Free TV Australia

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Free TV sets out how Facebook and Google should pay for news content

Peak broadcasting industry body Free TV Australia today released a submission to the ACCC setting out how Google and Facebook should be required to pay for the use of news content on their platforms. The ACCC sought submissions to assist it in drafting the mandatory news media bargaining Code of Conduct announced by the Government in April.

Free TV CEO Bridget Fair said: “There has never been a more important time for news media businesses to receive fair remuneration for their trusted news content that is relied upon by all Australians.

Free TV has proposed that Google and Facebook should be required to pay a collective fee of 10 per cent of their Australian based revenues across all of their products and services into a pool to be distributed to Australian news media businesses.

“Despite the significant value obtained by Google and Facebook from the news content of Free TV broadcasters, they do not receive fair payment for the use of their content on the core services of Google Search, Facebook Newsfeed and Instagram.

“Under the model proposed by Free TV, this value would be collected and distributed to Australian news media businesses to enable the continued investment in local news media services.

“This model should be established and enforced by the ACCC, who will also need strong powers to protect against punitive responses by Google and Facebook. It must be illegal for Google or Facebook to deindex or downrank content that is subject to the mandatory Code of Conduct.

“We look forward to continuing to work closely with the ACCC before it publishes the draft mandatory Code next month,” Fair said.

Download a copy of the Submission

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Executive summary of submission

  • There has never been a more important time for news media businesses to receive fair remuneration for the content that they produce and that is relied upon by all Australians.
  • Indeed, it is now urgent that a Code of Conduct be enacted by the end of the year that includes a collective fee to be paid by Google and Facebook for the use of news content in Australia, in relation to Google Search (and Google Assistant), Facebook Newsfeed and Instagram.
  • These are core services where today, despite the significant benefits obtained by the platforms, there are no commercial arrangements in place to remunerate media businesses for the use of their content.
  • Publicly available information suggests that in a competitive market, Google and Facebook would have paid 10 per cent of all their Australian based revenues across all of their products and services for the use of news and current affairs content.
  • Under the model proposed by Free TV, this value would be collected and distributed to Australian news media businesses through a collecting society to enable the continued investment in local news media services.
  • The distribution model we propose is based on the share of relevant news or current affairs production or publishing costs incurred by the news media business. This option was preferred over other approaches, such as clicks or interactions on digital platforms, given the significant opportunities for gaming inherent in other models.
  • Our proposed distribution model would also set aside a proportion of the remuneration pool for regional news and small publishers.
  • To ensure that the digital platforms do not respond to the remuneration model by changing their algorithms, the Code of Conduct and supporting legislation must make it illegal for the platforms to deindex or downrank content that is subject to the Code of Conduct.
  • Outside of the core services of Google Search, Facebook Newsfeed and Instagram, the bargaining framework should establish rules for the bilateral negotiation between news media businesses for all other products and services, for example Google’s YouTube and Facebook Watch. This bargaining framework would include a requirement to negotiate in good faith, with rules around fairness, information disclosure and non-discrimination.
  • In relation to the collection of user data more broadly, the Code of Conduct should ensure that Google and Facebook are required to outline precisely the attributes they collect from users who engage with news media content.
  • The ACCC needs strong powers to enforce the Code of Conduct, including the protections against punitive responses by Google and Facebook. The civil penalty framework needs to provide for the provision of compensation to news media businesses for any revenue lost as a result of non- compliance with the Code of Conduct.
  • The Code of Conduct should be reviewed every five years to ensure the remuneration pool and distribution remains fair and is being applied to the relevant products and services.
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No one is stopping Australian media companies setting up their own internet search service, social media application and video sharing service if they are unhappy with the traffic Google, Facebook and Twitter are sending to them.

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Maybe just commercial and marketplace realities…

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Free TV frustrated by timing of Location Offset announcement

Free TV expressed frustration at the Government’s announcement today to support foreign productions through a $400m location offset package.

Free TV CEO Bridget Fair said “Investment which supports our local production sector, cast and crews is always welcome but we are concerned that this package comes in isolation of the ongoing enquiries into local content, quotas and support for the domestic industry.

