Independent Study on Indicators for Media Pluralism in the Member States – Towards a Risk-Based Approach Prepared for the European Commission Directorate-General Information Society and Media SMART 007A 2007-0002 by K.U.Leuven – ICRI (lead contractor) Jönköping International Business School – MMTC Central European University – CMCS Ernst & Young Consultancy Belgium Preliminary Final Report – Annex I USER GUIDE Contract No.: 30-CE-0154276/00-76 Leuven, April 2009 Independent Study on “Indicators for Media Pluralism in the Member States – Towards a Risk-Based Approach” TABLE OF CONTENTS 1. PREFACE ....................................................................................................................... 7 1.1. Background Information .................................................................................................. 7 1.2. Monitoring and Promoting Media Pluralism .................................................................... 8 1.3. Contemporary Technical and Economic Trends and their Implications ......................... 9 1.3.1. Technological Impact of New Media and ICT .................................................... 11 1.3.2. Impact on Economics of Content ....................................................................... 12 a. Changes in Production and Distribution Economics .......................................... 12 b. Changes in Monopolistic and Oligopolistic Control of Content .......................... 13 c. Reliance on Two-Sided Markets ........................................................................ 15 1.3.3. Impact on Acquisition of Content ....................................................................... 15 1.4. Policy Principles Supporting Increased Pluralism ........................................................ 16 1.5. Skills-Sets for Authorities in Seeking Increased Pluralism ........................................... 19 2. BASIC INFORMATION ON THE USER GUIDE ........................................................... 20 2.1. Aim of the Media Pluralism Monitor .............................................................................. 20 2.2. Structure of the Media Pluralism Monitor ..................................................................... 23 2.2.1. Six Risk Domains ............................................................................................... 23 2.2.2. Three Types of Indicators: Economic, Socio-demographic and Legal .............. 28 2.2.3. Three Areas: Supply, Distribution, Use .............................................................. 29 2.3. Ex Ante Profiling ........................................................................................................... 30 3. GLOSSARY .................................................................................................................. 33 4. HOW TO USE THE MEDIA PLURALISM MONITOR .................................................. 47 4.1. Content of the Media Pluralism Monitor ....................................................................... 47 4.2. Operating Instructions ................................................................................................... 48 4.2.1. Getting Started ................................................................................................... 48 4.2.2. Determine your Profile ....................................................................................... 50 4.2.3. Scoring the Risk Domain ‘Basic domain’ ........................................................... 52 a. How to open the scoring sheet .......................................................................... 52 b. How to measure the indicators for the basic domain ......................................... 53 3 Independent Study on “Indicators for Media Pluralism in the Member States – Towards a Risk-Based Approach” c. How to fill in the obtained scores ....................................................................... 82 4.2.4. Scoring the Risk Domain of Pluralism of media ownership and/or control ........ 85 a. How to open the scoring sheet .......................................................................... 85 b. How to measure the indicators for pluralism of ownership and/or control ......... 86 c. How to fill in the obtained scores ..................................................................... 113 4.2.5. Scoring the Risk Domain of Pluralism of media types and genres .................. 114 a. How to open the scoring sheet ........................................................................ 114 b. How to measure the indicators for pluralism of media types and genres ........ 115 c. How to fill in the obtained scores ..................................................................... 144 4.2.6. Scoring the Risk Domain of Political pluralism in the media ............................ 145 a. How to open the scoring sheet ........................................................................ 145 b. How to measure the indicators for political pluralism in the media .................. 146 c. How to fill in the obtained scores ..................................................................... 214 4.2.7. Scoring the Risk Domain of Cultural pluralism in the media ............................ 215 a. How to open the scoring sheet ........................................................................ 215 b. How to measure the indicators for cultural pluralism in the media .................. 216 c. How to fill in the obtained scores ..................................................................... 307 4.2.8. Scoring the Risk Domain of Geographical pluralism in the media .................. 308 a. How to open the scoring sheet ........................................................................ 308 b. How to measure the indicators for geographical pluralism in the media ......... 309 c. How to fill in the obtained scores ..................................................................... 348 5. HOW TO INTERPRET THE RESULTS ...................................................................... 349 5.1. Interpretation of the Report Sheets ............................................................................ 349 5.1.1. Individual Reports ............................................................................................ 349 a. Rose 1: Overview of Indicators Per Risk ......................................................... 350 b. Rose 2: Overview of All Indicators in a Risk Domain ...................................... 351 c. Rose 3: Average Risk Scores .......................................................................... 352 5.1.2. General Report ................................................................................................ 353 5.2. Interpretation of Results: Guidelines .......................................................................... 354 4 Independent Study on “Indicators for Media Pluralism in the Member States – Towards a Risk-Based Approach” 5.2.1. Interaction between Indicators and between Risks ......................................... 354 a. Example: Cultural Pluralism ............................................................................. 354 b. Example: Geographical Pluralism .................................................................... 355 5.2.2. Interaction between Indicator Types ................................................................ 355 5.2.3. Country ‘Profiles’ .............................................................................................. 355 a. Profile 1: Small versus Large Media Markets .................................................. 355 b. Profile 2: Developing versus Mature Media Markets and Regulatory Frameworks 356 c. Profile 3: Countries with Small versus Large Size of Population Belonging to an Ethnic or National Minority .......................................................................................... 356 d. Profile 4: Countries with/without Constitutional Separation between Political and Media Power, or with/without Tradition of Political Parallelism and Media with Distinct Political Orientation ..................................................................................................... 357 e. Profile 5: Countries with High versus Low Population Density in Urban Areas 357 f. Profile 6: Low versus High Purchasing Power ..................................................... 357 g. Profile 7: Terrestrial TV Reception versus Cable or Multi-Platform Countries 358 6. ABBREVIATIONS ....................................................................................................... 359 5 Independent Study on “Indicators for Media Pluralism in the Member States – Towards a Risk-Based Approach” 6 Independent Study on “Indicators for Media Pluralism in the Member States – Towards a Risk-Based Approach” 1. PREFACE 1.1. Background Information The protection of media pluralism has been a recurrent concern of the European Parliament, inviting the Commission on several occasions since the 1990s to propose concrete measures to safeguard media pluralism.1 However, the various consultations held by the Commission in the last fifteen years have led to the conclusion that it would be inappropriate to submit a Community initiative on pluralism. The failed attempt to launch a harmonisation directive on pluralism and media ownership in the mid 1990s2 demonstrated the political sensitivities surrounding the subject and the need for a balanced and realistic approach which would take into account