Media ownership Stronger media concentration in Iceland [Iceland] New regulations for media ownership? [Norway]

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1 1 of :14 No. 1, 2004 (March) Editor: Terje Flisen Pb 1726 Vika 0121 Oslo, Norge Publisher: Ulla Carlsson NORDICOM Göteborg University Box 713 SE Göteborg Archive Nordic Media Policy Archive Medier i Norden Scandinavian languages Subrcribe free of charge to Nordic Media Policy Nordic cooperation Report from SAMAK on media and democracy Nordic TV cooperation to be promoted More Nordic TV on Nordic sets? A stream of Nordic TV programmes on Danish screens Printed media Committee for press support appointed [Finland] Marginal changes in newspaper circulation [Norway] Stable newspaper circulation figures last year [Sweden] New VAT rate leads to lower book prices [Sweden] Audiovisual media Future financing of broadcasters to be debated [Denmark] DR2 may still be received via local transmitters [Denmark] Government postpones changeover to digital TV [Finland] New digital TV services to be developed [Iceland] Parliamentary agreement on digital TV network [Norway] Amendments to the Broadcasting Act proposed [Norway] Swedish initiative to amend EU TV Directive [Sweden] Digital audio broadcasting to continue [Sweden] New channels in the digital terrestrial TV network [Sweden] NORDICOM is an institution within the Nordic Council of Ministers Nordic Media Policy is an independent Internet-based newsletter that follows the political, economic and technological development in the media field. Current issues and trends are explored in articles and notices. The newsletter is published four times annually; at the turn of the months of January/February, April/May, September/October and November/December. Information Society The Danish language online ordnet.dk [Denmark] Digital copying - what is allowed? [Denmark] A resolution on the national broadband strategy [Finland] Media ownership Stronger media concentration in Iceland [Iceland] New regulations for media ownership? [Norway] Report from SAMAK on media and democracy [Nordic cooperation] A report on media and democracy has been presented by SAMAK, an organization founded by the Nordic social democratic parties and the Nordic federations of trade unions. The report points out eleven objectives for a more modern and offensive Nordic media policy. One of the conclusions of the report: If the media still want to be considered as arenas for public debate, thus maintaining freedom of speech, it is important to continue work for plurality in the form of diverse and independent media channels. A group of representatives of the trade unions and social democrats of Sweden, Finland, Norway and Denmark was responsible for the report, and they were chaired by Mr. Trond Giske, a member of the Norwegian Parliament. >Read more (about SAMAK) Source: Nordic Council (9 February 2004) Nordic TV cooperation to be promoted [Nordic cooperation] The Culture and Education and Training Committee of the Nordic Council would like to promote better and more comprehensive Nordic TV cooperation - and the committee wants to see quick results (see "More Nordic TV on Nordic sets" below). The committee chairman, Mr. Lars Wegendal (Sweden), proposed appointing a working group, whose mandate would be to influence the process towards better Nordic TV cooperation in general. The committee agreed with Mr. Wegendal, and it will discuss the report put forward by Mr. Ole Norrback (see below) during its meeting in Helsinki in April 2004.

2 2 of :14 Source: Nordic Council (2 February 2004) More Nordic TV on Nordic sets? [Nordic cooperation] Why are Nordic TV channels not available on more TV sets? The Nordic cable net offers TV channels in English, German, French, Arabic and a host of other languages, but the Nordic channels are often noticeable by their absence, especially outside the major metropolitan areas. Proposals put forward in a report by the Finnish ambassador Ole Norrback include a new joint Nordic children s channel, changes to national legislation, a permanent secretariat dedicated to promoting Nordic TV channels in neighbouring countries and a joint Nordic film channel. Negotiations will start right away with cable net owners, encouraging them to include Nordic TV in their packages. Digital TV increases the potential for watching TV form neighbouring countries," Ole Norrback said when handing over the report to the chairperson of the Nordic Council of Ministers, the Icelandic Minister for Nordic Co-operation, Ms. Siv Friðleifsdóttir, and the Secretary General, Mr. Per Unckel. Mr. Norrback also stressed the importance of public service companies in neighbouring Nordic countries and politicians sharing the responsibility of turning the proposals contained in the report into reality. >Read more (in English) Source: Nordic Council of Ministers (21 January 2004) A stream of Nordic TV programmes on Danish screens [Nordic cooperation] Last year, the Danish public service channel, DR, transmitted 723 hours of TV programmes produced in the other Nordic countries, not including the ordinary news and sports coverage. This amounts to approximately two hours a day, more than any year before, according to the DR newsletter. Altogether 2400 hours of television programmes have been exchanged between the Nordic countries in 2003; the number of hours still rising at the beginning of 2004, according to Northvision (NV) statistics. Northvision was established in 1959 by the public service television companies in Denmark (DR), Finland (YLE), Norway (NRK) and Sweden (SVT) - as an arena for a non-profit exchange of news and programmes - and for co-productions. Iceland (RUV) joined the NV in >Read more (about Northvision) Source: DR newsletter (20 January 2004) and Northvision Committee for press support appointed [Printed media] [Finland] A new committee responsible for the distribution of state grants for the press has been appointed by the Ministry of Transport and Communications. The committee, reflecting the strength of the political parties, will be operative until the next general election in Finland, due by the end of Mr. Matti Tukiainen was elected chairman of the committee. The task of the committee is to put forward bills regarding the distribution of press support to the Ministry of Transport and Communications. In addition, the committee assists the Ministry in preparations for changes in the basis of the grants and the conditions for their distribution. Source: The Finnish Ministry of Transport and Communications (22 January 2004)

