Category Archives: Media policy

Following up on the Oxford Media Convention 2014

The Oxford Media Convention 2014 was great. Interesting keynotes, panels, and discussions, very well organized by Damian Tambini and co. Superb tweeting from Emma Goodman and the LSE Media Policy Project and lots to look at under the #OMC2014 hashtag for those interested.

It also struck me—and many others, judging from conversations had and overheard—that the stuff that was missing was often as important as the stuff that was featured.

As Damien Tambini rightly said in his closing remarks: “we can’t do everything.” And what was done was done well. But many important issues that it would have been useful to take up with this intelligent and diverse group were mostly taken up, if at all, in questions from the audience.

Things not addressed to the same extent included—role of new US-based global digital intermediaries like Google, Facebook, and the like, concerns over copyright in content production, regulation in an increasingly converged media market, impact of NSA revelations on future directions for media policy, balance between national media policy, European Union media policy, and potential transnational/global policy frameworks, (there was a panel which dealt more directly with data/privacy issues, but I missed it).

What was debated was mostly fairly well-known national (UK) media policy issues. Domestic media plurality. The role of the BBC. The possibility of industrial policy when it comes to the creative industries. The role of Ofcom as a regulator.  Many speakers articulated fairly well-known views and defended well-known positions. (Tony Hall from the BBC thinks the BBC is value for money but can always be better, etc.)

This is important, for people to remind each other where they stand, nuance their position, evolve, etc. And all the issues discussed have been and remain very important (and there were other panels I didn’t attend and where I’ve only seen the tweets). But there are larger and perhaps more future-oriented media policy questions that were not discussed in similar detail.

In part this is probably due to the nature of the OMC and the crowd there. It is a conference for discussion, and it is co-sponsored by a think tank, it does draw academics. But it is also a very public event. It is an event where a lot of stakeholders and interests are represented. It is a quite political event. Not the best place for difficult questions with few answers and for blue sky thinking perhaps.

We hope to arrange some seminars for constructive, future-oriented discussions around media policy at the Reuters Institute in the fall. We’ll build on all the discussions coming out of the OMC and then see if we can find a format and a line-up for also taking up some of these bigger issues.

Frozen media policies during a time of media change—new paper out

This year, we mark the twentieth anniverary after the Mosaic browser and affordable dial-up connections began to make the internet accessible for ordinary people, disrupting almost every aspect of the media business along the way as much of the population in high-income democracies started going online, moved from modems to broadband, from desk tops to lap tops, went from phones to mobile phones to smart phones, and as their TV was digitized and later connected.

And yet, despite all these changes in the media—and close to twenty years of media analysts arguing that they in turn necessitate changes in how media are regulated and underpinned—many areas of media policy remain essentially unchanged, especially when it comes to the forms of direct and indirect public support for media, including news media.

Across otherwise quite different countries including Finland, Germany and the United States, countries with different media systems and political systems, we have generally seen little reform of media policies, in particular those policies more important to democracy than to commerce (broadband policy and transition to digital television has been high on the agenda in many countries). The media industries are in upheaval. Media policies are being tweaked.

In a paper just published in Global Media and Communication (abstract below, full article here), I try to explain why many media policies seem “frozen” during a time of media change, looking at six high income democracies (Finland, France, Germany, Italy, the UK and the US) and drawing on interviews with media managers, media regulators, and media policymakers in each country.

I point to three factors that cut across all six countries and are likely relevant in many other places too.

I call them “the devil that don’t care”, “the devil you know”, and “the devil you don’t know.”

  1. “The devil that don’t care.”—a relative lack of interest in media policy from many leading politicians. The top people have a lot on their plate during a time of economic crisis, war, and all the rest, and changes in the media business has mostly not been put on their agenda.a
  2. “The devil you know.” The role of industry incumbents who are, whether in public service media or in the private sector, (predictably and understandably) keen to protect their existing privileges and who fear that any reform will leave them worse off. In some cases, this is close to “regulatory capture”, but in every case, incumbents can at least oppose reform proposals that hurt their interests.
  3. “The devil you don’t know.” Real, substantial uncertainty about what reform would look like and how it could be made both effective and governable. Anyone who talks to media regulators and serious media policy scholars recognize this. It is a lot easier to call for reform than to specify which reforms are simultaneously politically legitimate, cost-effective (especially during a time of austerity and budget-cuts), and ensure accountability.

The lack of high-level interest, the incumbents protecting their own interests, and the lack of clear blueprints and best practices for what could be done all help explain why media policies remain “frozen” in many respects in many countries.

