Government Mediates Conflict Between Pay TV and PP: "Must Avoid Reproducing Disputes"

Jokyung-sik, 2nd Vice Minister of Science and ICT
Meeting with Pay TV and PP Operators on the 27th
"Will Also Propose Pay TV Regulation Improvement Measures"

[Asia Economy Reporter Cha Min-young] The government has stepped in to mediate the conflict between pay-TV providers and broadcasting channel operators (PP) over home shopping transmission fees and broadcasting content costs. The government has requested pay-TV providers to refrain from competing over home shopping transmission fees and channel numbers. If deemed necessary, the current media laws and regulations will also be revised to protect the public’s viewing rights and to promote broadcasting diversity.

On the 27th, Cho Kyung-sik, the 2nd Vice Minister of the Ministry of Science and ICT, held a meeting with the heads of four pay-TV related associations, representatives from comprehensive cable TV operators (SO), IPTV, home shopping, PP, and external experts to discuss current issues in the pay-TV industry.

This meeting was organized to enhance communication and mutual understanding between the government and the pay-TV industry amid growing conflicts among stakeholders regarding home shopping transmission fees and broadcasting content usage fees, due to recent market stagnation in pay-TV and intensified competition with global OTT platforms. The goal was to explore ways for cooperation and coexistence.

Vice Minister Cho Kyung-sik stated, “The support of the pay-TV industry is absolutely necessary to maintain and develop a healthy pay-TV ecosystem and to promote the digital media content industry. It is important to join forces. We plan to soon present regulatory improvement measures for the entire pay-TV system and expedite the preparation of media legislation reforms to align with the new broadcasting environment.”

He also added, “The pay-TV industry should actively play a role in the sustainable mid- to long-term growth of the entire media industry rather than reproducing conflicts to enforce short-term interests. We plan to actively exercise legal authority, such as ordering changes to terms and conditions, if necessary, to protect the public’s viewing rights and to realize broadcasting diversity.”

The government and the pay-TV industry agreed to continue discussions regarding the number of home shopping channels in the lower channel number ranges of pay-TV providers, an issue continuously raised by the National Assembly and civic groups from the perspective of protecting the public’s viewing rights. They agreed to refrain from competing over home shopping transmission fees and channel numbers and instead focus more on protecting viewers’ rights.

Furthermore, in connection with the government’s role in resolving conflicts between industries and proposing regulatory improvement measures, they agreed to actively cooperate in preparing improvement plans for standards related to home shopping transmission fees and broadcasting content usage fees, and to regularly discuss these matters within the ‘Pay-TV Operators-PP Win-Win Council.’

They shared the recognition that to strengthen the international competitiveness of the domestic broadcasting media industry and overcome current difficulties, growth in content and advertising revenue is necessary, and that mutual cooperation is important. They agreed to join forces for coexistence between content and platform operators.

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