3 3 of :14 Marginal changes in newspaper circulation [Printed media] [Norway] 2003 was a difficult year, circulation-wise, for quite a few of the larger Norwegian newspapers. Taking into account the circulation numbers for the Norwegian dailies as a whole, the situation is different - the changes from the previous year are marginal, according to the Norwegian Media Businesses' Association. The circulation figure for comparable newspapers in the Norwegian Media Businesses' Association fell by 39,856 copies (-1.4 per cent). When taking newly established papers into consideration, the decrease was 25,404 copies, or -0.9 percent. Seen in a world perspective, the Norwegian press strengthened its traditional number one position (circulation and copies per capita), according to the Norwegian Media Businesses' Association. Source: >The Norwegian Media Businesses' Association (12 February 2004) Stable newspaper circulation figures last year [Printed media] [Sweden] "The continuing low pressure in the economic climate taken into consideration, we are pleased to see that the circulation figures are stable", Ms. Barbro Fischerström, Managing Director of the Swedish Newspaper Publishers' Association, states. The evening papers' circulation growth continued during 2003, and contributed to the total growth in the circulation of Swedish dailies; 0.1 per cent compared to More than one half of the 165 comparable newspapers either reported an increase in the circulation or no changes from the previous year, according to the Swedish Newspaper Publishers' Association. The progress of the evening papers is very visible on the list of papers showing the most pronounced circulation increases during Expressen, including GT and Kvällsposten, reporting an increase of 13,200 copies, were the overall winners. Second, selling 6,200 more copies than the previous year, came the evening paper Aftonbladet. Source: >The Swedish Newspaper Publishers' Association (27 February 2004) New VAT rate leads to lower book prices [Printed media] [Sweden] A book price commission, appointed in January 2002, has handed over its fourth report to Minister of Culture, Ms. Marita Ulvskog. The Commission was assigned the task of investigating the development of book and magazine prices in the wake of the changed VAT rate for books and magazines - from 25 per cent to 6 per cent - effective from 1 January In a press release, the Ministry states that the Commission in its three previous reports has shown that the lower VAT rate has had the desired effect: Books have become cheaper, which is in the public interest. In addition, publishers and booksellers have increased their sales considerably. The tendency shown in the fourth report, however, is that prices from booksellers do not fully reflect the effect of decreased VAT rates. As book clubs are concerned, they have prices very near the "ideal result". The result from the investigation of bookseller's prices may be influenced by the fact that prices for non-fiction literature have increased, while prices for fiction and children's literature are at the right level, taking the VAT rate decrease into consideration. In their earlier reports, the commission has already brought up the question of price development in the non-fiction range of literature. Prices for literature sold in super markets, grocery shops and kiosks have risen more than the general price level in Sweden. In Internet bookstalls prices have dropped considerably. In accordance with earlier reports, the new report shows that the effect of the VAT rate decrease has not been fully realized in the magazine area. There are considerable price level variations across the various categories

