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Results: 1 - 5 of 5
Stéphane Cardin
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Stéphane Cardin
2021-02-26 14:14
Mr. Chair, members of the committee, thank you for the opportunity to address you today.
Last September marked Netflix's 10th anniversary in Canada. We're grateful that over the last decade around seven million Canadians have welcomed us into their homes.
We filmed our first series in Canada in 2012, and our activity has grown ever since. In 2017, we signed an agreement with the government to establish Netflix Canada under the Investment Canada Act, which enabled us to hire Canadians directly. In return, Netflix made substantial commitments, including to invest a minimum of $500 million over five years in production activity across the country. Canada is one of our top production countries globally, and since 2017 we have in fact invested more than $2.5 billion here.
This includes our original series and films, as well as collaborations with independent producers and broadcasters in English and French. We also continue to acquire series and films, most recently Le guide de la famille parfaite.
Netflix also contributes to the vitality and competitiveness of Canada's audiovisual industry through long-term leases for stages, collaborations with leading animation and VFX studios, and the hundreds of vendors we work with across the country.
Earlier this month, we shared great news about our plan to open an office and hire a dedicated content executive in Canada. Netflix is excited to expand our connections with the Canadian creative community and to continue strengthening our local work and partnerships.
Our track record over the past decade is clear. Netflix is committed to Canada, and our message to you is equally clear. We will continue to bring Canadian stories to the world.
We understand that policy-makers must consider the nature of contributions from all players in Canada's entertainment ecosystem. To the extent that Bill C-10 aims to create a flexible framework that will enable the CRTC to tailor conditions of service applied to online undertakings and to recognize the different ways that online services contribute, we think such an approach makes sense.
However, simply imposing the regulatory obligations of licensed Canadian broadcasters onto online entertainment services would not be an appropriate approach to ensuring contributions from this otherwise vibrant sector. Services like Netflix do not perform the same roles as traditional broadcasters, nor do we have the same content strategies.
We look forward to discussing these issues at public hearings before the CRTC at the appropriate time. For now, we note our concern with an approach that would impose a uniform 30% Canadian programming expenditure requirement to the Canadian revenues of online video entertainment services.
Such an approach would not create a level playing field, nor would it be fair and equitable. Netflix seeks no regulatory benefits. Nor do we offer news or live sports programming—the categories that enable Canadian broadcast groups to meet the majority of their spending obligations.
Canadian consumers have more entertainment options than ever. An overly burdensome regulatory framework could result in reduced choice for Canadians. As new global services are launched, some may decide not to enter the Canadian market at all, while others may avoid regulation by providing their content through a Canadian intermediary instead of setting up here.
The government has stated its ambition to create a world-class communications sector for Canada and highlighted the importance of enabling and promoting Canadian culture, contributing to economic growth, and safeguarding the interests of Canadian consumers.
In order to achieve that ambition and build a well-balanced, forward-looking and resilient model, let's acknowledge the contributions of each participant in the system and enable them to play to their strengths for the benefit of Canadian stories, workers and consumers.
Thank you, Mr. Chair. I'd be happy to take your questions.
View Martin Champoux Profile
BQ (QC)
View Martin Champoux Profile
2021-02-26 14:40
Thank you very much, Mr. Chair.
My thanks to the witnesses for being here today, because they always enrich us with their contribution.
I would like to start with you, Mr. Cardin. Netflix has invested the equivalent of $2.5 billion in Canada since its agreement with the government, which is very good. That's about three-quarters of a billion dollars a year. Can you tell me how much of that goes to acquisitions versus what goes to production?
Stéphane Cardin
View Stéphane Cardin Profile
Stéphane Cardin
2021-02-26 14:40
I don't have the exact figures for the ratio between acquisitions and original Netflix productions. They're both significant. In terms of our productions in Quebec, we have produced comedy specials and the feature film Jusqu'au déclin, which is an original creation, but we have also acquired several feature films, including 1991, Bon cop, bad cop, Bon cop, bad cop 2, Les affamés, and others that were once in our catalogue but are no longer there because the rights have expired.
View Martin Champoux Profile
BQ (QC)
View Martin Champoux Profile
2021-02-26 14:41
In terms of your investments, can you tell me the ratio of French-language to English-language productions? I'm talking about within Canada, of course.
Stéphane Cardin
View Stéphane Cardin Profile
Stéphane Cardin
2021-02-26 14:41
No. Certainly, as far as the francophone proportion is concerned, we have to make additional efforts. I'll give you that. We are not hiding the fact. It is part of the reason why we decided to open an office in Canada. Our goal is to broaden our relationships with Quebec creators. I hope the proportion will be higher. Quebec, by the way, is a very important centre for us when it comes to visual effects and animation. We are very involved here and we want to increase that presence.
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