The Canadian film and TV industry players are calling for Netflix (NFLX) to pay for local production as an online broadcaster, the Hollywood Reporter said on Thursday. According to the report, the Canadian Media Production Association [CMPA] is coming together Friday in Ottawa to discuss how to deal with Netflix and address concerns that the upstart Netflix Canada service undermines their industry’s revenue model.
CMPA president and CEO Norm Bolen said CRTC (Canada’s TV watchdog) needs to order the streaming video provider to help bankroll the local industry. Stephen Waddell, national executive director of ACTRA, Canada’s actors union, said the industry needed to speak with one voice to convince the CRTC to impose conditions on Netflix Canada who operates in the Canadian market without currently underwriting local content production.
The CRTC however, may have a problem with regulating Netflix. The Canadian TV watchdog ruled in fiscal 1999 that it would not have power to regulate media activities on the Internet under the Broadcasting Act.
Netflix lost $2.19, or 0.92%, to $235.53 at 3:27 pm E.T. in Nasdaq composite trading.