Ownership, Control, Decision-Making in the Mainline Commercial Media - Background Paper for One Media 75 Series the Canadian H~Storian
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Ownership, control, decision-making in the mainline commercial media - Background Paper For One Media 75 Series The Canadian h~storian. Harold (I 16) "controlled or partially owned have not been computed. but radio Innib. has pomted out that the control by groups" accounted for 778 of the and TVchains criss-cross the coun- of information mems the control of total in Canada. This figure today has try and link in places with other thought and therefore of society. increased to 89%. broadcast, cable and print media. His student, Marshall McLuhan, Davey reported that the 3 largest Several are imbedded in industrial followed on to say that media are like groups in Canada - Southam, Free conglomerates. For example, Stan- a giant massage parlor constantly Press Publications and Thomson -. dard Broadcasting owns CFRB, body-rubbing the public. accounted for 44.7% of the total. CKFM, CFRX in Toronto, CJAD, Many others have commented on Today that figure has grown to 52%. Montreal, and has an interest in the power of the mass media, ranging Even while the Davey Committee Bushnell Communications, the from Will Rogers' folksy quip, "All was meeting, and since then, 9 licensee of CJOH-TV, Ottawa. I know is what I read in the newspa- dailies have been enchained: F.P. Standard is in turn owned 38% by pers' ' to Nicholas Johnson's "Tele- has added the Montreal Star to its Argus Corporation which has in- vision is one of the most power- string of 8 papers. So~~thamhas terests in Dominion Stores. Domtar. ful forces man has ever unleashed added 4 dailies to its list of 9 papers Hollinger Mines, Massey Ferguson upon himself." and Thomson has added 4 papers to and B.C. Forest Products. There can be little doubt that his chain of 30. In Toronto, the Star Power Corporation of Quebec power in some form and in some de- ha5 absorbed the Telegram. Two new includes Canada Steamship. Impe- gree resides in the mass media - dailies have been created: the Toron- rial Life, Investors Group, Lauren- whether it is the power to reinforce or to Sun and Le Jour, a co-operati- tide Finance, Consolidated Bath- to change human behavior in social. vely-owned daily in Montreal. urst, Dominion Glass and Gelco political or economic activity. Thus, Meanwhile, two new chains have Enterprises and Gesco Limited it becomes imperative to scrutinize started up: Sterling Publications with which own most of La Resse and Les all the media: large, middling and six small dailies scattered between Joumaux Trans-Canada with its 18 small. This paper addresses itself Summerside, P.E.I. and Prince newspapers and one radio station. mainly to "the industrialization of Rupert, B. C., and Unimedia. Inc. in Little wonder that the Quebec plublic media" in which small-scale, Quebec with two papers. legislature is considering a bill to personalized cultural products be- Daily newspaper concentration is check the power of Power Corpora- come large-scale and impersonal, far greater in Canada than in the tion and Paul Desmarais. leading to vanishing papers, mer- United States. Raymond Nixon, a Cable television. created origi- gers, chain-making in all media. U.S. authority on press concentra- nally to serve small communities by While we have many small media tion, has calculated that in 1970 the 8 use of high-antenna towers, has be- in Canada. they are a tiny trickle largest ownership units in the U. S. come part of the main-line media compared to the main-stream com- controlled 28.34% of total circula- with the difference that people pay mercial media and there is no ques- tion compared with Canada's for What tney get and reliance on ad- tion that "inequality of influence" 70.13% for the 8 largest that year. If vertising is avoided (they do, how- exists. The old classic liberal theory it is any consolation, the U.K. is ever. pass along the ad messages of held by John Stuart Mill, often used higher than Canada - but that is many commercial stations). Canada to argue that any kind of media partly due to acanadian emigrk, Roy is the most cableized-TV nation in accountability is an infringement of a T'homson, who is also the world the world with abut 35% of homes "free press", can no longer apply. champion media centralizer. receiving signals from some 400 sys- Moreover, Mill saw "the market- National and regional chains do tems. But this hardware feat has been place of ideas" as arising our of not, of course, represent the only accomplished mainly to receive small. competing units and in fact concentration of media power in U.S. signals. In the U.S. itself. was not merely opposed