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Canada to crack down on foreign investment in digital media sector

ReutersReuters Ā· 9m
Canada to crack down on foreign investment in digital media sector

The Canadian government plans to tighten regulations on foreign investment in the interactive digital media sector in order to protect national security. Innovation Minister Francois-Philippe Champagne stated that there will be increased scrutiny of investments by entities owned or influenced by foreign states, particularly those engaged in activities that pose a risk to Canada's security. The move is aimed at preventing state-sponsored actors, such as China and Russia, from spreading disinformation or manipulating information through video games and virtual reality devices. Foreign entities seeking to invest in the sector may have to provide stricter undertakings, focusing on creative independence, corporate governance, and transparency.

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