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Greek finance minister Euclid Tsakalotos, in deep need to find cash for the State budget, has proposed raising value added tax (VAT) rates on several consumer favorites, including mobile phone, internet and pay-TV services. Needless to say, it was met with groans from ISPs, telecoms and pay-TV operators, some of which are one in the same. With the digital dividend just around the corner, they say, raising the VAT is a step too far.
"Imposing any tax in the current economic situation of Greek households will lead to shrinking one of the few growing markets that we have in our country,” said an unnamed representative of pay-TV operators, reported To Vima (April 12). “It is certain to create unfair competition in favor of foreign companies, who will provide those services without extra tax.” Those foreigners mentioned include Netflix, Amazon, YouTube and AppleTV “on which a similar tax on end-users cannot be imposed.” Also noted was the contribution by pay-TV providers to Greek sports, through rights fees, and cinema, through another tax. (See more about media in Greece here)
In its seemingly unending quest for a digital dividend from, largely but not exclusively, US-based tech companies (Google, Apple, et.al.) the European Commission is ready to require country-by-country revenue, tax and profit statements from those earning more than €700 million annually, some 6,500 companies. The plan, not yet implemented, was announced this week by EC Financial Services Commissioner Jonathan Hill, who noted it had been in the regulatory pipeline well before the Panama Papers tax haven disclosures embarrassing a wide variety of notables.
Poland’s top rated national radio broadcaster RMF FM is complaining loudly about its license not yet being extended by regulator KRRiT. In a strong letter to the regulator - along with on-air announcements - RMF FM said it is “again faced with unfair treatment,” reports onet.pl (April 12). The license officially lapses in mid-2018 and, according to the rules, the KRRiT must make a decision by the end of this year.
As Culture Minister designate Piotr Glinski prepared to take office last December, he outlined plans to “change ownership patterns in the local press. We may buy back media bodies from foreign owners and, if possible, create our own institutions.” RFM FM, the first licensed commercial radio broadcaster in Poland, is owned by German media house Bauer Media. (See more about media in Poland here)
“Hypersensitivity gives the impression that (RMF FM) has something on his conscience or something to fear, I think very wrongly,” responded KRRiT vice president Witold Grabos. “We are not the authors of the concept of re-polanizing media. There is no evidence that it had any significance in our decisions. It did not and will not have.” The license extension for Radio Zet, also expiring on mid-2018, was approved in March. Radio Zet is owned by French media house Lagardère Active.
Minister Glinski, also deputy prime minister, brought in several deputies charged with removing politically vanquished executives, managers and others at Polish public TV and radio.
German media has expressed solidarity, sometimes measured, with a TV satirist in yet another flap over a stinging verse pointed at Turkey’s president Recep Tayyip Erdogan. About two weeks ago comedian Jan Böhmermann on the late night pubic channel ZDFneo program Neo Magazin Royale (March 31st) recited a “poem” deliberately unkind to President Erdogan. Turkey’s Foreign Ministry formally asked German authorities to prosecute Herr Böhmermann for insulting a head-of-state.
Two weeks earlier another satirical TV show on German public TV channel NDR - Extra 3 - unleashed a two-minute song critical of Turkey’s historical indifference toward freedom of expression, assembly and the press. The Turkish Foreign Ministry summoned the German ambassador to Ankara, a rather tame slap considering the two thousand or so Turkish citizens currently facing prosecution for insulting President Erdogan.
“What I’m about to read is not allowed,” said Herr Böhmermann, introducing the bit. “If it were to be read in public… that would be forbidden in Germany.” Under the German Penal Code, the “honor” of foreign heads of state, ministers and diplomats is universally protected, explained Frankfurter Allgemeine Zeitung (FAZ) (April 11). Additionally, a request for prosecution by a foreign government with which Germany maintains diplomatic relations can be authorized.
“I found it a tad too hard, gone a tad too far,” said ZDF director general Thomas Bellut, quoted by deutschlandfunk.de (April 12). The bit was removed from online archives for “not meeting standards we have for the program.” Herr Bellut did express support for “the program, the presenters and Herr Böhmermann, of course.”
German media giant Axel Springer CEO Mathias Döpfner, in Welt am Sonntag (April 10), “embraced” the bit of satire “in every legal way.” He also noted that President Erdogan “as a reviewer of the boundaries of bad taste is satire.”
Swedish publisher VLT has ended online reader comments. “I wish we could have a debate in which comments to our articles could give a budding, important and forward-looking debate,” wrote editor in chief Daniel Nordstrom in a blog post, quoted by medievarlden.se (April 11). “Unfortunately it is not so.”
Affording readers the opportunity to comment quite freely on articles appearing online once struck publishers as a terrific exercise in building attachment with both the publication and the material presented. Trolls have soiled the platform. “I know what reaction now awaits,” said Mr. Nordstrom. VLT publishes several online portals and is owned by Promedia.
"On our website, registered users can write comments, but these are read before the activation,” said German publisher Freie Presse newsdesk chief Sascha Aurich, quoted by welt.de (April 11). “Users have learned that it does not help to unload hatred because such comments are never activated. It is different on Facebook.”
Social media is also a brilliant extension of the comment forum benefit. “We go with attitude, humor and proactive management with hate and trolls” explained Die Welt social media chief Niddal Salah-Eldin. “We moderate comments not only passively but actively. Humor is disarming.”
After what seems an eternity multi-national communications conglomerate Vivendi has taken over Mediaset’s pay TV business. Vivendi will also have a 3.5% stake in Mediaset and board seats. “Everything went well,” said Mediaset CEO Pier Silvio Berlusconi, quoted Reuters (April 8).
A deep subject, well is. A covenant in the agreement prevents Vivendi chairman - and aggressive corporate raider - Vincent Bolloré from buying an additional holding in Mediaset in the initial year and no more than 5% in total in the next two. Other than that, the two companies will cooperate in all sorts of ways, largely building out a pay-TV operation to rival Sky, principally owned by 21st Century Fox, and hold video on demand services (Netflix, Amazon Prime, et.al.) at bay. (See more about media in Italy here)
Those endless possibilities notwithstanding, media land is headed for ever more consolidation. Cairo Communications principal Urbano Cairo intends going after long suffering RCS MediaGroup. “This is not a hostile takeover bid,” he said, quoted by news agency ANSA (April 11), whereupon RCS MediaGroup shares jumped more than 20%. The Agnellis family, principal owner of Fiat Chrysler, indicated several months ago their stake in RCS MediaGroup would be sold off.
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