Of course, the absence of major reform combined with major changes in the media industry means that many media policies are increasingly subject to what political scientists call “policy drift”, a process by which the operations and effectiveness of policies change not because of deliberate reform, but because of changing conditions on the ground.

The changes in our media are not going away. They are in fact likely to accelerate. And while we can understand why our media policies do not always change at the same pace, that does not mean change is not necessary. We need 21st century media policies for 21st century media. (See? I told you it was easier to call for reform that to specify what reform should look like more concretely.)

a) With regards to the first factor: France under Sarkozy was a partial exception to this (and has seen some changes in media support arrangements during his presidency) and Italy, because of Berlusconi, has been an obvious exception to this (though changes there have mostly taken the form of cuts). The period I examine ends before the Leveson Inquiry began in the UK, but keep in mind that despite the best attempts of the Media Reform Coalition and others, that has been more about press regulation than about the framework conditions of media.

Abstract etc below.

Continue reading

Genachowski did little to help journalism—will the next FCC chair act differently?

On March 22, the Federal Communication Commission Chairman, Julius Genachowski, confirmed that he is stepping down.

Much of the discussion of Genachowski’s legacy has focused on what the FCC did and didn’t do during his tenure on important core issues like internet access and mobile service, as well as questions concerning the commission’s overall regulatory authority in an increasingly convergent media sector.

What about journalism? This is not a core concern for the FCC, but it is important, and with the publication in 2011 of the “Information Needs of Communities”-report, Genachowski at least raised the possibility that the commission would seek to play some role in addressing the democratic challenges that arise from the wrenching transformation that the news industry—newspapers in particular—is undergoing in the United States.

Especially since 2007, the combination of economic pressures and technological change has severely challenged the business models that used to sustain journalism in the United States. Especially local, metropolitan, and state-level issues are in many places no longer covered in ways that ensure people can keep track of public affairs in their community.

The implications are potentially dire—as Paul Starr has put it, it may well be “goodbye to the age of newspapers, hello to a new era of corruption.”

The “Information Needs of Communities”-report recognized the challenges this transformation in the news industry represent for American democracy, and though it did not present major policy initiatives to address the issue, it did make a number of minor recommendations.

Little has been done, however, to act on these recommendations, and there are no signs that the fundamental challenges—of how to serve, in the future, the democratic information needs of communities—have been met.

Here is how the Pew Research Center’s Project for Excellence in Journalism summarizes developments in the news industry since the publication in 2011 of the “Information Needs of Communities”-report—

In 2012, a continued erosion of news reporting resources converged with growing opportunities for those in politics, government agencies, companies and others to take their messages directly to the public.

Signs of the shrinking reporting power are documented throughout this year’s report. Estimates for newspaper newsroom cutbacks in 2012 put the industry down 30% since its peak in 2000 and below 40,000 full-time professional employees for the first time since 1978.

[…] This adds up to a news industry that is more undermanned and unprepared to uncover stories, dig deep into emerging ones or to question information put into its hands. And findings from our new public opinion survey released in this report reveal that the public is taking notice. Nearly one-third of the respondents (31%) have deserted a news outlet because it no longer provides the news and information they had grown accustomed to.

The problems that prompted the “Information Needs of Communities”-report have not gone away. In fact, in many respects, they are only growing worse. Even as digital technologies empower us in many ways as citizens and consumers, the news that help us act as such is rapidly eroding in many parts of the United States. The possibility that the FCC would seek to play some constructive role in addressing this  problem remains, almost two years after the report came out, at best that—a possibility.

Public policy initiatives in general and the FCC in particular cannot make the challenges that news media organizations and journalism face go away. But policy initiatives can help the news industry and the journalistic profession address these challenges and make the most of the new opportunities that present themselves to ensure that communities across American have access to the information that they need to engage in democratic self-governance.

In terms of doing so, Genachowski leaves no real legacy. The “Information Needs of Communities”-report published under his tenure documented many of the problems at hand. Let’s hope the next FCC chair will start looking for ways of addressing them.

Public support for the media–past, present, future?

Off to Edinburgh to give a talk about public sector support for the media at “New media, old values? Media freedom and independence in the era of convergence”, a workshop hosted by the SCRIPT Centre for Studies in Intellectual Property and Technology Law at the University of Edinburgh law school and the Open Rights Group and co-funded by the MediaDem project that I have drawn on in my own work.

My talk mix a bit of history taken from the work of Richard John and Paul Starr (the “past” part of the sub-title), the overview of current forms of public sector support for the media in six developed democracies based on my own work with Geert Linnebank (the “present” part) and some preliminary observations on the policy and political challenges any attempt at bringing public support for the media up to speed faces (the “future” part)–the kernel basically being that not only the politics, but also the policy, of media reform are so complex and full of veto points, vested interests, and uncertainties that the current combination of essentially unreformed support and policy drift is hard to overcome. (I’ve touched on some of this in a previous post.)

