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Europe’s Media Rules – From Television Without Frontiers to the Future NEW June 2007

The Television Without Frontiers Directive is all but a memory, soon to be replaced by the Audiovisual Media Services Directive. This ftm Knowledge file details the issues, the debates and the outcome. Also included are articles on competition, product placement and cinema. 51 pages PDF (June 2007)

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Broadcasters Network for Solutions

Networking is the essence of Brussels. As the seat of the European Commission (EC) and home to hundreds of non-governmental organizations (NGO) and associations seeking to impact European and world-wide policies, Brussels is seen as the place to debate.

BrusselsThe Association of European Radio (AER) gathered representatives of national broadcast organizations, members or not, and not a few NGO representatives in Brussels to discuss broadcasters “burning issues.” Another way of describing the agenda might be “issues that are burning broadcasters.”

AER represents European national private sector radio broadcaster associations. But among the guests and speakers were representatives of the World Federation of Advertisers, the European Federation of Magazine Publishers (FAEP) and ARD – the German public broadcaster group. Brussels is proving to be the venue of choice for a wide range of media discussions.

Thursday’s AER conference (May 24) took place the same day as the EC Culture Committee voted through the new Audiovisual Media Services Directive to replace the outdated Television without Frontiers directive. That news came with a collective sigh of relief – radio broadcasters generally pleased to be under the Commission’s radar. Most believe, however, there’s “more to come” as the EC and the European Parliament (EuroParl) continue to digest digital media policy.

ftm background

More Media Reality From Commissioner Reding
The long and winding road to set a grand unified European media policy reaches a crossroads, now and again. The journey is fascinating, perhaps more than the destination. Each crossroad, though, becomes a defining moment for the multitude of media stakeholders.

Bulgaria and Romania Take Their EU Seats. Big Broadcasters Are Already There
Big media companies discovered Bulgaria and Romania a half-decade or more before the accession treaty was drafted. Both countries quickly liberalized media and commercial laws confirming, if not precisely conforming to Western European practice. As if to keep one foot in the past, governments and their partners continued to see State broadcasters as State, and political, assets.

Mix Culture and Economics, Then Half-Bake
The bomb shell that was DG Info Commissioner Reding’s first draft revising of the parchment era Television Without Frontiers directive a year ago still spews its’ sparks. European media rules, it seemed, will be platform neutral. The sub-text, of course, was to bring on-line media in line with all the broad EU level rules, enforced or not, that make European media the unique creature it is.

Lines On the Sandy Brussels Beach
Immediate response was rather muted to EC Media Commissioner Vivaine Reding proposed revisions to the TV Without Frontiers Directive. That was six months ago. EURO-MEI and British government, regulator and media business are firmly opposed...for different reasons.

Competition Commission Opens Investigation to Open the Books at ARD/ZDF
Representatives of four German states paddled to Brussels last week hoping to head off a formal investigation. It failed. Commissioner Kroes says the “open the books.”

Speaking first, DG Information Society and Media (DG Info) Spectrum Policy Administrator Philippe Lefebvre admitted that radio broadcasters are and continue to be “under the radar.” Being off the ECs screen may have had advantages in the early debates on Television Without Frontiers, which might have but does not include radio, but spectrum – all those frequencies “from darkness to white light,” as described by Switzerland’s Markus Ruoss – is used by everybody.

Lefebvre described digital benefit as “that big potato” on one of his presentation slides. Inside “that big potato” are GSM, Mobile TV, emergency services and public services but not radio broadcasting. Instantly he clarified the consequence of being “under the radar” and “off the screen.”

Lefebvre remained open and welcomed the opportunity to learn about radio broadcasting, particularly in the private sector.

Every bit as complicated is digital broadcasting’s technical aspect. Broadcasters are universally attuned to digital reality: there’s going to be a change. With most every broadcasters conference and forum this century overwhelmed by discussions of digital benefits, digital divides and digital dilemmas most are painfully aware of different possibilities, probabilities and the costs.

One station manager, frustrated by the myriad of digital contingencies, asked simply, “Does this mean I get one extra channel or four or what?”  Another wanted to know the difference between the €5,000 and the €50,000 solutions. Answers remain mired in contingencies.

Beyond the technical details, one message evolved from discussions with the technology experts: lobby the national regulators. With DG Info Commissioner Viviane Reding openly supporting the DVB-H mobile television platform for Europe, radio broadcasters need the support of national media regulation agencies to move radio broadcasting back on the radar screen.

With AVMS fast-tracked to deliver new media rules to Europe within the next two years, the future of advertising – the primary revenue source for free-to-air, private sector broadcasters – turned attention from the uncharted but impending future to hard reality. Pressure on advertisers and advertising means pressure on broadcasters.

Advertising – and media - is faulted, said World Federation of Advertising (WFA) spokesperson Malte Lohan, for all variety of social ills. Witness the continual legislative rumblings about childhood obesity in Europe, with several national parliaments setting strict rules if not out-right bans. Advertising and marketing is under attack, he said, by political and social agencies holding that “all advertising is bad.”

Alfonso Ruiz de Assin, president of the Spanish broadcasters association AERC and a founder of AER, noted that ad bans in Spain have a direct economic impact on broadcasters. The fear among broadcasters, he emphasized, is that ad bans can move from one product or service area to another, as political forces seek simple solutions to complex problems.

“Marketing is believed to be the main driver of obesity,” said European Association of Communication Agencies (EACA) Director of EU Affairs Maryke Lefebvre. “The WHO (World Health Organization), NGOs and Nordic countries are moving toward a global set of standards on food marketing.” Advertising and food marketing rules in Sweden, for example, are far more strict than those contained within the new AVMS Directive.

EACA’s Lefebvre and WFA’s Lohan used the AER conference as a forum to describe and raise support for a new initiative called AdVantage. “The media and ad sectors need to come together to show a positive message about advertising,” said Lohan. AdVantage, supported by most commercial media organizations, will bring an “informed debate on the economic and social benefits of the advertising sector” to national and EU-level institutions.

Copyrights and neighboring rights are an “always burning” issue for broadcasters with rates, fees and rules in Europe varying wildly. Leena Ryynanen of major broadcaster SBS/Finland told the group that a study on European copyright structures prepared jointly by SBS and AER will be released in a few months.

No private sector broadcasters’ meeting is complete without at least one horror story about the over-reach of public broadcasting. In Austria, said Verband Osterreicher president Christian Stögmüller, public broadcasting house ORF is set to buy the only private television broadcaster with little or no government resistance. ORF continues to control Austrian broadcast infrastructures – towers and transmitters – and has successfully resisted EC mandated privatization. The result, he said, is a virtual media monopoly by ORF that effectively keeps private sector broadcasting in a very tiny box.

That Brussels has become a locus for European media organizations has not been lost on the American broadcasters group National Association of Broadcasters (NAB). Brussels-based event management company Interel has been selected by NAB to stage-manage the forthcoming NAB Europe radio expo. Interel Associate Director Milagros Mostaza, a former AER manager, will lead the team organizing and promoting the November event in Barcelona, Spain.


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