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Canada Government plans to capture search engines and social media platforms under AI legislation! 

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Canada Government plans to capture search engines and social media platforms under AI legislation! 

The Canadian government, through ISED Minister François-Philippe Champagne, has revealed plans to regulate AI, particularly in how it is utilized to prioritize content display on search engines and social media platforms.

This comes amidst the study of Bill C-27, a bill focused on privacy reform and AI regulation. Notably, the government has opted not to disclose the actual text of the planned amendments to the bill.


AI Systems under Target:

The regulation zeroes in on several classes of AI systems, including those related to employment determinations, service provision, biometric information processing, content moderation on online platforms, healthcare, administrative decisions, and law enforcement assistance.


Will AI Code hinder innovation:

Unlike the European Union (EU), Canada’s regulation includes a category for content moderation and prioritization of content presentation, which is not present in the EU’s regulations. This inclusion could mean more extensive regulation, affecting how platforms like Google and TikTok utilize AI to generate search results, translations, and user recommendations.

By categorizing search and social media results as “high impact” systems, Bill C-27 introduces a slew of regulations and new powers, encompassing risk mitigation, record-keeping, and public disclosures. The Minister can demand record disclosure, mandate an audit, and order virtually any measures resulting from the audit. Non-compliance could result in penalties up to 3% of gross global revenues.


Asked for comment, a Microsoft spokesperson issued this statement as follows: 

“We are currently reviewing the Minister’s letter to Committee outlining the government’s intended amendments to Bill C-27. We appreciate that Canadian policymakers are looking closely at how AI technology works, and we will continue to engage in these important conversations about the future development of AI and innovation in Canada.”


Here are some details from Champagne’s letter and the changes the government plans to make to the proposed legislation:

On the Consumer Protection Privacy Act (CPPA)

Champagne reminded MPs that the CPPA already deems all personal information belonging to a minor as “sensitive.” This means that businesses will generally need to get express consent when collecting, using, or disclosing the information;


On Artificial Intelligence & Data Act (AIDA)

The proposed legislation would force businesses to use “high impact” AI applications responsibly. To meet complaints that “high impact” wasn’t defined, the proposed changes add a schedule to the bill saying the definition would include systems that relating to determinations in respect of employment, including recruitment, referral, hiring, remuneration, promotion, training, apprenticeship, transfer or termination; that determine whether to provide services to an individual; that determine the type or cost of services to be provided to an individual; or that prioritize the services to be provided to individuals.

In addition, the schedule would say high-impact AI systems include the use of an artificial intelligence system to process biometric information in matters relating to (a) the identification of an individual, other than if the biometric information is processed with the individual’s consent to authenticate their identity; or (b) an individual’s behaviour or state of mind.


Proprietary blog of Karma Global

Collated and Compiled by the internal staff of Karma Global with the knowledge and expertise that they possess, besides adaptation, illustration, derivation, transformation, collection and auto generation for its monthly newsletter Issue 17 of November 2023 and in case of specific or general information or compliance updates for that matter, kindly reach out to the Marketing Team – /


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