TV rules could strangle new media, British minister warns

UK broadcast minister Shaun Woodward is set to deliver a stern warning on the dangers of excessive regulation of new media services at a meeting of EU culture ministers next month (13 November).

New media services such as YouTube, the on-demand video sharing website that was recently sold to Google for $1.65 billion (€1.31bn), could be driven out of Europe if the current scope of EU proposals on broadcasting is not limited, he will warn.

"What has emerged… has been that despite good intentions, problems that would emerge if you try to regulate on-demand services would drive out not only the bad services, but the good services too," said Woodward, who has been charged with overseeing the 2008-12 digital switchover in the UK.

Proposals from Information Society Commissioner Viviane Reding, replacing the television without frontiers directive, extend strict rules for traditional broadcast services to new non-linear services (broadcasting to individuals) to assuage concern about child protection issues.

But the cost of complying with new rules designed for traditional broadcast services could deter would-be new media entrepreneurs. As a hub for high growth internet-based media services, the UK has played a lead role in alerting member states to the potential chilling effect the proposals could have on innovation in the sector.

Other member states should also be concerned, said Woodward, pointing out that the recent economic recovery in Germany was largely driven by new media services. "The last thing [German Chancellor Angela] Merkel wants to see is regulation pushed on services which would push them out of Germany," he said.

The BBC, which has been rolling out digital services for over a decade, will be watching developments closely. "On-demand services can only be regulated through industry consensus," said Matteo Maggiore, head of EU and international policy. "It will not work if member states try to pass laws without gathering industry consensus. On-demand services are difficult to police when linking thousands and thousands of service providers."

Wes Himes, director of the European Digital Media Association, believes that the implications of Reding’s proposals have not been properly assessed. "We have yet to see a definitive impact study of the effect of regulation on innovation and new services. Ultimately, audiovisual media service providers need the freedom to develop without being boxed in by regulations," he said.

Woodward is confident that member states are coming round to the UK’s way of thinking. "Five months ago, we only had the support of Slovakia," he said. "Now we have the support of a number of countries.

"One of the important and useful things we’ve done is [to] visit member states and actually meet governments."

The Finnish presidency of the EU may push for a common position at next month’s meeting. Other issues that are likely to emerge include tussles over the ‘country of origin’ principle which would allow companies offering services cross-border to comply only with legislation in their home country.

German centre-right MEP Ruth Hieronymi is to present a report on proposed amendments to the directive to the European Parliament’s culture committee on 13 November.

UK broadcast minister Shaun Woodward is set to deliver a stern warning on the dangers of excessive regulation of new media services at a meeting of EU culture ministers next month (13 November).