it does real harm especially at a time when we need a lot of creativity
00:20:01.500 we need a lot of investment we need to adapt to a new world yeah very very well said peter menzies
00:20:08.300 always a pleasure keep up the fantastic work on this really appreciate your time thanks very much
00:20:12.940 for your interest always happy to help thanks for listening to the andrew lawton show support the
00:20:17.420 program by donating to true north at www.tnc.news