MDA Clarifies Cross-Carriage Rules
May 18, 2010
The Media Development Authority issued a statement today clarifying its position on cross-carriage of exclusive content, arguing that there is "no question of content owners’ rights being disregarded."
The MDA's new regulations in the pay-TV sector have caused some confusion and attracted a fair bit of criticism. Most recently, the regional pay-TV trade body CASBAA came out against the cross-carriage mandate, arguing that they are putting the market's status as a key regional media hub under threat, and that ultimately consumers will be the ones losing out.
The MDA said today that the cross-carriage mandate "will allow one retailer to leverage on another retailer's platform to widen the distribution of the former’s channels. For example, if StarHub signs up an exclusive contract, the remedy is akin to requiring StarHub to lease network equipment and infrastructure from SingTel, to deliver StarHub's TV content to consumers who prefer to receive it through SingTel’s infrastructure, and vice versa. The content continues to be branded in its original form featuring StarHub’s branding and commercials. The subscriber relationship also remains between StarHub and the consumers, and the consumer pays StarHub, not SingTel. In fact, StarHub already leases network infrastructure from SingTel today for delivery of its cable-TV programs. The content affected by the cross carriage measure is not resold, but merely carried on another platform."
The MDA went on to say that "there is no question of content owners’ rights being disregarded. Content owners are at liberty to continue signing exclusive contracts with their preferred pay-TV retailer."
In response to the accusations that the new rules contravene Singapore's commitment to World Trade Organisation (WTO) and World Intellectual Property Organisation (WIPO) copyright agreements, the media regulator said that it "does not consider that there is any conflict.... MDA is fully committed to protecting the rights of intellectual rights owners."
The MDA is still in the midst of a consultation process on the new regulations, and said it will "refine the measure taking into consideration feedback from various stakeholders groups, including existing and potential pay TV retailers, international and local content providers, and consumers. Our aim remains to bring about a thriving pay TV market that best serves the consumers."