I’m looking forward to what will no doubt be a really interesting conversation, especially since the main organizer Rachael Craufurd Smith seems to have taken such care in getting together a really diverse line-up that includes both academics, professionals, and activists.

Alternative onwership structures and support for news in New York

Making a dash across the Atlantic over the weekend for an event on alternative ownership structures and support for news hosted by the Oxford Alumni Association of New York on Monday.

Robert G. Picard and I will speak about recent RISJ research on the international business of journalism, charitable and trust ownership of news organizations, and public sector support for the media.

Bearing in mind cross-Atlantic differences on issues like subsidy, where proposals for various forms of intervention by people like Len Downie, Michael Schudson, and Lee Bollinger have met fierce resistance, I look forward to an interesting and robust discussion.

Do the British (still) care about phone hacking?

The Leveson Inquiry into the “culture, practice, and ethics of the press” and motivated by the phone-hacking scandal that has rocked the UK media world in general and News International in particular is now well under way.

A large number of important people in and around the UK media industry clearly, and rightly, care deeply about the phone hacking scandal, what it tells us about (parts of) the news media, and what the fall-out will be/what the ramifications and consequences should be.

But does the British public care about the whole thing? Yes and no.

First the “no”—back in July, I used Google Trends to map searches for “phone hacking” versus “David Beckham” (my random choice of baseline celebrity). The data suggested a relatively high level of interest peaking in July around the Guardian’s revelation that News of the World had hacked the missing and murdered girl Milly Dowler’s voice mail. Now, in November, despite the riveting and ongoing unraveling of ever more instances of questionable, often immoral, and sometimes illegal, behavior, the same crude metric suggests interest in phone hacking has faded–as shown below.

Does this mean the whole thing will go away? That we will be back to business as usual in no time? Hopefully not—many people are working hard to make sure that this opportunity to improve the standards of the British media is seized.

Doing so should not be about politicians getting back at the press, hemming it in with needless regulation, or about prudish disdain for the tabloid press. It should be about strengthening the press itself. It should be about establishing a framework that will help British journalism regain the confidence of the British people.

Addressing this crisis of confidence is in the interest of those in the media themselves—and it leads me to the “yes” to the question of whether the British public cares about the phone hacking scandal. Most people do not seem to follow the twists and turns of the case, online or on other media. But many seem to have reacted in a more basic way to the revelations—which more and more evidence suggests has had direct consequences for people’s trust in the media. For a long time, people in the UK have had comparatively low levels of trust in the press, relative to other European countries (see for example Eurobarometer survey evidence–see page 83 of this rather large PDF file). This has only grown worse this year, according to YouGov.

Overtly cumbersome, intrusive, or cumbersome regulation of the media is one threat to the freedom of the press and its ability to serve democracy. But a precondition for this same press to make much of a contribution to the rambunctious running of popular government is that the population has at least some confidence in journalists and their work.

That confidence is low in the UK, the phone hacking scandal has further undermined it, and journalists and media people need win it back—or they will risk commercial ruin and democratic irrelevance. Some form of credible regulation (self or otherwise) and enforceable codes of professional conduct may be a necessary part of that. Oh, and then it also helps to abstain from flaunting the laws of the land in the pursuit of private profit…

The best media in the world?

Together with my near-namesake, Rasmus Helles, I’ve written an op-ed in Berlingske on media trends and media policy in Denmark, arguing we need to support not only content production and diverse provision, but also broad reach in the population if we are to continue to have some of the best media in the world.

Uanset om du læser denne kronik i avisen, på nettet, eller fordi nogen har delt den med dig via Facebook, så tilhører du sandsynligvis den mest overforkælede mediemålgruppe i verdenshistorien. Selv om avisoplagene falder, TV- og radiokanalerne presses af konkurrencen om vores opmærksomhed, redaktionelle satsninger på internettet har svært ved at løbe rundt, og internationale giganter som Google sluger store dele af annoncemarkedet, så har de veluddannede, velhavende byboere over 30 stadig flere medieprodukter at vælge imellem. Men medierne producerer ikke kun indhold til os som individuelle forbrugere. De spiller også en bred demokratisk rolle, der vedrører os alle som medborgere – og selv om Danmark stadig har nogle af verdens bedste medier, er den rolle i dag truet.

The whole thing is here.

