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US firms like Netflix, Amazon and Apple face quotas for European movies and
television shows under EU proposals unveiled Wednesday that also aim to lift
cross-border barriers for Internet shoppers.
The proposals are the latest step towards what Brussels calls a digital
single market, in which the European Union's 500 million people will no longer
be blocked from buying goods and services more cheaply abroad online.
"We have a European film culture and we think European content should be in
those programs," Guenther Oettinger, the German EU commissioner for digital
economy, told a press conference in Brussels.
The European
Commission Wholesale
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for US Web streaming giants like Netflix and Amazon Prime to devote 20 percent
of their content in Europe to European movies and television shows.
The proposal also targets Apple's iTunes, which offers movies for download,
although EU officials said both Netflix and iTunes already devote 21 percent of
their catalogues to European content.
The Commission believes that "there should be a guaranteed share of those
programs," and that "20 percent is a reasonable figure," Oettinger said.
"We are giving businesses some room for maneuver to show non-European
products Wholesale
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translator.
Quotas already set by some member states vary between 10 percent and 60
percent.
Fighting the dominance of Hollywood is a major priority for EU heavyweight
France in particular, which has for years subsidized its own national film
industry through a special tax on privately-owned broadcasters that rely heavily
on US-made content.
The Commission also proposed that member states should be able to ask
on-demand services available in their country to "contribute financially to
European works," stopping short of calling for a tax.
"We appreciate the Commission's objective to have European production
flourish, however the proposed measures won't actually achieve that," Netflix
said in a statement.
Netflix said it has so far committed hundreds of millions of euros to
European
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Marseille, starring Gerard Depardieu, that premiered this month.
It added many more Europe-produced series were in the pipeline.
The proposals call for member states to allow for independent regulators who
will ensure that video-sharing platforms, such as YouTube, protect young people
from harmful content, like violence and pornography.
And they call for protecting all citizens from incitement to hatred.
'Geoblocking' overhaul
Meanwhile the Commission also proposed that online firms lift barriers
starting next year to Internet shoppers who seek cheaper prices for goods and
services on sites in different European countries.
The practice known as "geoblocking" often limits customers to websites in
their home countries for services such as car hire or
travel Wholesale
Stephen Piscotty Jersey , blocking them from seeking better prices on
foreign sites.
Under the proposals, for example, automatically rerouting customers to a
local version of the online service will be forbidden.
"Discrimination between EU consumers based on the objective to segment
markets along national borders has no place in the single market," EU Industry
Commissioner Elzbieta Bienkowska said.
But trade group DigitalEurope said geoblocking is a symptom rather than the
cause of a fragmented EU market resulting from differing national living
standards, consumer habits, language
requirements Wholesale
Trevor Rosenthal Jersey , consumer laws, copyright and value added tax
rates.
"This is like putting a sticking plaster on a broken leg," DigitalEurope
Director General John Higgins said in a statement.
In a related proposal, the Commission called for making cross-border parcel
delivery more affordable by introducing greater price transparency to foster
competition.
"For 50 percent of our European companies, the main obstacle to flourishing
in e-commerce is high parcel prices," Andrus
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Dexter Fowler Jersey , the European Commission's vice president on media
issues, told reporters.
The proposed geoblocking ruling currently excludes audiovisual online
providers but leaves it open to a review that worries firms that sell music or
electronic books.
The European Consumer Organization welcomed the "great news" on the proposed
geoblocking overhaul but regretted that ebooks, music, television series, films
and sports were still off-limits.
"It is time the EU puts the final nail in the coffin of geoblocking,"
organization head Monique Goyens said in a statement.
The plans must now be approved by member states and the European parliament.
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