4 4 of :14 in this area, however. Prices for family and women's magazines are better adjusted to the new VAT rate than are other types of special interests magazines. Source: The Swedish Ministry of Culture (3 February 2004) Future financing of broadcasters to be debated [Audiovisual media] [Denmark] A special committee has submitted its report regarding the future financing of DR and the regional TV 2 broadcasters; "Licence or tax", the Ministry of Culture states in a press release. Now the time for discussion and debate has arrived, a process intended to provide a basis for deliberations on possible changes in the financing of the broadcasters. The necessary decisions will eventually be taken in 2005/2006, in connection with the Government's initiative for a new Media agreement to supersede the existing agreement, covering the period However, the media development in general, involving convergence of the media, will be closely observed in order to secure that the financial foundation for DR and the TV 2 regional broadcasters is not undermined. The special committee had members from a whole array of institutions, organizations and ministries, securing the assistance of media expertise in the process. >Read more (in Danish) Source: The Danish Ministry of Culture (18 February 2004) DR2 may still be received via local transmitters [Audiovisual media] [Denmark] DR may still use the local TV broadcasting transmitters, which have been at the public broadcaster's disposal. The media spokesmen of the parties behind the Media agreement of 3 June 2002 decided that DR should be able to use the transmitters until 1 July At that time, the digital TV network will have been implemented, the Ministry of Culture states in a press release. The motive for the political decision is that approximately 115,000 households (that means 250,000 viewers) are receiving DR2, DR's second channel, via the local TV transmitters. Without the prolongation, these viewers would have lost the opportunity to watch DR2 programmes after 2 March >Read more (in Danish) Source: The Danish Ministry of Culture (30 January 2004) Government postpones changeover to digital TV [Audiovisual media] [Finland] The Government has postponed the full changeover to digital terrestrial television broadcasts, according to YLE24. The Ministry of Transport and Communications has announced that the country will switch entirely to digital terrestrial television by the end of August 2007, one year after the date originally planned. The reason given is that all participants involved in the digitalization process ought to have enough time to adopt the new technology without too much expense or inconvenience. The government also expects public broadcaster YLE and the other broadcasters to build the digital network to cover the entire country. In addition, the government expects digital services to improve and the cost of digital boxes to decline. The decision was difficult, reports YLE24, because it will extend the time that broadcasters will have to pay for both digital and analogue broadcasts, simultaneously.

5 5 of :14 Source: YLE24/the Finnish Ministry of Transport and Communications (4 March 2004) New digital TV services to be developed [Audiovisual media] [Iceland] The cluster program ArviD has been started by the Ministry of Transport and Communications to promote digital television and business activities, including production of contents for digital transmissions. The program is spanning two years and is open for participants from the field of digital development. The aim is - through financing of projects - to support the growth of easy to handle and innovative digital TV services and to create a broad cooperation network for the industry dealing with these kinds of services. The horizontal projects are useful for the whole industry. One such project is the update of the planning guide for developers of digital television services. Other horizontal ArviD projects include reports on questions regarding copyright, analyses of cash flow logistics and the opportunity to test services during development. Source: The Finnish Ministry of Transport and Communications (23 February 2004) Parliamentary agreement on digital TV network [Audiovisual media] [Norway] 1 January 2008, the analogue terrestrial television network closes down, and a new television era is beginning. The Parliament has agreed to give Norges televisjon, a joint venture between TV 2 and NRK, the licence to run a digital terrestrial TV network, covering 95 per cent of the Norwegian households. NTV was the only applicant. In addition to transmission of the public service broadcasters, NTV will carry a variety of channels. Managing Director of Norges televisjon, NTV, Tor Fuglevik, is pleased with the decision in the Parliament, but underlines in a press release that it will be costly to reach the 95 per cent coverage the Parliament wants. In the original application to run the terrestrial network, NTV pointed out that it wanted to develop it to 92 per cent coverage, and let satellite distribution take care of the rest of the households. >Norges televisjon (in English) Source: Norges televisjon (26 February 2004) Amendments to the Broadcasting Act proposed [Audiovisual media] [Norway] The Ministry of Culture and Church Affairs has sent bills for amendments to the Broadcasting Act out for comments. The deadline for comments was 10 March Here are some of the bills: - new sanctions for breaches of regulations according to the law, - legal authority must be available to prohibit sales and marketing of devices that make it possible to forward programmes contrary to Norwegian law, - establish by law regulations prohibiting sales-promoting mentioning of products and services in programmes, - changes in authorities' handling of issues concerning choices of transmitted channels in cable TV networks. >Read more (in Norwegian) Source: The Norwegian Ministry of Culture and Church Affairs (27 January 2004) Swedish initiative to amend EU TV Directive [Audiovisual media] [Sweden]

