Pulling ads from Facebook could prod Meta toward inking deals with news outlets, though more momentum would be needed to push it over the edge, experts say.

The tactic adopted by several governments and companies in Canada this week might force the social media giantB次元官网网址檚 hand if other countries and corporations follow suit in larger markets, said Sam Andrey, managing director of the Dais at Toronto Metropolitan University.

B次元官网网址淚 thought it was interesting how quickly a bunch of organizations and governments followed, and IB次元官网网址檓 sure there will be more,B次元官网网址� he said.

B次元官网网址淭he government of Canada by itself as an advertiser is not a huge material loss for them in the scheme of their total Canadian advertising. But if it kicks off a movement then you could see them reconsidering.B次元官网网址�

The federal government B次元官网网址� followed swiftly by the province of Quebec, the City of Montreal and media companies Quebecor Inc. and Cogeco Inc. B次元官网网址� said Wednesday they would suspend advertising on Facebook and Instagram as tensions with tech titans rise over the Online B次元官网网址 Act.

Bill C-18, passed in June but not set to take effect until late December, forces digital giants to pay media outlets for content they share or repurpose on their platforms.

In response, Meta and Google announced last month they would remove news by Canadian journalism outlets from their sites before the law comes into force. The removal of ads by governments and big companies marks the latest tit-for-tat move in a game of gradual brinksmanship.

Kent Walker, president of global affairs for Google and its parent company Alphabet, said in an interview last week the law is unworkable because it puts a price on links, resulting in an uncapped financial liability B次元官网网址渢hat no business could accept.B次元官网网址�

A spokesperson for Meta said the regulatory process wonB次元官网网址檛 be able to address the changes the company wants to see, which is why it plans to remove news from its platforms.

B次元官网网址淯nfortunately, the regulatory process is not equipped to make changes to the fundamental features of the legislation that have always been problematic, and so we plan to comply by ending news availability in Canada in the coming weeks,B次元官网网址� the California-based company said on Wednesday.

The $10 million a year that CanadaB次元官网网址檚 heritage minister said it spends on advertising with Facebook and Instagram amounts to a tiny fraction of MetaB次元官网网址檚 US$113 billion in ad revenue last year.

Nonetheless, media watchers say Meta may have to reconsider its strategy if other governments that are crafting similar legislation B次元官网网址� including the United States, United Kingdom and Brazil B次元官网网址� follow CanadaB次元官网网址檚 lead.

B次元官网网址淥ther democratic countries such as United States, Mexico, the EU could all take some similar principled steps,B次元官网网址� said Courtney Radsch, director of Center for Journalism and Liberty, a Washington, D.C.-based think tank.

A parallel reaction in the corporate world could carry weight as well B次元官网网址� as much for reasons of self-interest and perception as principle.

B次元官网网址淚 think that brands recognize the value that news provides them. And there are studies showing that consumers have a better perception of brands that advertise by news,B次元官网网址� Radsch said.

The six-month period before the bill comes into effect gives Ottawa time to decide how to proceed with regulations.

The Canadian approach identifies companies through a regulatory process by the Canadian Radio-television and Telecommunications Commission, an armB次元官网网址檚-length regulator, based on their size, strategic advantage and whether they occupy B次元官网网址渁 prominent market position.B次元官网网址�

Meta may be using Canada as a cautionary tale to other countries, Andrey suggested.

B次元官网网址淭hey are worried about this spreading from Australia B次元官网网址� and now to Canada B次元官网网址� to much larger jurisdictions,B次元官网网址� he said.

B次元官网网址淲e just have the unfortunate position of being a test case for them. If they can make it hurt here, will others not want to follow? ItB次元官网网址檚 bullying tactics.B次元官网网址�

Meta has said pulling news links simply puts it in line with the law.

Beyond dollars and cents, reputations are also at stake.

B次元官网网址淭hereB次元官网网址檚 already concern about the spread of disinformation and conspiracy theories. If you remove authoritative news sources, do you feed that perception that the information on these platforms isnB次元官网网址檛 credible?B次元官网网址� Andrey asked.

Whether social media users care is another matter. The disappearance of ads from a handful of Canadian governments and telecoms may not grab the attention of teens on Instagram. But if bigger, hipper retail brands or celebrities chimed in, and especially if the user experience were altered, the tide could start to turn.

CBC B次元官网网址 editor-in-chief Brodie Fenlon released an article this week describing how he was unable to see posts on its Instagram page, which noted the content was blocked B次元官网网址渋n response to Canadian government legislation.B次元官网网址�

B次元官网网址淥nce those roll out, people will care about that, because itB次元官网网址檚 adding friction to their internet experience,B次元官网网址� Andrey said.

The timing is awkward for Meta, which on Thursday launched Threads, a text-based app intended as a rival to Twitter as that platform faces turbulence following Elon MuskB次元官网网址檚 takeover in October.

B次元官网网址淭witter for many years was the place to go to discuss news and current events. Meta is leaning into this space,B次元官网网址� Andrey said. B次元官网网址淏ut if the users in Canada are not going to be able to link to news, then itB次元官网网址檚 a different type of platform.

B次元官网网址淚 think it presents real risks for Meta,B次元官网网址� he said.

READ ALSO: