Meta's recent announcement that it won't renew funding deals with news outlets in other countries shows that its decision to ban news on Facebook and Instagram in Canada—in response to the federal government's Online News Act—has had little impact on its bottom line, say observers. “Canada is almost like a test balloon for how Meta can handle this,” said Alfred Hermida, a professor at the University of British Columbia and co-founder of the Canadian edition of The Conversation.
” Google has taken a different approach to Meta, agreeing to pay $100-million annually, indexed to inflation, into a media fund in exchange for being exempted from the provisions of the legislation. But Hermida said the two companies had very different business models that influenced their approaches in dealing with the federal government. “Google's mission is to organize the world's information, and it's hard to do that if you don't have news as part of the mix,” he said.
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