Broadcasting Act: Bill C-10

Re: Bill C-10 (An Act to amend the Broadcasting Act and to make consequential amendments to other Acts)

Dear Minister Guilbeault and Honourable Members of the Standing Committee on Canadian Heritage,

We are writing to you on behalf of the Canadian Media Directors’ Council (CMDC) in response to Bill C-10. We are an independent association of media professionals representing advertising media agencies. Our mandate is to ensure a fair, progressive marketplace on behalf of our clients, our agencies, and our media partners.

For 34 years, we have been strategic advisors, advocates, and leaders in the Canadian advertising sector. Our members account for approximately 92% of the total media ad spend transacted annually in Canada. In 2020, that was over $10 billion invested in the Canadian economy, Canadian jobs, and our communications infrastructure. Media advertising is a critical part of the Canadian broadcasting landscape. We humbly submit these thoughts as part of the Committee’s review of Bill C-10 to share what our industry considers the Bill gets right, and what can be improved upon.

We know that the media industry, the CRTC, and the Government of Canada all share the goals of maintaining a vibrant, diverse, and thriving Canadian media ecosystem – one that reflects and enhances Canada’s unique culture. And one that informs and engages a public that has confidence and trust in the news they are obtaining. We also understand that Bill C-10 is drafted with these goals in mind.

What Bill C-10 gets right:

The most important step Bill C-10 takes is bringing digital media broadcasters under the same regulatory regime as other broadcasters. Creating a specific category for “online undertakings'' acknowledges the practical reality in the industry that until now regulations have failed to adequately capture. While there is still more to be done, this will help level the playing field in our industry and ensure two important things: First, that foreign companies broadcasting to Canadians are contributing to the Canadian media ecosystem. And second, that Canadian talent and Canadian businesses are able to compete more fairly against foreign companies broadcasting to Canadians.

We are also encouraged to see the emphasis placed on diversity and inclusion. Our industry has long recognized the importance of diverse voices, viewpoints, and talent. Having this backed by legislation will ensure that this core Canadian value continues to be supported across all of our media channels.

Finally, we consider the enhancements to the CRTC’s regulatory toolkit to be positive. The rapid pace of change and incorporation of new technology in Canadian media means that the tools available to regulators must change with it. Bill C-10 appropriately addresses the updates which need to be made.

Our concerns about Bill C-10, as drafted:

As the people responsible for directing billions in investment through the Canadian media ecosystem, we are pleased to see new regulations bring online undertakings under the CRTC umbrella. Nevertheless, we must also caution against being overly prescriptive within these regulations.

An over-regulated system places shackles on what, when, and how content is produced and broadcast. It doesn’t protect what is needed most: high-quality content with highly engaged audiences.

Why is this important to us? Our media business foundation comprises data, insight, consumer engagement and, most importantly, audiences. Giving broadcasters the ability to use the full scope of their talents and create high-quality content will ultimately also create a healthier Canadian marketplace. It will create more robust Canadian programming that Canadian businesses and advertisers can invest in and commit to.

We are, and will always be, competing against global companies. Should Bill C-10 pass as drafted, these foreign competitors will have much more choice in investing as they see fit. Tying the hands of Canadian media effectively means that Canadian firms competing with American and other foreign firms are at an immediate, automatic, and perilous disadvantage.

Successful media investment develops our Canadian audience base with a positive effect on the economy and, ultimately, job creation. It also allows industry experts the freedom to invest in avenues that need it most, like local Canadian news.

We need not remind this committee that news media in Canada is struggling. Many outlets have already shut down. Many more are on the brink. As a result, trusted local news, journalism jobs, and the media advertising industry’s ability to reach Canadians are all being threatened. Subsequently, the health of Canadian democracy is also being compromised.

Enabling Canadian media to invest creatively and flexibly is therefore not only an investment in our $10 billion industry, but in our news media and our democracy.

Bill C-10 takes many important and positive steps forward in terms of ensuring a fair marketplace for content in the Canadian media ecosystem. However, it also leaves some room for improvement to ensure we can reach our shared, positive goals together. The CMDC and Canadian media advertisers are aiming for nothing more than to maximize the positive effect of our investments upon our unique Canadian media ecosystem and our democracy.

We look forward to the opportunity to discuss our views in more detail with this Committee as it continues its review of Bill C-10 over the next few months.

Sincerely,

Shannon Lewis

President, Canadian Media Directors’ Council

Shannon Lewis