Supporting the past, ignoring the future? Public sector support for the media

Though Western media systems are going through a rapid and often painful transformation today with the rise of the internet and mobile platforms, the decline of paid print newspaper circulation, and the erosion of the largest free-to-air broadcast audiences, the ways in which governments provide direct and indirect support for the media have remained largely unchanged for decades.

The bulk of the often quite considerable direct and indirect subsidies provided continue to go to industry incumbents coming out of broadcast and print, while innovative efforts and new entrants primarily based on new media receive little or no support. In central ways, public support for the media remains stuck in the twentieth century, and some parts of these support systems are in need of real reform to be brought into the twenty-first we live in.

That is the thrust of a report called ‘Public Support for the Media’ that I’ve written with help from Geert Linnebank, former Editor-in-Chief of Reuters. In it, we review the various forms of subsidy in place in Finland, France, Germany, Italy, the United Kingdom, and the United States.

In all these countries, the main forms of support relevant today have been put in place in the 1970s and in many cases long before. None of these countries have carried out major reforms of their subsidy systems to take into account the changes the media industry has undergone over the last twenty years. The bulk of the public support provided continues to go—

  • First, especially in Europe, directly to public service broadcasters with varying commitments to the online and mobile services people increasingly desire, and
  • Secondly, in all the countries covered including the United States, indirectly through various forms of tax relief to paid printed newspapers that remain of central importance in terms of generating original general interest news content on a regular basis, but are suffering from declining readership and stagnant revenues.

It is well-known that most European countries remain committed to public service broadcasting, but it is less well known that private sector print publishers in most countries benefit from very substantial forms of indirect support. The British press, for example, benefits from VAT relief worth an estimated £594 million (€748 million) every year.

The large table below (click to enlarge) provides an overview over the main forms of support in place in the six countries, and their estimated total value. As is clear, the sums involved are considerable, even if they pale by comparison to how much revenue some parts of the industry has lost in recent years (US newspapers have seen their total revenue decline by more than $20 billion since 2000).

A lot of money thus goes to supporting broadcast and print media in various ways, media that continue to be important for how people keep informed about public affairs, but also media that are increasingly being supplemented by online and mobile media of various sorts. Despite the well known and rapid spread of internet access and increasingly smart mobile phones, today, of all the six countries covered in the report, only France offers any meaningful support aimed directly at online media—and that to the tune of about €20 million a year after reforms in 2009, less than 0.5% of all the support provided. (The ‘Other support’ available in Italy goes to private sector broadcasting.)

Our aim with the report has been to collect in one place information on various forms of public sector intervention meant to encourage and foster vibrant and diverse media systems. Rather than discuss each kind of policy—broadcast, press, online, etc—separately and on its own terms, we have wanted to provide a more general overview over forms of intervention in increasingly convergent media markets and help shed some light on an otherwise all too opaque policy area attracting increased interest as some commercial media companies continue to struggle and newsrooms in many countries are cut. In several countries, detailed reports on the national support systems have been published in recent years (see for example this one from the US, this one from France, or this one from Finland), but we are not aware of any comparative overviews bringing together different forms of media support the way we have done.

This kind of cross-country comparison can help identify overlaps—like the absence of change and the bias in favor of legacy media common to all the countries considered here—but also map out differences. Different developed democracies support the media to different degrees and in different ways—of the countries we looked at, Finland, Germany, and the United Kingdom offer the most support in per capita terms, based on robust public service funding and VAT relief for historically strong newspaper industries. France and Italy has more extensive support systems in place, but their total value is actually lower in per capita terms partially because of their lower license fees, partially because tax relief is worth less for their much smaller press. The US is the clear outlier amongst developed democraces, with minimal public support, mainly for public service broadcasting (through federal and state appropriations) and for print publishers (through various forms of tax relief).

The figure below breaks down the absolute sums in terms of support per capita to make them more directly comparable than absolute figures (listing 5.5m population Finland and 300+m population US side-by-side may invite misunderstandings).

As is clear, there are important variations in how these six different countries support the media. But in all of them, direct and indirect subsidies runs to billions of Euros per year and overwhelmingly go to legacy media organizations coming out of broadcasting and print, while new media initiatives—whether pursued by these or by new entrants and entrepreneurs—get basically no support.

As our media systems change and people’s media use switches towards new media platforms, the effectiveness of the inherited forms of intervention will decline. Especially indirect support for the press—support still considered “essential” by industry associations—is and has been far more significant than most people realise. But support systems built around legacy platforms of relatively diminishing importance will lose their effectiveness as current trends in the advertising business and in people’s media habit continues. As newspaper circulation and revenues from print sales and advertising thus decline, the value of the indirect subsidies meant to help the industry thrive will diminish—and they do nothing to help it address the more fundamental challenge of structural adjustment that it faces.

Those who favour a renewed commitment to public support for the media will therefore have to rethink the role of public policy, of public service media organizations, and reconsider how governments can support those private sector media companies that provide public goods like the kinds of accessible accountability journalism and diverse public debate that democracies benefit from. Media scholars have long called for such reform, and yet little has been done to bring our twentieth century media policies into the twenty-first century. The basis for indirect support for the press in the United Kingdom, for example, continues to be the definition of a newspaper as publications that “consist of several large sheets folded rather than bound together, and contain information about current events of local, national or international interest.”

Whether one wants public support for the media or not is a political question (and one all developed democracies have answered in the affirmative in the twentieth century), but as people’s media habits and the economics of the industry change, effective intervention probably ought to be built around the “information” part of the sentence quoted above rather than the “several large sheets” part (just as “public service broadcasters” have in many countries sought to redefine themselves as “public service media organizations” to emphasize their cross-platform ambitions).

It will not be easy to develop new forms of public support for the media. New policies intervening in a sensitive area crucial for the functioning of our democracies will have to command wide political support, navigate industry and professional concerns, and at the same time try to meet the multiple ideals of being platform neutral (not biased in favour of any one distribution system), of being viewpoint neutral (not affording politicians or others too many opportunities to meddle), of being targeted enough to make a difference (one can’t support everything), of being governable and transparent (so that recipients can be held accountable in the public interest), of not distorting competition unnecessarily, and of being able to pass muster under various anti state-aid provisions in for example the European Union.

Developing new policies in this area is not a question of simply shouting “out with the old, in with the new” and switching support wholesale to new media—most news, for examples, is still accessed via linear broadcast and print newspapers, even though other platforms are of growing importance. Reform is a more difficult issue of deciding what it is one wants to support—what kind of public interests public support should serve, what kinds of public goods one wants delivered—and developing forms of direct and indirect support that effectively encourage that without too many malign side effects.

Developing such policies will be hard, difficult work, and call for renewed intellectual and political leadership—but it is also much needed work. Reform is necessary if we want to move beyond supporting our media past while ignoring the future.

Note: We decided to look at these six countries because they represent distinct approaches to media policy and have different media market structures. (For more on this, see for example the chapters on each (bar Italy) in the book I edited with David Levy last year). I should add that our review is not completely comprehensive in that we leave out public notice laws, regulatory relief in competition and labour law, and many other potentially important but smaller forms of support for certain media, and that it is not absolutely up to data as the last year on which the necessary information was available on all six countries was 2008. We have focused on support for the main kinds of content-producing media companies with at least a partial interest in news journalism, and thus left out both telecommunications and support for, for example, movie production and various kinds of art and culture.

Cross-posted on politicsinspires

How much do the Brits care about the phone hacking scandal?

How much do the Brits care about the phone hacking scandal? Not the Brits at the Guardian, or the Brits at the BBC, or for that matter the various Brits who are quoted in news media all over the world by journalists enthralled by the biggest media scandal in years.

No—how much does the broader British population care about the phone hacking scandal?

At the moment, they seem to care rather a lot—if you go by Google Trends’ mapping of search terms; they care about “phone hacking” as much as they do about “David Beckham”, my random choice of a baseline celebrity.

That popular interest lends extra importance and extra impetus to the current debate over the whole News of the World/News International/News Corporation phone hacking scandal. Right now, it is not simply the chattering classes, the Westminster crowd, and people in London newsrooms who care about this—it is a much wider audience, an audience of people who will (because they have lives to live) rarely pause for as much as a moment to consider journalistic ethics, media reform, or the relations between politicians and the press.

As long as that audience is there—and I’m not sure that will last long—the scandal may represent not only enormous damage done to the image of the Murdoch family, their closest associates and the corporate empire they have built, the British politicians who have too often seemed subservient to them, and the police officers who have turned out to be paid by them.

It also represents a real opportunity to reform media regulation and professional practice in the United Kingdom on the basis of something more than the usual suspects arguing things out amongst themselves and thus perhaps begin to address the real crisis of confidence that exist between the British population and institutions ranging from parties to the press.

As long as the audience interest is there, it is not simply the case that a majority of those who pollsters can induce into opining think News Corporation has handled the situation badly, that Prime Minister David Cameron has handled the situation badly, and that the police has handled the situation badly—but in fact very large numbers of people who would normally not have much of an opinion at all on such matters. And as long as they are paying attention, there is thus, perhaps, a slim chance of doing things right and regaining some of their trust.