[Q&A] "Terrestrial Broadcasters' Mid-Roll Ads Will Be Implemented Without Viewer Discomfort"

Terrestrial Broadcasters Granted Mid-Roll Ads
Broadcasting Market Revitalization Plan Announced by KCC on 13th

[Image source=Yonhap News]

[Asia Economy Reporter Koo Chae-eun] The Korea Communications Commission (KCC) has decided to allow 'mid-roll advertisements' on terrestrial broadcasters.

Accordingly, terrestrial broadcasters such as KBS, MBC, and SBS will now be able to legally air advertisements during programs. The programming regulations that mandated a fixed amount of news, dramas, and entertainment per day have also been relaxed, allowing broadcasters to set their own schedules.

Overall, broadcasting advertising regulations have been minimized by adopting a 'negative regulation format' (principle of allowing by default and prohibiting only in exceptional cases).

However, concerns remain that allowing mid-roll ads may lead terrestrial broadcasters to become more commercially blatant in pursuit of ratings, potentially undermining their public service responsibilities. Stakeholders such as general programming channels and paid broadcasters are expected to have sharply divided opinions. In particular, this plan includes many demands that terrestrial broadcasters have consistently raised, which is likely to intensify controversy over the KCC's perceived favoritism toward terrestrial broadcasters.

Below is a Q&A with the KCC:

- Is the full allowance of mid-roll ads only beneficial to terrestrial broadcasters?

▲ It is not intended for any specific media. The full allowance of mid-roll ads aims to resolve outdated asymmetric regulations and promote balanced development among media outlets. This policy includes the introduction of negative regulation principles, a total daily limit system, and an expansion of the scope of permissible broadcast advertising, representing a comprehensive improvement plan to revitalize the entire broadcasting market.

- Are there concerns that allowing mid-roll ads will increase viewer discomfort?

▲ To prevent viewer discomfort from mid-roll ads, new principles for allowance have been established. The obligation to display notification captions has been strengthened. Additionally, to avoid excessive program interruptions causing viewer inconvenience, split-scheduling advertisements are considered mid-roll ads, and integrated standards for timing and frequency of mid-roll ads have been set. Future improvements will include monitoring and imposing fines on violators as part of strengthened post-regulation measures.

- What is the direction for reforming advertising regulations in line with the integrated broadcasting law framework?

▲ In response to changes in media usage patterns, we plan to establish a regulatory system that comprehensively considers the characteristics and influence of each medium, public interest, and user protection, aligning with the overall reform of the broadcasting regulatory framework.

- What are the improvement plans for the bundled sales system?

▲ Due to the decline in terrestrial broadcast advertising, the scale of bundled sales has rapidly shrunk, weakening the effectiveness of the bundled sales system in supporting regional and small broadcasters. Considering these changes in the media environment, we plan to conduct a comprehensive review and develop improvement measures for the bundled sales system.

- Why is programming regulation reform being pursued, and what is the direction of improvement?

▲ There have been criticisms that rigid programming regulations, introduced during the era of terrestrial broadcast monopolies, have hindered active responses to changes in the broadcasting market and accelerated the crisis in the broadcasting industry. Therefore, to enhance autonomy and competition in the domestic broadcasting market and support securing key growth drivers, we aim to improve programming regulations by minimizing them to the necessary extent, considering the original purpose and effectiveness of the regulations, changes in the broadcasting environment, and fairness among operators.

This content was produced with the assistance of AI translation services.