Canada’s Journalism Model Provides Key Insights for New Zealand

In the age of misinformation and digital disruption, real journalism—produced by dedicated reporters—remains crucial. As New Zealand, like many democracies, struggles with ensuring the financial sustainability of journalism, Canada’s recent policies may provide a helpful roadmap.

Canada’s newspaper industry has faced a significant revenue decline, with advertising income dropping from $C3.55 billion in 2012 to less than $C1 billion today. However, despite these challenges, Canadian readership remains strong, with 80% of Canadians still engaging with newspapers weekly. Canada has introduced a series of policies aimed at reversing the decline and ensuring a robust future for journalism.

One major step was the introduction of the Online News Act, inspired by Australia’s News Media Bargaining Code, which compels tech giants like Google and Meta to compensate news organizations. While Meta withdrew from Canadian news, Google agreed to pay $C100 million annually to news businesses.

In addition, Canada has implemented a refundable labour tax credit for newsroom employees, incentivizing investment in journalism. Ontario has also committed to directing 25% of its government ad spending to newspapers.

The Competition Bureau of Canada has investigated Google’s anti-competitive practices, aiming to address its dominance in online advertising and its harmful impact on Canadian publishers. Furthermore, Canadian news outlets are taking legal action against OpenAI for unauthorized use of their content in AI development.

By adopting similar strategies, New Zealand could foster a more sustainable media landscape, ensuring journalism thrives amidst the digital age.
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