Industry Report: Distribution and Exhibition
How to make VOD an opportunity for Europe's audiovisual production?
- The European Commission has published a Green Paper on the online distribution of audiovisual works in the European Union that investigates on opportunities and challenges towards a digital single market.
The European Commission has published on 13 July 2011 a Green Paper "on the online distribution of audiovisual works in the European Union" that investigates on opportunities and challenges towards a digital single market. This question has been analysed by KEA and MINES Paris Tech in a study published already in October 2010 on behalf of the European Commission (DG INFSO). The study also contains concrete recommendations to ensure the presence of European films' on new digital distribution platforms.
In traditional theatrical distribution European films hold a 27 percent share of the European market, compared to the 67 percent portion held by the six Hollywood majors; they account for less that 5 percent of the North American audiovisual market, which is the largest in the world. In spite of Europe's pool of talented filmmakers, the circulation of European programmes within the Single Market and internationally remains limited. How to ensure that new digital networks and media improve the circulation, availability and commercial success of European productions in Europe and beyond?
This in-depth analysis examines the economics of the copyright industries and the specifics of digital delivery in the media market. It sets out a number of recommendations to enable European AV companies to maximise on the digital shift. The study urges the European AV industry to maximise on this new opportunity by organising a coherent, efficient system of copyright licensing with the aim of encouraging service providers (broadcasters, telecoms, cable, Internet and telephone companies) to buy and distribute European content. The study also makes a strong case for working collectively in order to strengthen the leverage of audiovisual SMEs. It supports a review of national and European subsidy programmes for cinema to better market European films and foster transnational initiatives in digital distribution. It assesses the benefits of the extention of the "country of origin" principle and considers the impact of EU regulatory interventions in promoting cross border activities.
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