GREEN PAPER Preparing for a Fully Converged Audiovisual World: Growth, Creation and Values

1. GREEN PAPER Preparing for a Fully Converged Audiovisual World: Growth, Creation and Values

2. Responses to the questions raised in the EU Green Paper COM (2013) 231 - namelyquestion No. 4 QUESTIONS FOR PUBLIC CONSULTATION: (4) Do the current AVMSD requirements provide the best way to promote the creation, distribution, availability and market appeal of European works? Pragmatically, broadcast regulation is likely to wither as it becomes less and less relevant. It is however imperative, as articulated in the 1997 Green Paper, to prevent outdated broadcast regulatory models from spreading any further, especially to the internet. We now realise that it was a serious error in the AVMS Directive to extend regulation to so-called ‘TV-like’ on-demand services. (private person) Angesichts der mangelnden Kausalität zwischen Quotenregeln und der Förderung europäischer Werke und unabhängiger Produzenten durch eine auftragsgemäße Programmpolitik, begrüßt die ARD Überlegungen der Europäischen Kommission, verstärkt nach anderen Regelungsinstrumenten zur Umsetzung der oben genannten Ziele zu suchen. ARD Germany

3. QUESTIONS FOR PUBLIC CONSULTATION: (4) Do the current AVMSD requirements provide the best way to promote the creation, distribution, availability and market appeal of European works? The AVMS Directive provides Member States with an effective toolkit tosupport EU works. This is reinforced by other EU initiatives such as theCreativeEuropeprogramme. (…) However, despite those trends, investments in domestic content by newplayers remain small in comparison with investment by PSBs. BBC Further obligations relating to European works could run contrary to viewer expectations andact as disincentives to commercial broadcasters looking to launch and maintain services. Thebest way to promote the creation, distribution, availability and market appeal of Europeanworks is to continue to support those European companies looking to invest in content in thewaysdescribedabove. Convergence has the potential to challenge some of the key building blocks of the AVMSDirective. As services and platforms blur, the regulatory partitions that have been establishedmay no longer be appropriate in the long term, given consumer experience and expectation. SKY TV

4. QUESTIONS FOR PUBLIC CONSULTATION: (4) Do the current AVMSD requirements provide the best way to promote the creation, distribution, availability and market appeal of European works? 4)La directive SMA, de par sa double exigence d’acquisition et d’exposition des oeuvreseuropéennes tant pour les services linéaires que pour les services non linéaires, contribueincontestablement à encourager la création et à favoriser la distribution et la disponibilité deces oeuvres. A ce titre, elle constitue un instrument efficace au service de la diversitéculturelle, objectif affirmé par la Convention de l’UNESCO sur la protection et la promotiondes expressions culturelles du 20 oct 2005. On observe qu’en France où les obligations d’investissements et de diffusion/promotion sontplus strictes que celles de la directive SMA, l’industrie de la création audiovisuelle etcinématographique est une des plus dynamiques d’Europe. Les quotas ont donc bien un effetbénéfique sur le secteur de la création. Canal+ Since its adoption in 2007, the Audiovisual Media Services (AVMS) Directive has providedan effective regulatory framework for the regulation of content. The AVMS Directive hasnurtured the developmentof multi-channel television and cross-frontier broadcasting inEurope. The Directive has proved robust and resilient in regulating linear and non-linear content.However, Channel 4 believes it would be prudent for the European Commission to preparethe groundwork for future policy development in relation to the converged world which is toemerge in the medium to long term. This could include commissioning external studieswhich consider possible future convergence scenarios. Channel 4 would welcome theopportunity to contribute to this work. Channel 4 believes there is no guarantee that establishing quotas leads to the production of compelling quality content or that it enhances the market appeal of European works. Channel 4

