Media Regulations Need Massive, Radical Reform, Not Minor Tweaking
Berg, Chris, Review - Institute of Public Affairs
The latest proposals for media reform do nothing but reinforce the corporatist approach that the government has taken towards the industry. Designed to entrench incumbents and 'future-proof them against competition, references to dramatic changes in media brought about by information technology are mere wrapping around minor regulatory tweaks. The discussion paper released in March, Meeting the Digital Challenge: Reforming Australia's media in the digital age, has been greeted by much press and industry as a bold reform agenda for the sector, but the reality is that the government's proposals do not even scratch the surface of the reforms which are desperately needed.
The Government's reforms do no justice to the massive, sweeping changes faced by media in Australia and around the world.
In this field, few commentators, regulators and policy-makers shy away from the term 'revolution'. If the word was not just as uniformly applicable to so many other industries whose business models are under siege from cheap, ubiquitous, and steadily more powerful computing and communications technologies, then it would no doubt be appropriate. Few, areas of economic activity-if any-are immune.
The histories of media content, delivery, and technology have been histories where radical change is the norm, not the exception. The twentieth century saw dramatic changes in the format, delivery and content of a huge range of media, from the amateur radio and recorded sound of its first decade to the MP3 of its last. Numerous technological innovations have altered the way we consume, produce and interact with media. The transition of magazine printing from the older rotary press to offset lithography in the 1960s and 1970s dramatically reduced the cost of printing, resulting in the proliferation of hundreds of specialty publications, in contrast with the previously rather limited selection. The history of popular music was shaped by a potent combination of the use of the FM band by independent broadcasters and the emerging competition from television in the 1950s. Vinyl recordings, tapes, CDs and MP3s-and the devices they are played on-have further altered our relationship with popular music, and the content of the music itself.
To a degree, the regulatory environment which has evolved has reflected the constantly mutating forms of its target. Ever since the ill-conceived 'sealed set' radio scheme-where, after a government-business conference in 1923, licensed stations would sell receivers locked so that they could only tune into the licensee's station-there has been little attempt to allow the market to determine the topography of the Australian media terrain. Originating with a progressive-era pact between government and business for an orderly and restricted radio network, similar frameworks have been adapted for each new technology as it entered the market.
As the 2000 Productivity Commission report into broadcasting services aptly stated, the Australian media 'reflects a history of political, technical, industrial, economic and social compromises. This legacy of quid pro quos has created a policy framework that is inward looking, anti-competitive and restrictive'.
In praise of stupidity
Traditional media are commonly viewed through the traditional vertical 'silo' model-separate, distinct networks which do not interact. Content delivered over radio is distinct from content delivered at the news-stand, and both are distinct from content delivered over television. And the networks themselves are designed to deliver and interpret the specific content they were designed for. Radio is unsuited to being delivered over the television network. The resolution of a basic television signal is illsuited for delivering text in bulk.
Australian regulation is built around this silo model. For instance, content requirements and quotas are platform-specific. Anti-siphoning regulations use business models as their determinant. …