US lobby group ‘not able to back’ move

By Chua Hian Hou
Straits Times
© Singapore Press Holdings Limited

AN INFLUENTIAL movie industry lobby group has taken issue with the Government’s controversial cross-carriage ruling that would require pay-TV operators to share their exclusive programming with their rivals.

In its first public comments on the issue, the Motion Picture Association (MPA), which represents Hollywood’s biggest studios including Walt Disney, Sony Pictures and 20th Century Fox, said it was ‘unable to support’ the move.

MPA vice-president Frank Rittman said: ‘We’ve expressed a number of concerns, including possible incompatibility with Singapore’s international obligations regarding intellectual property rights, and have respectfully submitted that the Singapore Government reconsider its decision.’

He was responding to a query by The Straits Times on the contents of its final submissions to the Media Development Authority of Singapore (MDA) on the issue.

The MPA is the second organisation, after pay-TV group Cable and Satellite Broadcasting Association of Asia (Casbaa), to say that the MDA’s move could be in violation of Singapore’s international copyright treaties.

The MDA has denied this.

Companies have until Oct 5 to submit feedback to the MDA, which will then decide whether to forge ahead with the biggest shake-up to the way pay-TV programmes have been bought and sold here for the last 11/2 decades.

Currently, if a StarHub pay- TV customer wants to follow English Premier League football, which is exclusive to SingTel’s network, he will need to sign up for a SingTel account and install a SingTel set-top box.

Under the MDA’s new ruling, which applies to content deals signed after March and will take effect next year, the StarHub customer will no longer need a SingTel account or set-top box, even if SingTel were to renew its exclusive content deal when it expires in 2013.

Parties such as the Consumers Association of Singapore and SingTel have cheered the MDA move, which the authority said would avert unnecessary cost and inconvenience for consumers.

But the MDA has come under fire from some quarters.

In a report, research firm Media Partners Asia said the move could result in higher pay-TV prices for subscribers, since providers would no longer be able to sell discounted programme ‘bundles’ to consumers, but will have to offer them a la carte instead.

Earlier this month, when announcing its ‘preliminary’ decision – that the ruling stands, despite the criticisms – the MDA said it would consider submissions from companies before issuing a final decision in December. Companies were originally given up to Tuesday evening this week to send in their feedback.

The MDA, announcing on Monday that it would extend the deadline by a week, said this was to accommodate requests by some industry players for more time.

It did not name those organisations which asked for an extension, but the spokesmen for Casbaa, StarHub and SingTel have indicated that they will submit feedback to the MDA by its new deadline.

Despite the extension, few expect the Government to change its mind.

MDA deputy chief executive Michael Yap, when announcing its ‘preliminary’ decision, hinted as much.

Asked if there was a chance the Government would change its mind, he said that ‘as far as we are concerned, this is the right, the best measure for the market’.

Even so, some are not giving up on pushing for a U-turn on the ruling.

Casbaa’s spokesman Adela Chen said: ‘We have not accepted MDA’s decision.’