5. QUESTIONS FOR PUBLIC CONSULTATION: (4) Do the current AVMSD requirements provide the best way to promote the creation, distribution, availability and market appeal of European works? While the quota system for European works definitely has its merits, the best way toensure the creation and market appeal of European audiovisual programmes is tosupport a well-functioning audiovisual media value chain both at national and Europeanlevel and to ensure that European media companies have the economic strength toproduce or commission content. Considering the major contribution PSM organisationsmake to European audiovisual production, sustainable funding for public service mediaisofkeyimportance. EuropeanBroadcasting Union Les dispositions de la directive SMA visant à promouvoir la production, la distribution et la disponibilité d’oeuvres européennes restent pertinentes et manifestent la volonté de l’Union européenne depromouvoirsadiversitéculturelle. (…) De telles mesures doivent être évaluées au regard du fonctionnement des services de médiasaudiovisuels à la demande ; les mécanismes contraignants risquent d’être rendus obsolètes parl’évolution rapide de ces services.Les MSP sont les principaux investisseurs dans la production d’oeuvres européennes et les principauxdistributeurs de ces oeuvres. (…) La meilleure garantie en faveur de la production et de la distribution des oeuvres européennes est queles MSP continuent à jouer leur rôle dans l’environnement convergent. Il est nécessaire pour celaqu’ils bénéficient d’un financement suffisant et stable, que leurs contenus et services soient facilementaccessibles avec une qualité suffisante sur les plateformes connectées… France Télévision

6. QUESTIONS FOR PUBLIC CONSULTATION: (4) Do the current AVMSD requirements provide the best way to promote the creation, distribution, availability and market appeal of European works? MTV MEDIA believes that the Commission needs to assess whether the definition of AVMSproviders and the scope of the AVMSD is still fit for purpose in the future media environment. Themarket has thoroughly changed since 2007 when the Directive was adopted and since then we seenew services by both global and local players that offer TV-like services, which do not fall under 5/6 the scope of the Directive. Mainos TV - Finland • NPO supports the continuation of the AVMS requirements concerning the creation anddistributionofEuropeanworks. • The European Commission should stimulate that PSM are enabled to retain the rights todistribute the content on relevant platforms, including their on-demand services, when theyhave paid for the production of the content. • NetherlandsPublic Broadcasting Bei allen Überlegungen in Zusammenhang mit regulatorischen Vorgaben sollte abgewogenwerden, dass eine allzu starre Regulierung lnnovation hemmen und die Wettbewerbsfähigkeit dereuropäischen Anbieter, die mit anderen, weniger oder gar nicht regulierten ContentanbieterninKonkurrenz treten, in Mitleidenschaft ziehen kann. ORF Austria

7. QUESTIONS FOR PUBLIC CONSULTATION: (4) Do the current AVMSD requirements provide the best way to promote the creation, distribution, availability and market appeal of European works? Market appeal and creativity cannot be achieved by regulation. Given the widechoice and global accessibility of media, it is an outdated concept to regulateEU-based broadcasters while non-EU video platforms can show whatever theywant. Any regulatory approach which does not reflect the fact that in the 21stcentury any media service worldwide competes with any other mediaservice worldwide on one screen is not future-proof. It is not evenpresent-proof. ProSiebenSat1 - Germany The regulatory framework of the future will require a new vision, taking into account a fullyconverged audiovisual world, a new approach that is able to ensure fair competitionamong allthe players, and protect the fundamental values on which the EU is founded Regulatory practice needs to be more market friendly in termsof product placement and sponsorship. This will create market value. Further detailedregulationwill not. SkyItalia

8. QUESTIONS FOR PUBLIC CONSULTATION: (4) Do the current AVMSD requirements provide the best way to promote the creation, distribution, availability and market appeal of European works? Recent developments in the UK have also seen a marked rise in the availabilityof high profile, non-domestic European works across a range of commercialand public service channels(…)We believe such an approach, based on audience appeal,is achieving genuine engagement with UK consumers and has a far greaterimpact in promoting European culture and identity than rigid requirementssuch as quotas that risk services having to make content available where thereislittleconsumerappetite. CommercialBroadcastersAssociation - UK Die Regelungen über die Programmquoten in der AVMD‐Richtlinie sind aus derSicht des VÖP nicht zeitgemäß, um tatsächlich für die Förderung undVerbreitung von europäischen Werten förderlich zu sein. Aus der Sicht des VÖP wäre in diesem Zusammenhang daher eineDeregulierung dahingehend wünschenswert, dass der Anteil an europäischenWerken weitestgehend dem Markt und letztendlich damit der Qualität derInhalteüberlassenwird. VerbandsÖsterreichischerPrivatsender (VÖP)

