A year after Google’s landmark $100-million annual deal with Canadian publishers took effect, a new independent auditor’s report says the funds are helping preserve local newsrooms across the country – even as smaller outlets struggle with funding caps, lost social media traffic, and an uncertain five-year horizon.

According to the report, released by the CRTC on Oct. 23, the Canadian Journalism Collective (CJC) disbursed $96.7 million to 445 eligible news businesses during the first full funding cycle in 2025.

The report says the payouts provided a crucial lifeline for newsrooms adjusting to shifting digital consumption and changing regulatory framework under the Online News Act.

“Overall, the analysis found that the majority of respondents were grateful for the funding received and that the distribution of the funds stemming from the Google-CJC Agreement allowed their news businesses to continue operations and ‘keep the lights on,’” the report noted.

Where the money went

The year one breakdown of disbursements (as of June 30, 2026) indicates the bulk of the funding – $60.67 million – was distributed across 269 print and digital publishers.

Broadcasters received $29.2 million distributed across 175 independent broadcasters (capped at 30% of total funding), while CBC/Radio-Canada received $6.86 million (capped at 7%).

The CJC retained less than its allowable 2% administrative fee, with remaining unspent overhead and accrued interest rolled over into next year’s fund for publishers and broadcasters.

Based on a survey of 165 funding recipients, the vast majority of media outlets channeled their payouts directly into maintaining reporter salaries, avoiding layoffs, and preserving local coverage.

“Overall, has had broad, systemic positive impacts,” wrote one survey respondent. “Preservation of local news coverage — funding has prevented the loss of local journalism capacity in many communities and helped avoid ‘news deserts.’ Improved emergency communication — stable and adequately staffed newsrooms have enhanced the ability to deliver timely, accurate information during emergencies.”

“Able to print our publication as opposed to keeping it online and TV only,” another publisher reported. “That means a lot to people in rural Canada.”

The report also highlighted benefits for equity-deserving groups. Outlets surveyed included 35 operating in Official Language Minority Communities (OLMCs), 27 serving Black or racialized communities, and 11 Indigenous news outlets. Newsrooms reported producing content in 19 non-official languages, including Punjabi, Tagalog, and Ukrainian, and nine Indigenous languages, including Inuktitut, Mohawk, and Tłı̨chǫ.

Friction over freelancers, formula, and social traffic

Despite widespread relief, the report captures significant friction within the industry regarding how funding is calculated. Because CJC compensation is based strictly on paid, full-time equivalent (FTE) staff hours, volunteer-driven and hyper-local media outlets reported feeling left behind.

“While the funding received, as a percentage, may seem significant, for a tiny newsroom, it is too little money to make a meaningful impact on our operations,” one small publisher noted.

Others pointed to the ongoing fallout from Meta’s decision to block news on Facebook and Instagram in response to the legislation:

“Bill C-18 effectively destroyed our digital strategy, resulting in a loss of revenue and visibility,” a respondent stated.

The long-term sustainability of the deal – which guarantees Google’s $100M annual contribution for five years – also remains a core concern for independent media owners.

“The downside to this strategy is the uncertainty of funding beyond five years,” another newsroom warned. “We will need to grow revenues and create new revenue streams to support the increased salaries and that is proving very difficult for community news publishers who lack the scale of national or international news operations.”

Appeals and audits

To ensure integrity in how funds were allocated, the CJC conducted strict newsroom audits via an external accounting firm following an initial 60% partial payment in March 2025.

The audits uncovered instances where outlets improperly claimed independent freelancers or overstated employee hours, triggering recovery of overpayments and deductions from year two payouts.

Additionally, of 41 news businesses that appealed initial eligibility rejections, 22 were ultimately approved to share in funding, while 19 appeals were denied. Reasons for rejection included failing to meet the minimum threshold of two full-time employees, failing to demonstrate original reporting, or publishing content focused primarily on specialized trade topics rather than general news.