13/10/2005

The broadcasting of films on the Internet kicked up a gear with the official launch in France yesterday of Canalplay, service set up by Canal+, and the announcement of the start of its equivalent from TF1, from15th November (with two broadcasts, one direct and the other via TPS). The two powerful French audiovisual groups launch their Video On Demand (VOD) with high hopes, with a catalogue of around 1000 films each from now till the end of 2005 using their individual deals with production companies, in the case of Canal+ with the likes of Pathé, Studio Canal, EuropaCorp and Sony-Columbia. With some characteristics in common, (payment by credit card, similar tariffs per viewing at 4,99 euros for a new film on C+ and of 4,99 to 6 euros on TF1), the two services differ, nevertheless, on the technical side. In fact, TF1 proposes live streaming while Canal + using downloading with the possibility of keeping the film for a month on hard disk and of watching it within 24 hours of starting the viewing.

The birth of the two services will probably help speed up the negotiations ongoing for a year between the providers of Internet access (FAI) and the professional organisations from French cinema (BLIC, BLOC, ARP, SACD, SCAM, PROCIREP, USPA,ALPA...), more so now that the minister of Culture has promised a law on piracy before the end of the year and the director general of the Centre National de la Cinématographie (CNC), Véronique Caya, has taken up the report personally (read news). According to our information, the two camps are arguing over the timing of the availability of VOD, the FAI wants 7 months after distribution in theatres while cinema professionals want 9 months. A compromise will settle on 8 months (currently DVD and VHS six months after theatrical release). Also, negotiations dealing, notably, with the means of commercialising VOD, remuneration conditions for rights, action promoting anti-piracy, promotion of legal offers, tracing and securing the pathway…A deal should be made any day now, with the public bodies retaining a powerful veto with the possibility of imposing obligations to invest in the production in compensation for the broadcasting on VOD.

(Translated from French)