CRTC to issue new BDU and discretionary services policy

More than a year after it issued a call on input to review the regulatory framework governing BDUs and discretionary programming services, the CRTC has finally reached a decision that will be made public at 4:00 PM on Thursday, Oct. 30.Stakeholders in the broadcast distribution industry hailed the review as appropriate and pragmatic in light of challenges brought about by factors like consolidation, convergence and the rise of the digital era. The subsequent responses from various players point to a variety of opinions on a slew of issues, some contentious and controversial. These include issues like discretionary programming services, genre exclusivity, and choice of packaging programs, fee-for-carriage, and Canadian content in Category 2 channels.When it issued the call for input, the CRTC noted several issues that it felt need to be addressed. These were classified as supports and obligations, video-on-demand and pay-per-view, other new revenue opportunities and issues dealing with discretionary services.Under supports and obligations the sub-categories are genre exclusivity, access and preponderance, authorization of foreign satellite services, measuring preponderance, services in language of the minority, third language services, delivery of signals, and distribution of linkages among others.Under discretionary services, the Commission identified a number of issues, including some raised by stakeholders, some of whom will be watching keenly if their concerns have been answered. These issues deal with advertising limits and Category 2 applications.The CRTC notes that the policy governing discretionary programming services is outdated and was framed through consultations between 1982 and 1996 to licence pay and specialty undertakings operating in analog.“The increased number of specialty services has resulted in an increased overlap or cross-over among genres. While the Commission has consistently attempted to ensure that there is no direct competition, some services in the news and sports genres, for example, have become increasingly similar in terms of genre,” the CRTC said at the time.Regarding video-on-demand, some stakeholders will be looking to see if the new policy offers new revenue opportunities for everyone in the chain.Off-setting the costs of converting to HD and other technology upgrades are also concerns that stakeholders will be watching to see if the new policy addresses it. Over the coming days, Canadian Communications Reports will bring you analysis of and reaction to the new policy.

CRTC to issue new BDU and discretionary services policy

Broadcast | October 29, 2008

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