Canadian Heritage committee  One of the Corus big six proposals is that indeed there is a continuing need for.... We're sympathetic with independent producers. For example, to Mr. Angus' question, we were one of the largest buyers of movies or scripted drama. We don't make any of that ourselves. That's all from independent producers, including this film.

Canadian Heritage committee  Actually, we worked together on the Olympics many moons ago. We won't say when that was. The question about taxation was a good one. I believe Google probably does pay tax on its income in Canada, but one of the recommendations we've made to the government is that section 19.1 of the Income Tax Act be applied to digital media.

Canadian Heritage committee  Basically, any commerce they're operating in Canada would be subject to that, so anybody who was advertising on those sites would not be able to take it as a business deduction, which effectively makes it more expensive. It has really worked in the television sector. I think the last estimate was that it was worth about $60 million or something, and there's no public money involved, as it were.

Canadian Heritage committee  What we mean by this is that we can't simply assume that we can build a wall around the Canadian market and assume that some of the rules we had in the past—for example, the provision of linear space on a linear channel—would do the trick of enticing viewers to the programming. The reality is that you're all going to go home tonight, and if you turn on the television set, you will make a personal decision as to what you're going to watch.

Canadian Heritage committee  That's a great question, but I think whenever you're doing an economic analysis and then building it into a policy analysis, you also have to question the assumptions. You have to question them quite carefully. I started in this business in 1973, and I think some of the people in the room will remember that at that time the market for programming was basically the CBC and, in the English language, CTV, and in Quebec and French markets, SRC and TVA, essentially.

Canadian Heritage committee  Okay.

Canadian Heritage committee  The challenge we have in every part of the media industry is the need for capital. For example, there was a proceeding in Mr. Angus' riding with respect to the provision of broadband. Certainly it's a policy goal for this country that the only way we're going to stay competitive is to have broadband everywhere.

Canadian Heritage committee  This is playing the Canadian film, One Week. It is an excellent film. We're quite proud of it. Corus helped to finance this film. I bought it from iTunes last night in a hotel just down the street, and I was able to download it to this device in just a few minutes. The new Apple TV device referred to in today's Globe and Mail story is available at the mall down the street and can make the Internet experience happen easily on anyone's home TV.

Canadian Heritage committee  I was going to say good afternoon, but I'll say good evening, Mr. Chairman, because I think there's probably somebody in town having a martini by now.

Canadian Heritage committee  It's past noon. My name is Gary Maavara, and I am the executive vice-president and general counsel of Corus Entertainment. With me today is Sylvie Courtemanche, our vice-president of government relations.

Canadian Heritage committee  Mr. Chairman and members of the committee, television and media markets have become enormously complex. Corus drives its business through four revenue sources: channel subscriptions, advertising sales, program or book sales, and merchandise sales. In our recent appearances before this committee we have argued for an approach to policy and regulation based on what we characterize as the Corus big six.