Google and Telstra have taken exception to the government’s proposed prominence framework that would force it and other manufacturers to make free-to-air TV available on their devices.
The proposed prominence framework is a key election commitment of Communications Minister Michelle Rowland and would ensure local broadcasters and their BVOD apps such as 7Plus, 9Now, and ABCiview can easily be found on smart TVs.
The networks are lobbying for a must-carry and must-promote framework that would force manufacturers to put their live TV broadcasts and streaming sites appear first on Smart TVs.
Google, meanwhile, has said that the framework would stifle innovation and that the government should not be sticking its oar into what people watch on telly.
“Provided any obligations were expressly limited to free-to-air and public broadcaster … apps, and those broadcasters had commensurate obligations to maintain and manage those apps, then this could be workable,” Google said in its submission, which became public last week.
“A preferred approach would be through a single app which contains the relevant content of free-to-air broadcasters.
“It is unworkable to mandate that providers offer apps, without a commensurate obligation on broadcasters to make those apps available in an appropriate form.”
The Search giant also said that changes to smart TV remote controls — which often feature dedicated buttons to launch streaming services such as Netflix — would “pose a significant cost.” Instead, Google has been advocating for a lighter touch framework.
Its suggestion would be a reporting scheme that would require regulated parties to report on systems they have in place to make local TV services easily discoverable on devices.
Meanwhile, the Consumer Electronics Suppliers Association, which represents Sony, Samsung and Panasonic who all manufacture smart TVs, said the proposed framework would harm the quality of TV.
“It would generate significant costs … this would also likely result in a much smaller range of TVs available to Australian consumers,” it said.
“It is also perverse that local commercial stations charge TV manufacturers to advertise with them and yet see no reason to reciprocate with payment for app placement or advertising on device menu/home page.”
Telstra, meanwhile, said the framework would stifle innovation and lead to devices becoming more expensive.
“We are concerned that a legislated prominence framework is a blunt instrument that is not necessarily capable of solving the government’s concerns related to the availability and consumption of Australian content,” it said.
“Instead [it] will result in imposing a cost on the manufacturers of regulated TV devices. These costs will ultimately be borne by Australian consumers.”
The telco giant said it wanted free-to-air broadcasters to make content easily available through new measures, including consolidating content onto a single app.
Netflix added that it supported “must carry” obligations but that measures should respect customer needs.
“A ‘must carry’ obligation will adequately address the government’s policy objective to ensure the availability of diverse Australian programming,” it said.
“In the context of a thriving market … there is no demonstrable need for more prescriptive regulation to ensure Australian content is available to Australian audiences.”