Netflix And Other Streamers Now Facing Major Regulations, Could Be A Disaster For Content
Canada's new Online Streaming Act requires streamers like Netflix to create more content involving Canadian stories and music.
Hot on the heels of Netflix’s hotly debated password-sharing debacle, Deadline reports that Canada has slapped the streamer and others like it with a new rule that requires them to more fully involve the country in their productions. Fellow platforms like Prime Video and Disney+ are also finding themselves caught up in the new legislation with the country prepared to lay down the law should the studios not comply with the ruling.
Essentially, this means that Netflix and the other companies named will need to up their Canadian-based projects by bringing in more jobs for creatives based in the country. The government is also hoping that in turn, there will be more stories told about Canada’s Indigenous population and also celebrate its English and French language blend. At the heart of the change is the hope that the bill will provide better opportunities for those in the country hoping to break into the entertainment biz.
The bill has long been in action for traditional broadcasters, first going into effect back in 1991. Of course, the way audiences take in their content has changed a lot over the last 30+ years, with Netflix and other streaming services quickly rising to the top over the last two decades. With this in mind, it almost seems like the changes are a long time coming with platforms getting away with flying under the radar for all these years.
Dubbed the Online Streaming Act, the law has been a major point of contention for many years before finally being passed by the Senate yesterday. Now, Netflix, Disney+, and the rest of their peers will be forced to fill quotas to meet the new decision. Should they not hit their mark, the Canadian Radio-television and Telecommunications Commission has the right to hit them with hefty fines and other penalties.
While many, including those at YouTube, voiced their concern and disdain for the bill, it eventually gained traction leading it all the way to the win in the Senate. First introduced under Justin Trudeau’s leadership, Canadians are worried that this will be the first step towards censoring Netflix and their other favorite streamers. The government staunchly stands by its belief that the bill will provide nothing but extra visibility and income for the country, noting how important it is to ensure their own stories are told.
Over at Netflix, the bill could ultimately hurt the company more than it already is following the announcement that they’ll be discontinuing their DVD program in the fall. There’s also the aforementioned change in password sharing which will now charge users for allowing others to hop on their accounts.
A flex of control by the Canadian government, there’s no telling how this could affect the world of streaming. On one hand, it’s terrific that more stories will get told and that more people will get the chance to pursue their Hollywood dreams, but on the other, it could be a risky and dangerous step for Netflix and the rest of the streaming community.