6 6 of :14 What are the possibilities for the European Union member states to apply national legislation on broadcasting that has its origin in other countries? That was the main question on the agenda during the informal meeting of the EU ministers of culture in Dublin March 1-2. The cause of the debate is that the EU Commission has started a process to review the directive "Television without Frontiers". In Dublin, Sweden proposed to make amendments to the directive. The reason is that it is of utmost importance for Sweden that Swedish law prohibiting, for instance, advertising aimed at children and advertising for spirits, wine and beer may be applied within the EU. According to the Swedish proposal, a broadcaster that has established itself in a member state other than the one at which the company is aiming its transmissions is obliged to follow the legislation of the other member state receiving the transmissions, if this state demands it. "Free flow of television transmissions has become synonymous with the activities of a number of commercial broadcasters that do 'regulationshopping' within the Union. They tend to establish their activities in the member state that for the moment seems to offer the most favourable advertising legislation", the Minister of Culture, Ms. Marita Ulvskog says, according to a press release from the Swedish Ministry of Culture. "This means that Swedish legislation is being bypassed. Also, this may have consequences for the actual contents of the programmes. Last year a Swedish broadcaster, a British one according to the television directive, was fined in Britain for a programme that was considered to be contrary to British law. The programme was, however, intended for the Swedish public; it was produced in Swedish, but transmitted via link to Britain in order to be redirected via satellite to Sweden once more. This is absurd. This procedure has to be changed. It is for this reason we have presented a definite idea for amendments to the EU television directive as it is today," Marita Ulvskog states. >Read more about the EU TV Directive (EU Audiovisual Policy-site). Source: The Swedish Ministry of Culture (2 March 2004) Digital audio broadcasting to continue [Audiovisual media] [Sweden] DAB transmissions (Digital Audio Broadcasting) in Sweden must continue. This was the most important message in the report Digital Radio - the final report from a committee nominated in June 2002 by the Ministry of Culture. It was handed over to the Minister, Ms. Marita Ulvskog, as SOU 2004:16 (in the series Swedish Government Official Reports). The committee's mandate was to carry out an analysis of the future of digital audio broadcasting in Sweden - taking all aspects into consideration - and draw the necessary conclusions. The assignment is to be seen as a continuation of the fact-finding work done by a one-man commission earlier, resulting in an interim report. The committee has made an analysis based on the following alternatives; the introduction of DAB transmissions on a larger scale, a step by step development of the DAB transmissions and the discontinuance of DAB transmissions. The committee has carried out the analysis with various interests and factors in mind; among them the broadcasters, the public, the manufacturers and traders of equipment, costs and economic consequences, the development of transmission technology, the progress of DAB transmissions in other countries - and consequences involving media and consumer policy aspects. The final conclusion is that the development of DAB transmissions in Sweden ought to continue. The necessary conditions should be created for a long-term development enabling the broadcasters to distribute programmes via digital platforms, with at least the coverage of the present FM network. According to the committee it is not - at the present time - possible to make a timetable for the discontinuance of analogue broadcasting. Source: The Swedish Ministry of Culture (18 February 2004)

7 7 of :14 New channels in the digital terrestrial TV network [Audiovisual media] [Sweden] The Government has granted a transmission licence to seven new channels in the digital terrestrial television network, according to the Ministry of Culture. All licensed channels may be transmitted either as free of charge channels or as pay TV. However, the SVT public service channels and the main channel of TV 4 must be open for all, free of charge, except for the ordinary TV licence fee. Altogether, 90 per cent of the Swedish households may now receive nine digital TV channels aimed at the Swedish public; SVT 1, SVT 2, Barnkanalen, 24, Kunskapskanalen (due to start in the second half of 2004), TV 4 and TV 3, ZTV and TV 8. A set-top box intended for the digital terrestrial network is necessary, however, to watch the transmissions. Altogether, approximately 30 digital TV channels will be transmitted in the terrestrial network. Viasat Broadcasting UK Limited has agreed to follow the regulations of the Radio and Television Act, which prohibit advertising aimed at children in the free of charge transmissions; these regulations now also apply to TV 3, ZTV and TV 8. A bill regarding continued development of the digital terrestrial network - enabling in principle all households in Sweden to receive the transmissions - will be submitted to the Swedish Parliament during spring Source: The Swedish Ministry of Culture (29 January 2004) The Danish language online ordnet.dk [Information Society] [Denmark] The Minister of Culture, Mr. Brian Mikkelsen, wants to support the establishment of an integrated system of searchable electronic dictionaries, texts, etc. In order to expand the activities on the net portal ordnet.dk, the Minister has sent an application to the financial committee of the Danish Parliament, trying to secure one million DKK per year in the period The Minister's vision is that the net portal will cover, in due course of time, the history of the Danish language from the runes onwards. >Read more (in Danish) Source: The Danish Ministry of Culture (27 January 2004) Digital copying - what is allowed? [Information Society] [Denmark] The Danish Parliament last year adopted a number of amendments to the copyright legislation, related to digital copying for private use. For instance, it is no longer legal to copy a CD borrowed from your local library. The Ministry of Culture - in cooperation with the Consumers Council - has put together a short list explaining what is legal and what is not, according to the new regulations. >See the list and read more (in Danish) Source: The Danish Ministry of Culture (19 January 2004) A resolution on the national broadband strategy [Information Society] [Finland] In the beginning of 2004, there were 490,000 broadband connections in Finland. On 29 January 2004, the Finnish Government adopted a resolution on the national broadband strategy. The strategy is an essential element of the Government s information society policy.

