The landscape of streaming services is set to change in the UK as new regulations are introduced to ensure standards of impartiality and accuracy. However, amidst concerns raised by Netflix and Disney+, the chair of Ofcom, Michael Grade, has reassured them that the new laws will not require the removal of content from their platforms. This article explores the potential impact of these regulations on streaming giants and the future of streaming in the UK.
Although Netflix has generally welcomed the idea of streaming regulation, it has raised concerns about the potential implications. In particular, the streaming giant has questioned the “nebulous” and potentially “onerous” rules on “due impartiality” outlined in the draft legislation. In May, Netflix highlighted the need for continuous review of its vast catalog, stating that they would need to regularly remove titles to ensure compliance with impartiality standards. Benjamin King, Netflix’s head of policy in the UK, also expressed apprehension about the impact of these regulations on Netflix’s ability to provide documentaries to British audiences.
Ofcom chair, Michael Grade, sought to allay the fears of Netflix and other streaming services at a recent conference. Grade argued that the streaming platforms were attempting to exaggerate the implications of the new laws in an attempt to intimidate regulators. He emphasized that there is no need for Netflix and Disney+ to be concerned and suggested that the fear arises from the unfamiliarity with regulation. Grade’s remarks imply that the new regulations will be more reasonable and less restrictive than what Netflix and others anticipate.
Grade’s comments also shed light on the lobbying efforts that take place when new regulations are introduced. It is common for companies to oppose regulation and inflate the potential negative consequences in order to dissuade regulators from implementing stringent rules. Netflix’s lobbying against certain aspects of the legislation, such as “due impartiality,” is a strategic move to protect its interests. While it is understandable for companies to prefer to remain unregulated, Grade implied that the new regulations will not be as detrimental as some fear.
Netflix is not alone in raising concerns about streaming regulation. Disney+ also expressed similar views in a letter to the UK Parliament’s Culture, Media, and Sport Committee in May. The media giant argued that existing audience protection measures, such as age ratings, on Disney+ make blanket streaming regulation unnecessary. Disney+ suggested that applying uniform rules to all video-on-demand services may not be proportionate, signaling a potential disagreement with aspects of the proposed legislation.
While the introduction of streaming regulations might initially cause apprehension among streaming services, it is important to assess the long-term impact on the industry. The aim of these regulations is to ensure impartiality and accuracy, which could enhance the viewing experience for audiences in the UK. By holding streaming platforms accountable, viewers can expect a higher standard of content and information. Additionally, the regulations may create a more level playing field for established and emerging streaming services, promoting healthy competition and diversity of content.
The introduction of streaming regulations in the UK has sparked concerns among Netflix, Disney+, and other streaming services. However, the reassurances from Ofcom’s chair, Michael Grade, suggest a more tempered approach to the regulations. While the exact implications are yet to be seen, it is clear that the aim is to improve the overall quality and reliability of streaming content for audiences in the UK. As the streaming landscape continues to evolve, these regulations may shape the future direction of the industry, fostering innovation and ensuring viewer satisfaction.