9. QUESTIONS FOR PUBLIC CONSULTATION: (4) Do the current AVMSD requirements provide the best way to promote the creation, distribution, availability and market appeal of European works? Der VPRT bezweifelt darüber hinaus, dass protektionistische Regelungender Förderung einer wettbewerbsfähigen europäischen Medienindustriedienlich sein können. Abgesehen von dem erheblichen DokumentationsundErmittlungsaufwand für die Sender kann eine Förderung durch rechtlicheZwangsvorgaben dazu führen, dass die durch den freien Wettbewerbbeförderte Verbesserung der Produktqualität und Produktionseffizienz beeinträchtigtwird. Der Verband Privater Rundfunk und Telemedien e.V. (VPRT) Die Anforderungen der AVMD-Richtlinie fördern die Erstellung und Verbreitungvon attraktiven Inhalten für die Bürgerinnen und Bürger der Europäischen Unionund leisten damit einen wichtigen Beitrag zu kultureller Vielfalt. Allein das ZDFinvestiert jährlich über 550 Millionen Euro in fiktionale Produktionen undunterstützt damit maßgeblich die europäische Produktionswirtschaft.Um diesen Beitrag zu erhalten, ist es erforderlich, dass die Anforderungen derRichtlinie an die Herausforderungen der digitalen und konvergenten Medienweltangepasst wird. Im Bereich der Verbreitung von Inhalten sollten die Prinzipiender Technologie- und Netzneutralität Eingang finden. ZDF – Germany

10. RESPONSES FROM SPORT RELATED ENTITIES Die DFL spricht sich daher für ein gesetzliches Schutzrecht zugunsten der Sportveranstalterauf europäischer und/oder nationaler Ebene aus, mit dem sich die unbefugteAufzeichnung, öffentliche Wiedergabe, öffentliche Zugänglichmachung, Verbreitung,Vervielfältigung, Sendung und öffentliche Wahrnehmbarmachung audiovisueller Inhaltevon Sportveranstaltungen wirksam unterbinden lassen und das die in die Beschaffungder Live-Daten und Spieltagstabellen getätigten Investitionen der Sportveranstalteralsschutzfähiganerkennt. DeutscheFußball-Liga GmbH Where the European Commission can act to help develop the market is by taking action againstthose who run parasitic websites which provide illegal digital streaming of matches. Such streamingof sport is common and, for example, the advertising received on such sites is estimated to be £12mper year on English Premier League football matches alone. Some of these sites can be subscriptionbased too. Considering that The FA, as a non-profit organisation, invests the revenue it generatesfrom its media rights into supporting grassroots football, ensuring that 100% of the value of rights isdiverted to sport is of real importance for the long term sustainability of grassroots sport. TheFootballAssociationUK

11. RESPONSES FROM SPORT RELATED ENTITIES We sometimes have the feeling that the Commission is a step behind the evolution of theindustry. We believe that by the time the Commission has concluded this latest round ofconsultations and the institutional changeover has taken place in 2014, the questions askedwill be largely redundant, as the market and consumers will have already responded to them.(…) Thepremise that regulation is needed to stimulate business ignores the fact that businesses arekeen to reach as many consumers as possible, and is constantly working to take advantageof new technological opportunities to do so. (…) We would call on the Commission to focus its activities in this sector on the challenges in thefieldof IPR enforcement. (…) During the 2012/13 season, the PremierLeague has detected approximately 33.000 live streams, an increase of 15% from theprevious season. Notices have been sent to around 250 sites that embed Premier Leaguecontent and there are over 400 linking sites that are constantly reviewed.Nowadays, very few of the websites illegally streaming sports competition charge a fee to theusers for access. Clearly this is not because the operators of such sites revel in some sort of“anti-censorship” or “freedom of the internet” ideals, believing they are performing a valuableservice for end users. We are dealing with extremely well organised and extremely adeptbusinessmen who now recognise that they can dwarf the money they ever made by charginga fee to access content, by advertising revenue. Sports Rights Owners Coalition (SROC)