Image: Shutterstock (with AI assist: Note AI misspelling)
The sad, slow decline of professional journalism continues. The most recent manifestation of this in Canada is the announcement that the Saltwire Group, publishers of The Chronicle Herald of Halifax and a number of other daily and weekly papers in Atlantic Canada, is on the ropes with $90 million in debt. The Chronicle Herald has been around for 150 years! Post Media has made a buyout offer of $1 million (less than the cost of the average home in Vancouver). This will keep some of the papers publishing, no doubt with significant staff cutbacks and, reportedly, ending of union contracts and termination of company pension plans. But there seems to be little choice; accept the nasty medicine or expire. Post Media will most likely keep a minimal local newsroom and fill the papers with repurposed content from its flagship daily National Post. Local news will suffer. This is a story that is being replicated all over North America.
Meanwhile small, local online news outlets have been hit by Facebook’s blackout of news for Canadian readers as a result of the passage of the Online News Act, Bill C-18. In the case of New Brunswick’s River Valley Sun, according to the CBC, the free-to-readers, ad-supported, all-digital Sun depended on Facebook to reach its audience as well as to obtain local news that could be added to the online journal. The owner is quoted as saying, “…we started basically from scratch, and because Facebook was free it was wonderful”.
That is the flip side of the narrative accusing Facebook of using uncompensated news content, developed at great expense by professional journalists working for media companies, to attract and hold users’ interest thus keeping them on Meta’s sites (Facebook, Instagram) longer to be able to expose them to more ads. Not so wonderful. That is what C-18 was supposed to rectify, along the lines of the News Media Bargaining Code instituted earlier in Australia, requiring the big social media platforms (in this case Google and Meta) to make a contribution to news gathering if they used news content. Failure to do so would result in compulsory and binding arbitration. While Google ducked and weaved, it eventually agreed to put $100 million into a pot to be doled out to various news organizations by the Canadian Journalism Collective as long as it was given an exemption from the legislation, whereas Meta went to the wall and took down news links rather than contribute. The River Valley Sun is collateral damage, although it could possibly tap into the Google funding if it employs any fulltime journalists (a minimum of two is required).
The Online News Act did result in bringing some additional funding to news outlets, large and small, somewhat along the lines of Australia’s initiative through its News Media Bargaining Code (which was not actually invoked because the two platforms ended up striking content deals with most Australian media). However, it is clear that Meta has had buyer’s remorse about its Australian deals because they are busy unwinding those commitments in Oz. It remains to be seen how Australia will deal with this. There have been some suggestions that the Australian government may be looking at options to force Meta to carry news, and then subject them to the Code. Will Meta get a pass—in which case Google could rightly ask why it should comply—or will news also end up being blocked on Facebook and Instagram for Australian users as well as Canadian?
If that happens, consumers will have to find other ways to get access to news that is normally shared on the Facebook platform. Going to the actual websites of news organizations is one good way to do this. What a novel idea! However, many younger consumers won’t do this; if news is on a social media feed, they might read it, but they will not proactively search for it. Facebook also remains an important go-to source for breaking local news related to weather and climate-change events such as flooding and fires. Hosts of Facebook pages distributing information on the local impact of natural disasters have had to resort to workarounds such as posting photos of news articles on Meta or copy-pasting articles into their Facebook page. (Ironically, such actions could possibly constitute violations of copyright whereas posting a link is not). But workarounds are not going to help news outlets like the River Valley Sun.
Perhaps the journal should take a leaf out of the book of Just Bins, a waste recycling firm in Regina, SK, a garbage collection company that seems to have picked up news distribution as a sideline, benefiting from the free online exposure. It does not distribute mainstream media; it creates its own news content that it features on its website, even employing its own drone footage. Because it is not a news site, it is not blocked by Facebook. It has edgily reported on traffic accidents, problems at City Hall, homelessness, and even suicides. In fact, it was voted best online news source in a recent poll taken for the annual “Best of Regina” awards. Not that it takes its journalism role all that seriously—and that is part of the problem—since fact-checking, journalistic ethics and balanced reporting seem to have been put out with the recycling bins. Just Bins has taken the old adage of “garbage in-garbage out” to new heights. This is yet another byproduct of the Facebook ban, a further kick in the shins for reputable journalism. If the River Valley Sun could just sell pizza on the side, maybe they could slip through the Facebook net and post online as Just Bins is doing.
Just Bins is not the only quasi-news source that has managed to squeeze through the Meta news blockage. This week Howard Law’s media blog MediaPolicy.ca reports on the Meta news ban (“The leaky Meta news ban is roiling Canadian journalism”) and highlights a study conducted by researchers at McGill University on the impact of the ban a year after it went into effect. The McGill study notes that many Canadians continue to use Meta as a source of “news” despite the ban. Three-quarters of the Canadian public is apparently unaware of the ban, yet Canadian news outlets have lost 85% of their engagement on Facebook and Instagram and almost one third of local news outlets are now inactive on social media. How this apparent contradiction is possible is explained in part by workarounds such as those referred to above, but also because Meta allows sites that declare themselves to be non-news outlets to continue to post content. Mediapolicy.ca discusses the case of Narcity.com, a “chain of local news and lifestyle websites” that has recently been reinstated on Meta. Narcity was denied government tax credits as a “Qualified Canadian Journalism Organization” (QCJO) because of insufficient first-hand reporting. With this rejection in hand, it then applied to Meta to be reinstated on its platform on the basis that if it didn’t qualify for QCJO credits, it must not be a news provider under the Online News Act, C-18. It’s a clever argument, one that possibly the River Valley Sun could take advantage of.
One can argue that Canada’s attempt to require Google and Meta to enter into good faith negotiations with news providers to license content was either a valiant and imaginative attempt to come to grips with the painful decline of journalism, riding to some extent on what at the time appeared to be the successful coattails of Australia’s initiative, or a colossal miscalculation and poor timing as the platforms decided to draw a line in the sand in case media interests in the US decided to follow suit. Google and Meta will do everything possible to avoid going down that road. If sending a signal to US media interests requires them to call the bluff of the Canadian government, they will do so.
In the end, the results are mixed. Legitimate media in Canada, big and small, will get some help from Google’s contribution, although the amount Google is providing through the Canadian Journalism Collective has to be offset against pre-existing voluntary agreements that both Google and Meta had with some journalistic outlets. The Meta subsidies are now gone, and the previous Google contributions have been folded into the $100 million that Google has agreed to put on the table. Meanwhile, in Regina, Just Bins has found the garbage loophole, serving up its version of trashy journalism and news on Meta, going where bona fide journalists cannot. Sad.
© Hugh Stephens, 2024. All Rights Reserved.
