Corporations and government have a duty to support made-in-Canada journalism, Toronto Star owner says

Toronto Star publisher and owner Jordan Bitove made an impassioned plea Thursday to Canadian corporations and governments to step up and support journalism, arguing that it is essential to democracy and that smaller communities are being starved of essential information.

Bitove, speaking to a packed audience of business and community leaders at a Canadian Club luncheon in Toronto, said big tech companies including Google and Meta have drained crucial advertising revenue from media companies, endangering journalism’s business model and indirectly, democracy itself.

“The advertising revenue that once funded our newsrooms has been moved — ironically to companies that use our content for their benefit … The result is that we are seeing local news disappear by increments,” said Bitove, who estimated that tech giants control up to 80 per cent of the online advertising market.

Lower revenue means less money for newsrooms to spend on the journalists who keep Canadians well-informed, he said.

“Fact-checked, investigated, accountable truths — the stories that inform civil discourse, how we vote, what is happening in schools, hospitals, in the offices of influence, and on our streets — this comes from journalists — real people putting in a ton of effort to keep citizens informed,” said Bitove.

“Without trusted, accountable journalism how are we going to counter the misinformation and disinformation that has come to dominate discussion and impact on our safety and public discourse?”

Bitove cited statistics from the News Poverty Map showing that 361 news outlets have closed across Canada since 2008. He also noted the Canadian Media Directors’ Council says that over 3,000 editorial and noneditorial news jobs have been lost since 2020.

In a question-and-answer session with Canadian Club Toronto president Joseph Lo, Bitove also criticized the tech giants for “manipulating” their algorithms so fewer readers see vital news stories.

“So we’re letting people in Silicon Valley and other parts of the world who have no investment in this country dictate what we read, and are taking all the revenue on the other side of it,” said Bitove.

That kind of behaviour makes Bill C-18 — which mandates that tech companies negotiate with media companies to pay them for using their stories — even more vital, Bitove said.

“This is about levelling the playing field,” said Bitove.

Support for journalism is vital not just for newsrooms, but for society, Lo acknowledged.

“You’ve clearly shown us this is not a journalistic imperative, this is a Canadian imperative,” said Lo.

In February, Google acknowledged that it had been limiting how news stories showed up in search results as a test ahead of C-18’s implementation.

“We’ve been fully transparent about our concern that C-18 is overly broad and, if unchanged, could impact products Canadians use and rely on every day. We remain committed to supporting a sustainable future for news in Canada and offering solutions that fix Bill C-18,” a statement from Google said at the time, adding that just four per cent of users were affected by the test.

Bitove also called on audience members to find out how much of their own companies’ advertising spending went to local, Canadian media organizations.

“Go back to your office and find out what percentage of your media spend goes to supporting Canadian-owned and operated media. If it’s not 20 per cent, it’s not enough,” said Bitove.

In November, Bitove took over sole ownership of Torstar, which publishes seven English language daily newspapers including the Star, more than 70 weekly community papers, and other media properties, including fashion publication The Kit. Torstar also has a stake in Northstar Gaming, an online gaming company.

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