Europe ’ s commercial broadcasters reject network fees
Europe ’ s TV and VoD providers , represented by trade body the Association of Commercial Television and Video on Demand Services in Europe ( ACT ), have expressed their concerns following recent statements on creating a network fee to finance telecom infrastructures .
“ We understand the need for strong , widely available telecoms infrastructure in Europe which , among other things , helps European broadband connections they purchase from the telecoms companies to watch our content ,” they add .
“ The statements we have seen indicate an intention to generate network fees based on bandwidth use ,” they suggest . “ Besides the complete lack of accurate evidence provided to corroborate such plans , requiring AVMS providers , among others , to pay direct
contributions to large telecom companies would cause a number of issues ; not just to the audiovisual industry , but to the European creative sector as a whole , including for consumers and on pricing . More money paid policy-makers to reject calls for network ‘ fees ’ or direct contributions to be paid towards telecom infrastructure companies , and urge the institutions to thoroughly consider the wider implications before taking any actions that would directly or indirectly impact the stability and sustainability of the European audiovisual industry ( and consumer rights ) as a whole ,” they state .
“ We naturally remain at the disposal of all policy-makers to share the experiences of our sector , which has been at the forefront of job creation , innovation , investment and sustainability in Europe , directly employing over 1.1 million people and at the heart of European cultural diversity ,” they conclude .
Arqiva : ‘ Spectrum commitment needed ’
“‘ Taxing ’ high bandwidth services is counterproductive and risks having unintended consequences ”
consumers access high quality TV and VoD services . However , ‘ taxing ’ high bandwidth services is counterproductive and risks having unintended consequences , including on consumer rights and net neutrality principles ,” they assert . “ To this end , we strongly oppose any calls for network fees or other types of ‘ direct contributions ’ to finance the ongoing telecoms infrastructure development in Europe .”
They contend that broadcasters and on demand services are already subject to vast investment obligations and levies to support European culture and diversity , often representing double-digit proportions of their total revenues . Similarly , they all contribute through taxes and jobs .
“ Conversely , those obligations do not apply to video-sharing platforms and social networks which benefit from large regulatory asymmetries and with which AVMS providers now compete directly ,” they point out . “ Additionally , ACT members are already investing significantly in content delivery networks , directly or via partners , to ensure a smooth delivery of their content . Furthermore , our sector supports ISPs by allowing Europeans to derive value from the premium in network fees would in fact mean less money to invest in content , which in turn means less content available or lower quality content . This is unacceptable ,” they declare .
“ ACT understands the asymmetries – certain tech companies have profited from operating unregulated in Europe , hence our support for the DSA and DMA , which if implemented properly can help to address these regulatory asymmetries . However , imposing any new form of network tax or direct contribution obligations would not be an appropriate solution to fix any of these concerns ,” they say .
“ Furthermore , the creation of a network tax risks undermining net neutrality – a principle that lies at the heart of telecoms and technology policy and has helped protect media plurality since the birth of the Internet . Network fees represent a slippery slope , risking both the cost and quality of distribution for AV and other services ; and with it , potentially restricting European consumers ’ access to a rich and varied offers of original European content . This would set a bad and dangerous precedent for Europe – one that we cannot condone ,” they affirm .
“ For these reasons , we ask European
Laurie Patten , director of strategy and regulation at UK broadcast communications infrastructure provider Arqiva , has called on the government to guarantee the future of terrestrial TV and radio services in the UK to 2040 and beyond .
Addressing the Westminster Media Forum on the future of UK media policy , Patten told delegates that a key question the UK faces is what it wants to do with traditional broadcast services looking to the future , “ those TV and radio services delivered through your aerial that underpin the Freeview service ,” he said .
“ Through the Broadcast 2040 + campaign , we ’ re calling on the Government to come forward now and nail its colours to the mast , and guarantee the future of terrestrial TV and radio services in the UK to 2040 and beyond ”.
“ On current plans there is only certainty for the provision of these services in the UK until the early 2030s . That may feel like a long way away , but in this debate it ’ s closer than you might think . In reality there are a number of technical decisions the UK is going to have to take if we ’ re serious about preserving broadcast services in the coming years .”
“ We believe that a public commitment from Government will help focus negotiations at next year ’ s World Radiocommunication Conference , where countries will negotiate how much spectrum should be used for broadcasting globally and how much should be devoted to other services .”
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