The cinema community wants 20% of the royalty imposed on large platforms by the CRTC

The Quebec cinema community also wants to benefit from the revenue generated by the 5% royalty that the CRTC will impose on listening platforms, such as Netflix and Disney+. Some 265 industry professionals returned to the charge on Monday to deplore that this contribution currently only serves the television ecosystem.

In a letter addressed to the Canadian Radio-television and Telecommunications Commission (CRTC), they propose that at least 20% of the funds collected under this royalty be paid to Telefilm Canada, a public organization which finances film production. The signatories also ask that acquisitions of Canadian films by major platforms not be considered in the new regulatory framework as a contribution to the cinema sector. “Only the amounts [destinés] to the production of original Canadian works should be counted as contributions,” we can read in their missive.

Several influential members of the Quebec film industry signed this letter. Among them, there are producers such as Roger Frappier and Denise Robert. But also directors (Denis Villeneuve, Philippe Falardeau and Kim Nguyen), screenwriters (François Avard and Luc Dionne) and actors (Gilbert Sicotte, Éric Bruneau, Louise Portal and several others).

The CRTC, the body that regulates the industry in the country, two weeks ago required online listening services to pay 5% of their revenues in Canada to the local audiovisual ecosystem. This decision follows the adoption by the Trudeau government of Bill C-11, which provides for the inclusion of listening platforms in the Canadian regulatory framework, to which traditional broadcasters are subject.

The Canada Media Fund, which finances the production of television shows of all kinds, will reap a large part of the benefits resulting from this measure. As soon as the contribution was announced, professionals in the film industry deplored the fact that this sum did not benefit Telefilm Canada.

Ottawa estimates that this royalty will inject $200 million into the Canadian audiovisual industry.

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