to govern- Canada. "Local combinations" - cable serves only about 15% of the mental power, but to powr itself. the ownership of more than one homes. Only CRTC action in 1971 Much of that power today rests with medium within a community -con- has led to priorities for Canadian sta- the owners and managers of mass tinue as before to the point where tions and the use of one channel media - so the question really is there are now only three cities in on Cable-TV for community pro- "Freedom of the Press - For Canada where independent dailies grams. It IS now asking that cable Whom?" offer competition to gror~p-owned companies spend 10% of their gross Who owns or controls the main- dailies: St. John's, Neuloundland; on community channels. line commercial media in Canada? Toronto; and Montred. Cable companies are in a (By this term we mean profit-seeking In the field of broadcasting, the financially sweet position. They are media with large, heterogeneous au- Davey Report noted a smilar end given a monoply in the area whew diences). When the Special Senate tor more outlets to fall into fewer and they operate and they don't have to Committee on the Mass Media under fewer hmds. Groups then had in- pay for the programs they pull out of Keith Davey issued its report in terests in TV and radio stations close the air. Seminars held by the Cana- 1970. circulation of daily papers to 50% of the total. Updated figures dian Cable Television Association in 1971 showed that a 30,Whome Advertising, which once rescued Montreal's daily paper, Le Jour - system would retire its entire debt newspapers from governmental created in February, 1974 - has ap within 5 years and then begin to pay domination, has become a new mas- plied democratic ownership by the handsome profits. The Davey Report ter for all mass media. They now live public and control by the editorial estimated that five established com- or die on the numbers game: how staff. Newspaper and Wire Serv~ce panles earned after-tax income rang- many consumers they can deliver to Guilds are pressing for more ing from 18.5% to 56.16% on unde- the market. Let advertising fall even decision-making in other media. prec~atedcapital. slightly and a magazine, broadcast Citizen ownership through registra- The drive toward bigness through oulet or newspaper, despite quality, tion or incorporation as a society, mergers may be seen not just as sur- may be finished. Ads break up and non-profit company, co-operative or wval tactics but high-profit incen- clutter up content to ensure captive charitable organization have been tive. Davey found that the overall audiences. used by RAVEN radio for Indian after-tax average for all newspapers There are, of course, various al- bands on the West Coast; a cable-TV ternatives to private-ownership, community-owned facility in Camp- from 1958 to 1967 as a percentage of known total equity was between 12.3% and profit-seeking media The best bell River, B.C.; an FM-radio 17.15%. In 1968 the Toronto Star's in Canada is the CBC. This public cooperative, called Wired World in net profit after taxes was $1.5 mil- corporation has a democratic method Kitchener-Waterloo-Cambridge, Ontario; Canada's first TV co-op in lion; by 1971 it had doubled and of financing, one in which financial last year it reached $8 million. In Hull, CTVO , with public ownership responsibility through taxation is of shares. And there are several 1974 Southam Press cleared $1 8 mil- distributed throughout the nation. It lion; Thomson Newspapers, $26 others. has been constantly under attack Hundreds of groups have made use million. by media which reflect only com- The main objections to these of community channels on private mercialist views. but fortunately cable-TV in towns and cities across main-line commercial media may be enough Canadians have valued its summarized as follows: se, identity-producing role in Canadian I. Concentrated power is, per a society to support it. Among these Canada, catering to small audiences, violation of traditional checks and an members of the original Canadian but providing participation, "town balances. In Lord Acton's phrase, Radio League, and especially hall" meetings. The CBC's Com- "Power corrupts, absolute power Graham Spry, one of its founders. munity Programming Branch under cormpts absolutely. " Present per- Doug Ward has created citizen com- The CBC, for all its bureaucracy, has TV formance may be good, but potential been a nation-builder. It has earned mittees for radio and in contract for abuse remains in few hands. and it needs five-year budgeting and with the CBC. The National Film 2. Diversity may be lost. As public more funds to dispense with all ad- Board's "Challenge for Change" information is a keystone of democ- vertising.