These international productions come here for many reasons, financial support being one part. But the important element of using our talented local cast and crew will be missed if we don’t have a strong, dynamic local industry where these people work day in and day out, honing their skills and ensuring they are match fit to step up to the international stage on bigger bolder productions. This in turn provides opportunities for younger people to get their first leg up on the local production ladder.

Free TV broadcasters are the source of more Australian production than anyone else in this country. We spend $1.6 billion on Australian production every year and deliver 25000 hours of Australian content into every local market. We are the engine room of the local production sector and yet remain saddled with an outdated framework that hasn’t been updated in almost 20 years.

We are in the middle of a major review of content quotas and production incentives, including the location offset, so it’s difficult to understand why the Government has made a one-off decision now about a single element of the mix right in the middle of this process. Free TV broadcasters and the broader production industry urgently need a timetable for the decisions from Government, so we have some certainty on when the much-needed reforms can be implemented."

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New report reveals three quarters of Australians value commercial TV more than ever

Free TV: billions of dollars, millions of people, thousands of jobs, countless stories

A new Deloitte Access Economics report released today and commissioned by Free TV, Everybody Gets It: the Economic and Social Benefits of Commercial Television in Australia, reveals the immense value Australians place on free, universally accessible news, entertainment, sport and drama.

The Deloitte research also quantifies the substantial contribution commercial television makes to the economy, contributing $2.3 billion to the nation’s GDP in 2019, employing more than 16,000 people and investing $1.6 billion annually in producing Australian content.

The Everybody Gets It report found that 89 percent of Australians think commercial television is a valuable service and 76 percent believe it is more important than ever, while 86 percent think it supports Australian culture.

Audience surges of 15-20 percent during the peaks of the COVID-19 and bushfire crises suggest that Australians turn to commercial television in times of uncertainty - and expect it to be there for them. In this context, it is no surprise that news emerged as the primary reason people give for watching commercial television - 75 percent of respondents said they trust commercial television news.

Free TV CEO, Ms Bridget Fair said: “In commissioning this report, Free TV Australia wanted to shine a light on our industry and its many contributions to Australia’s society and culture. We were also keen to ‘take the temperature’ of our audiences to understand the value they place on this free, universal service.

“It turns out that despite increased competition, Australians value commercial television even more than we expected. Access to local entertainment, news and sport is a very big deal for viewers, with 95 percent telling us that losing commercial television would have an impact on society, particularly through the loss of access to news, sport and entertainment.”

The Deloitte Access Economics analysis found of the $2.3 billion economic activity, the industry indirectly contributed $1.3 billion to the wider Australian economy last year, spanning motion picture and sound recording, scientific and technical services, retail and finance. Deloitte also found that the industry facilitated $4.4 billion in additional economic benefit in 2019 from advertising.

Mr John O’Mahony, Deloitte Access Economics Partner and report co-author said: “Commercial television makes a strong economic contribution to Australia and is critical to the Australian screen production industry. The sector also continues to drive innovation through its content and use of new digital technologies to remain competitive, but our consumer research found it is the social and cultural contributions of the industry including trusted news, universal service provision and Australian stories that Australians continue to value most from this important industry.”

Commercial television is a stronghold of shared cultural experience available to 97 per cent of Australians at the click of a button, for free, and 93 percent of Australians believe it should stay that way. Other report findings include

  • Only 14 percent of those who do not watch commercial television think losing it would have no impact on Australian society.
  • Overwhelmingly, Australians are choosing to consume Australia content ahead of international programs on commercial television. In 2019, all of the top 10 rated shows were Australian, even after excluding sport.
  • Compared to on-demand viewing, broadcast TV viewers are almost 1.8 times more likely to watch with family or friends. Across the entire day, co-viewing sits at just under 42 percent of total television viewing. For the average commercial TV viewer, this reflects approximately 8 hours of family time every week.
  • The broad reach of commercial television is particularly important for viewers who cannot afford to, or cannot get access to, alternative viewing. 87 percent highly value the ability to access commercial television without needing data or Internet access.
  • In 2019, commercial TV provided more than 100,000 hours of Australian content. 86 percent think it supports Australian culture.
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Greg Hywood appointed Chairman of Free TV Australia

The peak commercial television industry group, Free TV Australia, is delighted to announce the appointment of Greg Hywood as its new Independent Chairman.