8 8 of :14 According to the new national broadband strategy, the aim is that every Finn will have access to high-speed, easy-to-use and affordable data transfer connections by the end of by then there would be one million broadband subscriptions in Finland. A target is that Finland will become a European leader in the availability and use of high-speed telecommunications. The spread of broadband connections will be promoted through numerous measures. Competition will be promoted within and between all communication networks. The measures will also speed up the introduction of new broadband technologies and increase the provision of network services and content. Information security and user skills will be developed. The Government has a programme of fifty action points to implement the broadband strategy. >Read more (in Finnish) Source: The Finnish Ministry of Transport and Communications (29 January 2004) Stronger media concentration in Iceland [Media ownership] [Iceland] Concentration of ownership in the Icelandic media market is now under close scrutiny, following a recent burst of acquisitions and mergers. Foremost, one single group, Baugur, has acquired the majority of shares in the media company Norðurljós. The company, which runs TV channels, has merged with Frétt, publisher of the daily newspapers DV and Fréttablað. After the merger, Norðurljós consists of three independent units; electronic media, business and cinema operations and newspaper publishing. Judging by information given at a press meeting where the new structure was presented, the new company will aim at strengthening the existing activities. In addition it will explore new fields; among other things it will start digital television transmissions this coming autumn. The Minister of Education has appointed a committee with the task to investigate whether it is possible to control media ownership through legislation. The committee will write a bill for such legislation, if the Minister finds it necessary, and was supposed to end its work before 1 March In addition, five members of the Icelandic Parliament, representing all parties, have put forward a bill to appoint a committee with the task to investigate the working conditions of the media, including changes in the labour market and future prospects in this field. Source: The Icelandic Ministry of Education, Science and Culture (9 February 2004) New regulations for media ownership? [Media ownership] [Norway] The Ministry of Culture and Church Affairs proposes, in a memo put forward for comments, that the limit for media ownership on a national level is to be adjusted from 33 to 40 per cent. New regulations for cross ownership, i.e. ownership in several sectors within the media field, are also among the Ministry's bills. At present, the media ownership regulation sets limits for the control of dailies and broadcasting media on a national, regional and local level. The ownership regulations empower the Media Ownership Authority to act when it discovers acquisitions contrary to the regulations. The aim of the ownership regulations is to promote conditions that provide for freedom of speech and a great variety within the media field. The bills uphold the main principles of today's legislation, while among other things the power to act towards ownership concentration at a local level is to be abolished. This is in accordance with the parliamentary handling of the last white paper on the media, (St.meld. nr. 57 for "I ytringsfrihetens tjeneste," i.e. "At the service of freedom of speech"). The bill to make new regulations controlling cross ownership will mean, for instance, that a company controlling over 30 per cent of the market for national dailies may not acquire a market share larger than 20 per cent in the television or radio market. For simultaneous ownership within three sectors of the media field lower limits are proposed. The reason for this is that one owner with a strong position within one media sector clearly becomes stronger when acquiring market shares within other sectors of

9 9 of :14 the media field. The deadline for comments to the bills was 23 February >Read more (in Norwegian) Source: The Norwegian Ministry of Culture and Church Affairs (9 January 2004) The newsletter contains links to other websites that offer more thorough coverage of issues. When websites containing external sources are reconstructed (with regard to structure or content), this unfortunately often results in broken links. We also would like to recommend Media Law in the Nordic Countries. Here you will find a general overview of media legislation in Denmark, Finland, Iceland, Norway and Sweden, covering copyright, freedom of speech and media pluralism, audiovisual media, print media and the information society. The overview is an integrated part of Nordicom s documentation of Nordic media development.

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