New media needs contribution regime: CFTPA

Those with a vested interest in new media sector want to pay attention to February's BDU and specialty service hearing. As BDUs use competition from unregulated online content as a platform on which to call for lighter regulation and industry associations advocate for discussion of a national new media policy, the BDU proceeding figures to be a suitable warm-up for a more comprehensive new media review. "Just as each element of the broadcasting system is expected to contribute to the creation and distribution of Canadian programming, telcos, BDUs, Internet service providers and other players that enable the dissemination of multimedia digital content should be required to contribute a portion of their revenues to an independently administered, dedicated interactive media fund that is mandated to support the development and production of quality new media content," writes the Canadian Film and Television Production Association (CFTPA) in its comments on public notice CRTC 2007-10, Review of the regulatory frameworks for broadcasting distribution undertakings and discretionary programming services.The CFTPA was responding to the CRTC's request for comments on issues related to the convergence between broadcasting and telecommunications that "might be the appropriate subject of a further proceeding." So as the commission makes no promises to directly address new media issues - like the CFTPA's proposed contribution regime - it's at least allowing parties to use the BDU hearing to put some ideas on the table. But even without such an allowance, comments pertaining to new media were inevitable. "In fact, it is perhaps no longer appropriate to speak of broadcast distribution and telecommunications as if they are separate technologies, with different functions rooted in their distinct historical backgrounds," continues the CFTPA. "The overlapping interests and functions suggest that what is emerging is a communications infrastructure, a multi-purpose, inter-connected information technology backbone."Indeed, the BDUs needed no prodding to mention new media in their submissions, but they focus on their inability to compete with new forms of content distribution in light of our regulatory framework. "BDUs continue to compete with unregulated Internet platforms and with illegal satellite services, which operate with virtual impunity," submitted Shaw Communications Inc. "Unlimited choice from licensed and unlicensed platforms has contributed to the emergence of powerful and discriminating consumers who will not tolerate artificial constraints on choice."Similarly, Rogers Communications Inc. urges the commission to "reduce the regulatory burden on licensed undertakings by relying less on detailed rules and regulation and more on general principles, thereby allowing regulated undertakings to better compete with unregulated new media."These are not new complaints of course, but the February hearings will serve to renew the debate about the impact of new media on broadcasting. The CFTPA takes the counterpoint to the complaints. "We do not see the ‘rapidly changing communications environment' as a threat to traditional broadcast licensees; we see it as an enormous opportunity," writes the association. "An opportunity to extend brands via new platforms; to reach audiences in new ways; to have a closer, more interactive connection with audiences; and to tap new revenue streams."While exactly how much leeway the commission feels BDUs need to deal with competition from new media will be determined following the February hearings, the necessity of additional new media policy seems destined to receive dedicated treatment in the New Year as well. The third phase of the commission's current New Media Project Initiative is likely to consist of public hearings that will help the CRTC chart a path towards regulatory or legislative changes in the industry. This independent approach to new media regulation has been advocated by the industry. Submitted the Bell Broadcast and New Media Fund: "While new media does impact the , discretionary services and broadcast distribution undertakings for example, the industry would be better served if the commission addressed the issue of how to implement the goals of the Broadcasting Act for the new media platforms at one time rather than piece meal in each of these more specific hearings."

New media needs contribution regime: CFTPA

Broadcast | November 2, 2007

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