One of Australia’s most successful and well-regarded media executives, Mr Hywood is a Walkley Award-winning journalist and the former CEO and Managing Director of Fairfax Media. He is widely regarded as having been instrumental in the turnaround of that company in the face of a changing media environment.

Mr Hywood said: “Free of charge to all Australians, commercial television is highly valued by the community; even more so through these stressful times. It is the major investor in Australian entertainment content and is a centrepiece of our creative economy. As a trusted source of news and current affairs, free to air television provides a critical role in keeping our community open and transparent. I am excited by the opportunity to champion such an important contributor to our culture and economy.”

Mr Hywood will work closely with the Free TV board and with the organisation’s Chief Executive Officer, Bridget Fair, on matters affecting the commercial television industry.

Ms Fair said: “We are delighted that Greg has agreed to take on the role of Chairman. He has shown that he has a deep understanding of the challenges and opportunities facing the Free TV sector and the media landscape more broadly. There is no doubt he will add significant insight and value to the work of Free TV in supporting and advancing the important contribution commercial television makes to Australia’s culture and economy.”

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Free TV welcomes moves to release Google’s stranglehold on ad tech

Free TV Australia today welcomed the ACCC’s advertising technology interim report, that recognises that there is a serious issue with lack of competition and transparency in the ad tech market.

Free TV CEO, Bridget Fair said: “We are very pleased that the ACCC has recognised the concerns we have raised about inefficiencies and lack of choice in the ad tech market.

“We strongly support the ACCC’s proposed measures to allow advertisers and publishers to choose their own ad tech suppliers and to improve transparency measures. This will deliver more competition into the market and importantly ensure that advertisers know where their money is going.

“With less money wasted in the system, more money will be available for Free TV broadcasters and other content creators to continue to invest in great local programming and trusted news.

“In submissions to the ACCC since 2017, Free TV has been calling for new rules to govern the ad tech market, specifically to ensure that Google does not preference its own products and that auctions processes are fair and transparent. We very much welcome the fact that the ACCC has included this proposal in its interim report.

“The ACCC report is consistent with actions being taken around the world to support an open and transparent ad tech market. We look forward to working with the ACCC as it finalises its advice to Government by August 2021,” Ms Fair said.

The ACCC interim report

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Freeview will release a new version of Freeview HbbTV in May. It will have better integration between the linear channels and the catch-up apps.

Source: AFR

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The service will be rolled out from April 14, with it due to be on all HbbTV-enabled TVs by May 12.

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This part is interesting. The Freeview FV mobile/tablet app was fantastic when you could stream all the channels, before the networks started redirecting people to their own apps instead.

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ok since my tv can only get free view abc and sbs does this now mean all the channells will have freeview?

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Passing of Mr Richard “Dick” Barton, former Director of Engineering at Free TV Australia (formally known as FACTS)

It is with great sadness to announce the passing of Free TV’s former Director of Engineering, Richard “Dick” Barton on 21 April 2021.

Mr Barton held the position of Director of Engineering at the Federation of Australian Commercial Television Stations (FACTS) from 1981 to 2001. His broadcast engineering career commenced only three years after the Australian launch of television, during which time he worked as a broadcast engineer at NSW 9 Adelaide and TNQ 7 and FNQ 10 in North Queensland. His time at the coalface of television production and transmission spanned the rapid expansion of this new medium across Australia and many technical advances, most notably the conversion to colour television in 1975.

Dick Barton demonstrated deep technical knowledge and industry leadership during his time with FACTS, where he was instrumental in guiding the industry through some major developments, most notably regional licence aggregation, the introduction of the new Broadcasting Services Act in 1992 and planning for the transition to digital television. He was deeply respected in the Australian media sector, and received recognition for his many achievements within the broadcasting industry including the Paul Marlan Engineering Award in 1997 for his significant contribution to commercial television engineering.

Mr Barton’s expertise in the area of digital television standards was critical to Australia’s move from analogue to digital broadcasting and his capability was internationally recognised in many forums, including being requested by the United Nations International Telecommunications Union to Chair the 1999 preparatory meeting for the World Radio Conference in 2000.

