Sirius XM Licence Renewal Upheld

Summary#

This is the Order Declining to Set Aside or Refer Back to the CRTC Broadcasting Decision CRTC 2019-431. The Governor in Council decided on March 13, 2020 (registered April 1, 2020) not to send back the Canadian Radio-television and Telecommunications Commission (CRTC) decision that renewed Sirius XM Canada Inc.’s licence for Sirius Canada and XM Canada. The CRTC decision therefore stays in effect.

What it does#

• Confirms the CRTC’s December 19, 2019 decision to renew the national satellite radio licence for Sirius XM Canada Inc. for the period 2020 to 2024 remains in force.
• Summarizes the CRTC’s required allocation of SiriusXM’s annual Canadian content development (CCD) contributions:
  • at least 22% to the Foundation Assisting Canadian Talent on Recordings (FACTOR);
  • at least 12% to MUSICACTION;
  • at least 6% to the Community Radio Fund of Canada;
  • the remainder to other discretionary initiatives, with an equal level of at least 45% to CCD initiatives in both the French- and English-language markets (as set out in the CRTC decision).
• Records that a written petition received on February 1, 2020 asked the Governor in Council to refer the CRTC decision back for reconsideration. Under section 28 of the Broadcasting Act, the Governor in Council reviewed the petition and decided the decision did not undermine the broadcasting policy objectives, so it was not referred back.

Who's affected#

• Sirius XM Canada Inc., the company that holds the national satellite radio licence.
• Listeners and subscribers of Sirius Canada and XM Canada could notice no change to the licence outcome.
• Canadian music funding bodies and projects that get CCD money, such as FACTOR, MUSICACTION, and the Community Radio Fund of Canada, because the order leaves the CRTC’s funding allocation rules intact.
• The petitioning groups representing parts of the francophone music industry:
  • Association québécoise de l’industrie du disque, du spectacle et de la vidéo,
  • Alliance nationale de l’industrie musicale,
  • Association des professionnels de l’édition musicale,
  • Société professionnelle des auteurs et des compositeurs du Québec. These groups argued the CRTC decision could hurt the French-language music sector. The Governor in Council disagreed.

Why it matters#

• The CRTC licence renewal and its rules about how SiriusXM must spend Canadian content development money stay in place. That affects which organizations and projects receive funding and how much may be available for French- and English-language music initiatives.
• The decision shows the Governor in Council reviewed concerns about the protection of French-language culture in broadcasting but concluded the CRTC’s approach did not conflict with the objectives of the Broadcasting Act.
• For artists, labels, community radio stations, and music funders, this means expected CCD funding rules remain stable through 2024, unless later changed by the CRTC or by another lawful process.