Streamers launch campaign to get Canadians to ‘Scrap the Streaming Tax’

Streaming companies have launched a new campaign urging Canadians to rally against the federal government’s Online Streaming Act.

Under the act, formerly known as Bill C-11, the Canadian Radio-television and Telecommunications Commission (CRTC) requires foreign streamers who operate in Canada to contribute five percent of their annual domestic revenue to local news production and Canadian content. Now, the Digital Media Association (DiMA), the organization that represents streamers like Apple, Spotify, YouTube and Amazon, as part of its ongoing pushback against the Online Streaming Act.

On a new website, the DiMA calls on Canadians to ‘Scrap the Streaming Tax,’ arguing that it’s actually “targeting” everyday people because it will lead to increased prices on streamers. Spotify has already announced plans to increase subscription prices in Canada to offset the levy, while Netflix’s response has so far led to axed funding for local arts programs.

“Join us in fighting to Scrap the Streaming Tax! Contact your local MP today and demand the repeal of this unfair legislation,” concludes the DiMA.

It’s worth noting that Motion Picture Association-Canada (MPA-Canada), which represents the likes of Disney+, Netflix and Paramount+, has also filed two legal challenges in Federal Court to oppose the Online Streaming Act. It remains to be seen what will come out of those disputes.

The CRTC, for its part, has argued that the new ruling will bring $200 million into Canada’s broadcasting system annually. The government claims this requirement will help level the playing field between foreign streamers owned by tech giants and traditional broadcasters who regularly contribute to Canadian content.

Via: iPhone in Canada