Free TV’s Chief Executive Officer, Bridget Fair said: “Dick Barton loved television and devoted his career to ensuring that every Australian could enjoy a world class service. He was a formidable champion for the industry over many years at the national and international level. He was admired and respected by his colleagues and was a true gentleman. His significant impact on the Australian broadcast industry will not be forgotten.”

Free TV’s Director of Engineering, Roger Bunch said “Dick Barton set a great example of the high values for accuracy required in science and technology to ensure standardisation achieved the intended scope and objectives for the end users. He displayed great insight from his foresight displayed in the intense debates on the Australian proposal for the global HDTV picture format.”

"He will be remembered internationally as an excellent ambassador for Australia in his ITU activities and a dear friend to many in the broadcasting industries in many countries, particularly in the Asia Pacific region.”

Mr Barton is remembered as a very knowledgeable Engineer and will be greatly missed by his family, friends and colleagues.

Photo: Mr Richard “Dick” Barton in Geneva. Monday 17 May 1999, Australian Delegation to ITU Study Group 11

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Free TV calls for Smart TVs to be included in ACCC’s Digital Platform Services Inquiry

Free TV Australia notes the release today of the ACCC’s second interim report as part of its Inquiry into Markets for the Supply of Digital Platform Services.

Free TV CEO, Bridget Fair said: “While this interim report does highlight some important issues in relation to the dominance of Google and Apple in mobile apps, it is disappointing that it does not consider the rapidly developing marketplaces on connected TVs and related devices.

“With the growing penetration of Smart TVs in our homes, these devices will increasingly become the gatekeepers for access to free television channels and broadcaster apps. It is very important that Smart TVs are recognised as just another app marketplace and should be carefully examined as part of the ACCC’s app stores Inquiry.

“As all free-to-air broadcasters noted in their submissions to the ACCC, the dominant TV manufacturers are now unavoidable trading partners for our sector. The Android operating system is now widespread in many leading Smart TVs.

“Many TV manufacturers and aggregators are requiring a share of revenue earned through our apps in their marketplaces in return for being featured. This puts pressure on the sustainability of the businesses who are the largest investors in the local content that Australians rely on.

“Our international counterparts in the UK and Canada are well down the track in recognising the importance of discoverability for free television services and apps. Regulation is required to protect the prominence of apps that provide free services of cultural and social benefit to all Australians,” Ms Fair said.

A copy of the original Free TV submission to the ACCC can be found here.

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Eddie McGuire had a bit of dig at Freeview on “Hot Seat” tonight.

A question was on Freeview (“In which year did Freeview commence?”) he quipped “I was on the board of this once, except I didn’t know about it!”).

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Free TV welcomes ACCC plan to unlock ad tech competition

Free TV Australia today welcomed the ACCC’s advertising technology final report, including 6 specific recommendations to address Google’s dominance across the supply chain.

Free TV CEO, Bridget Fair said: “This report highlights the significant issues caused by the lack of competition for ad tech services. We have been calling for tough new rules to address these concerns and we are very pleased that the ACCC has recognised the urgent need for action.

“Ad tech services are vital in the digital economy. The current situation where only one player is dominant across all parts of this vital supply chain is unsustainable and is causing real harm to publishers and advertisers. This, in turn, harms Australian consumers.

“In fact, the ACCC found that 90% of all ad impressions in 2020 passed through at least one Google service. This level of dominance cannot be left unchecked and action to address the harm caused by this unprecedented market power is now overdue.

“Advertisers and publishers need to know that the prices they pay and their access to ad tech services are competitive and are not impacted by the market power of one business.

“That is why we have been consistently calling for sector specific rules to ban firms with market power across the supply chain from preferencing their own services. Crucially, this includes controls on the use of consumer data obtained from the provision of ad tech services from being used to gain a competitive advantage in the supply of other services.

“There will be benefits across the economy from the measures, including to improve price and performance transparency, which will assist to ensure innovation is promoted, advertisers pay less to reach consumers and publishers receive higher advertising revenues to fund high quality online content.

“The ACCC found that in 2020, almost 30% of advertising expenditure went to fees for ad tech services. In a $2.8 billion market for ad tech services, reducing these fees means less money wasted for advertisers and more money for publishers to invest in great local content.

“We urge the Government to accept all of the ACCC’s recommendations and move to introduce the necessary legislation as quickly as possible,” Ms Fair said.

