Thank you very much.
Mr. Chair, members of the committee, I would like to thank you for inviting me to participate in this study. Please know that it is a privilege for us to contribute to your various efforts related to the protection and vitality of our francophone communities.
Arsenal Media is the largest broadcaster in Quebec. It is an independent broadcaster currently operating 25 French-language commercial radio stations in Quebec, and soon 30, when the Canadian Radio-television and Telecommunications Commission, the CRTC, gives its approval to various pending transactions.
Our stations play an essential role: informing, entertaining and reflecting our communities, and promoting our local culture. Our contribution has a direct impact on the vitality of Quebec’s predominantly French-speaking regions.
I will first talk about the context in which we operate.
Digital audio has profoundly transformed our industry. Foreign platforms dominate listening, capturing the majority of advertising revenue—nearly $10 billion annually—and are not subject to any of the obligations imposed on Canadian broadcasters.
Meanwhile, commercial radio revenues are declining year after year and are expected to fall below one billion dollars by 2030, representing a 50% decrease over the last 10 years.
We are facing unfair competition in a regulatory framework designed for another century. It’s in this context that our proposals were recently submitted to the CRTC, with the aim of modernizing this framework and restoring a certain equity to allow French‑language radio to remain a cultural and informational pillar.
The 65% quota for French vocal music is no longer aligned with listening realities at all. On digital platforms, Quebec artists singing in French represent only 5% of total consumption, and I would say that last week, that proportion was 4%.
Listening to music radio is decreasing every year because the product we offer no longer meets the expectations of our listeners. I would add that commercial radio should not bear the entire burden of protecting French culture and language. A quota of 40%, which would still be among the highest in the world, would allow us to better meet the public’s expectations while continuing to promote French‑language music. Arsenal Media has therefore proposed a 36‑month trial period for this quota to the CRTC in order to measure its results.
Are there other solutions? In my opinion, a viable option could help address the challenges currently threatening the Canadian media ecosystem. That option, although underutilized, is that CBC/Radio-Canada must be part of the solution. The public broadcaster benefits from a network of 88 stations, 700 transmitters and a budget of $2 billion, of which $1.5 billion comes from public funds. Its mandate is clear: to reflect the diversity of Canada, support francophone culture and take into account the needs of indigenous peoples.
In a landscape where discoverability is dominated by foreign platforms, CBC/Radio-Canada is the only national player capable of providing a real counterbalance. This situation calls for special involvement. We therefore believe that CBC/Radio-Canada should be given explicit obligations to ensure the discoverability and dissemination of indigenous and French-language content on its platforms, both traditional and digital. In addition, CBC/Radio-Canada markets publicly funded content online, thereby competing directly with commercial radio stations, which must survive in an extremely fragile advertising market. This issue of competition really deserves to be examined.
In our opinion, the other key player is community radio stations, which provide an important space for local expression in the unique francophone media landscape. It should be noted that these stations operate under a completely different model, which relies heavily on public funding and on their own support programs. They therefore operate in a protected environment, unlike commercial radio stations, which rely almost exclusively on the advertising market and face the dominance of digital giants on their own.
It is therefore crucial to recognize this distinction as we reflect on the overall sustainability of the system and the fairness among its various stakeholders.
Finally, three are three other essential measures—