New CRTC directions for streaming services

Summary#

This is a proposed Order Issuing Directions to the CRTC (Sustainable and Equitable Broadcasting Regulatory Framework) that would give high-level, binding guidance to the Canadian Radio-television and Telecommunications Commission (CRTC) as it updates rules for broadcasting in the digital era. The order is linked to the new Online Streaming Act (Bill C-11) and sets priorities like supporting Indigenous participation, promoting Canadian content, and excluding ordinary social media users from regulation; the notice was published on June 10, 2023 and invited comments for 45 days after that date.

What it does#

• Directs the CRTC to make a new, flexible regulatory framework that brings online broadcasting undertakings into the regulated system while treating similar players equitably.
• Requires the CRTC to support the meaningful participation of First Nations, Inuit, and Métis people in broadcasting, including Indigenous ownership, production, and access to Indigenous-language programming.
• Instructs the CRTC to develop a clear method for financial and non-financial contributions from online undertakings to support Canadian programs and creators.
• Tells the CRTC to promote discoverability of Canadian content in ways that prioritize outcomes, respect user choice, and try to avoid forcing big changes to platform algorithms.
• Directs the CRTC to review and update how it defines “Canadian programs,” with attention to independent producers and Canadian creative personnel.
• Orders the CRTC to support inclusion of equity-seeking groups (for example, Black and other racialized communities, official language minority communities, persons with disabilities) in creation, availability, and discoverability of programming.
• Explicitly excludes ordinary content made by social media creators and the transmission of video games from regulation; it targets platform behaviours that act like broadcasters instead.
• Asks the CRTC to consider accessibility, community broadcasters, and measures to minimize regulatory burden and technological disruption.
• Gives the CRTC a timetable to make necessary regulatory changes within two years after the order comes into force. The order would bind the Commission once it is registered (comes into force the day it is registered).

Who's affected#

• Online streaming services and platforms (foreign and Canadian) that deliver audio or audio-visual programs to Canadians.
• Traditional broadcasters, including commercial, community, campus, and Indigenous broadcasters.
• Canadian creators, producers, and independent production companies who may gain more support or clearer rules for funding and discoverability.
• Social media creators and podcasters who create user-uploaded material: their ordinary user-generated content is explicitly not to be regulated under this order.
• First Nations, Inuit, and Métis communities, and other equity-seeking groups that the order says the CRTC must consult and support.
• The CRTC itself, which would be required to prioritize the listed objectives and run public consultations.
• The general public and audiences, who may see changes in how Canadian content is promoted and funded.
• Small and medium-sized Canadian businesses in the creative sector; the order says impacts depend on how the CRTC later crafts specific rules.

Why it matters#

• The government wants online services that reach Canadian audiences to contribute more to Canadian stories, music, and production. That could mean more funding or active promotion of Canadian content on major streaming platforms.
• The order aims to protect Indigenous storytelling, boost programs from under-represented groups, and improve accessibility so a wider range of Canadians can find and watch Canadian work.
• It tries to level the playing field between legacy broadcasters and large online platforms while avoiding heavy-handed technical fixes to how platforms run their recommendation systems.
• The document is a proposal, not a final rule. The CRTC will hold further public consultations and then design the detailed regulations that would affect businesses and creators. The Commission has two years to implement the changes after the order is registered.