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Why does it need to be sector-specific? Is that perhaps self-serving (regulate others but not our members?)
Couldn’t/shouldn’t the same rules apply to any other monopoly situations?

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Free TV Appoints Giles Tanner as Director of Technology Strategy

Free TV is pleased to announce the appointment of highly respected former ACMA senior executive Giles Tanner to the newly created position of Director of Technology Strategy. This appointment comes as part of a restructure for Free TV designed to strengthen its strategic technology capabilities as the broadcast sector continues its exciting evolution to meet the demands of the modern TV audience.

Mr Tanner brings extensive experience in spectrum planning and broadcast regulation across three decades with the Australian Communications and Media Authority and its predecessors. He was the General Manager of the Australian Broadcasting Authority 1997-2005, during the introduction of digital television, and most recently headed the ACMA division responsible for spectrum management. During his time with the ACMA, he oversaw the planning and auction of the 700MHz ‘Digital Dividend’ from the closure of analogue TV and was a key advisor to industry and government on broadcasting and telecommunications radiofrequency planning matters.

Mr Tanner was awarded the Public Service Medal in 2015 for “outstanding public service in enabling generational change in radiofrequency spectrum management and use, known as the Digital Dividend, and longstanding contribution to broadcasting and spectrum regulation.” Since leaving the ACMA in 2018, he has been consulting to a range of organisations in the communications field.

“I am delighted to have someone of Giles’ calibre joining our senior team at a critical and exciting time for the broadcast industry, said Bridget Fair, CEO of Free TV Australia. He is well-known to industry, Government and regulators for his ability to combine technical understanding and strategic thinking. This will be a highly relevant combination of skills as we work together with Government and industry stakeholders on the Media Reform Green Paper proposals and the implications of evolving delivery technologies. Free TV is focussed on supporting the continued growth and evolution of the commercial television broadcast sector and I can’t think of anyone better than Giles to lead these important discussions.”

Mr Tanner said: “I am thrilled to be joining Free TV and really look forward to working with members as they navigate the ongoing developments in broadcast technology. Free and ubiquitous commercial television services are incredibly important to all Australians and it is critical we work with Government to ensure a strong and sustainable Australian TV industry for the future.”

Mr Tanner’s appointment is effective immediately. He will report to Free TV CEO, Bridget Fair.

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Free TV Australia Launches the Free. For Everyone. Campaign

Free TV Australia, the peak industry body for Australia’s commercial free-to-air broadcasters, today launches its Free. For Everyone. campaign.

The campaign is prompted by the important issues raised in the Federal Government’s Media Reform Green Paper and will run in the lead up to the 2022 Federal Election. It seeks to reinforce the value of free commercial television to all Australians and to set out a policy proposal to help ensure the vibrant future of the industry.

Free TV CEO, Bridget Fair said: “With over 13 million daily viewers and $1.5 billion invested in Australian local content, commercial free-to-air television continues to unite the nation through broadcasting moments of national and cultural significance without cost to the viewer.

“We are an inherently inclusive service that all Australians can access no matter where they live or what they do. As our government considers what the future of broadcasting looks like in Australia, we need to ensure no one is left out and free commercial services can continue to thrive,” Ms Fair said.

In the lead up to the 2022 Federal Election, the campaign is calling on the Government to:

  1. Introduce a new law to require that free TV services, including live TV and catch-up apps, are easy to find on new TVs that are becoming more like large computer screens.
  2. Protect Australians’ right to live and free sport by renewing the anti-siphoning list and expanding it to guard against sport being put behind the paywalls of multi-national streaming companies.
  3. Extend the support for regional broadcasters disproportionately impacted by one of the world’s highest spectrum taxes that is currently levied on all commercial broadcasters.

Free TV Chairman, Greg Hywood, said: “Television has undergone a lot of change. Australians have more choice now than ever before with new technology and the arrival of multi-national entertainment companies.

“But free-to-air television delivers critical services that no other platform does – free, universal, locally relevant viewing to all Australian homes.”

The Free. For Everyone. campaign launches today and will be rolled out on outdoor, radio, TV, and digital advertising with a call to action for the Government to continue and extend their support of the iconic service.

Logos used for the campaign. WIN looking out of date.

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