The CBC has spent nearly $60,000 on legal bills to keep the number of subscribers to its Gem streaming service hidden from taxpayers, according to access-to-information records obtained by the Canadian Taxpayers Federation.The state broadcaster is fighting a Federal Court battle after refusing to release subscriber figures connected to its Gem platform, despite an order from the Information Commissioner directing the CBC to disclose the records.“As a matter of principle, the CBC owes taxpayers transparency, but instead of being transparent with taxpayers, it’s wasting more money on legal bills trying to keep Canadians in the dark,” said Canadian Taxpayers Federation federal director Franco Terrazzano.“The CBC bragged about its Gem subscription service and pointed to Gem as proof it’s providing value, so why is the CBC trying so hard to keep these numbers hidden?”According to the CTF, the CBC has spent $59,000 so far on lawyers in the case.The dispute stems from an access-to-information request filed by Matt Malone, founder of the transparency organization Open By Default, seeking the number of paid subscribers using CBC Gem.The CBC launched Gem in 2018 with both paid and free versions of the streaming platform.After the broadcaster refused to disclose the subscriber numbers, Information Commissioner Caroline Maynard ordered the records released. The CBC responded by taking the matter to Federal Court, arguing the information should remain confidential..CBC CEO Marie-Philippe Bouchard defended the decision, telling the Canadian Press the figures are “sensitive commercial information.”“The number of people who are paying is a number we keep confidential for competitive reasons,” Bouchard said.But critics argue the secrecy makes little sense given that major streaming companies routinely disclose subscriber information in public filings and annual reports.Netflix, Amazon Prime and YouTube have all publicly reported subscription metrics or revenue figures to shareholders and regulators.Maynard rejected the CBC’s argument that disclosure would harm its competitive position.“[While the] CBC did identify possible harms to its competitive position or to ongoing negotiations, it did not demonstrate that there was a reasonable expectation that these harms could occur, well beyond a mere possibility,” Maynard wrote in her ruling.Former CBC president Catherine Tait repeatedly cited Gem’s audience growth while defending the broadcaster’s declining television ratings and ongoing taxpayer funding.Appearing before MPs in January 2024, Tait claimed there had been “an increase in the millions of those who are watching Gem.” She repeated similar claims before committee again in October 2024, saying “millions are streaming video and audio in English and French across our platforms.”Terrazzano said taxpayers deserve greater transparency from a publicly funded broadcaster than from private corporations..“The CBC should be more transparent than Netflix or Amazon, so if these companies can back up their claims about their subscriber base, then taxpayers should definitely be able to hold the CBC to a higher standard,” he said.“If the CBC doesn’t want to release the information and be transparent with taxpayers, then it shouldn’t get one cent from taxpayers.”The legal battle is not the first dispute involving CBC transparency.The Canadian Taxpayers Federation previously launched a court challenge after the CBC refused to fully disclose bonus payments made to senior executives. Records eventually released showed seven senior executives received a combined $3.79 million in compensation, averaging more than $540,000 each, but the broadcaster did not reveal how much was paid in bonuses.The CBC receives more than $1 billion annually from taxpayers.
