Apple, Meta warn Bill C-22 could force weakening of encryption

Canada's proposed Lawful Access Act, known as Bill C-22, has prompted public warnings from major technology firms. Apple stated that, as drafted, the bill could allow Canadian authorities to require measures that would weaken encryption and introduce systemic vulnerabilities. While Meta has not issued an identical public statement in the same form, the company’s prior positions on encryption and recent regulatory disputes underscore industry concern.

The debate intensified after Bill C-22 was tabled and moved to parliamentary committee in spring 2026. The legislation would impose obligations on electronic service providers to retain certain categories of metadata for up to a year and to implement technical capabilities that facilitate lawful access by police and intelligence agencies. Apple’s communication to officials argued the bill’s wording could be interpreted to authorize orders that effectively mandate exceptional access or backdoors into otherwise secure systems. Government spokespeople, including representatives from Public Safety Minister Gary Anandasangaree’s office, have publicly rejected assertions that the bill compels companies to weaken encryption, insisting that strong encryption remains a priority for Canadian cybersecurity.

Financial markets and sector stakeholders are watching closely for regulatory risk implications. Legal uncertainty over cross-border production orders and technical compliance costs could affect operating expenses for global tech firms and create strategic choices about feature availability in Canada. Security-focused services and enterprise clients may reassess exposure if the law is enacted without clarified safeguards.

In the broader context, Bill C-22 represents Canada’s renewed effort to modernize investigatory tools in the digital era. Parliamentary debates and testimony from privacy advocates, industry associations and legal experts highlight tension between expedited lawful access for investigators and protections for civil liberties and cybersecurity. Previous international precedents — where governments sought access to encrypted data — have become touchstones in the current Canadian debate.

Market observers and policy analysts expect Bill C-22 to undergo amendments during committee review as stakeholders press for clearer limits, judicial oversight and transparency mechanisms. For investors, the near-term outcome will hinge on the scope of any regulatory amendments and on whether major providers signal product changes for the Canadian market; both scenarios would influence risk assessments for technology equities with significant Canadian exposure.