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Cross Media Ownership – A Summary

Cross Media Ownership – A Summary

Television

The two-licence limit on ITV companies will be maintained. Terrestrial broadcasters will be allowed controlling interests in satellite companies, provided they do not exceed 15 per cent of audience share.

Satellite and cable companies with more than 20 per cent ownership by newspaper groups above the circulation threshold, principally British Sky Broadcasting, will be restricted to a 20 per cent holding in a ITV company or the Channel 5 licence and 5 per cent in further licences.

Newspapers

Cross-media ownership of newspapers and broadcasters is to be based on thresholds of circulation and audience share. These thresholds will differ for each specific medium.

Newspapers And Television

  • Companies controlling up to 20% of national newspaper circulation will be allowed to control up to 15% of the total television market.
  • This is equivalent to control of 2 ITV franchises, or 1 ITV franchise and the Channel 5 franchise.
  • News Corporation, which claims 37% of national circulation, and the Mirror Group, with a 26% share, would not be able to own an ITV licence. They would be allowed only a 20% stake in 1 ITV licence, and a 5% stake in any others.

Newspapers And Radio

  • Newspapers with, again, less than 20% of the national market in circulation will be able to control 1 national radio station.
  • Local radio stations are only available to newspapers with less than 30% circulation in the locality.

Newspapers And Regional Ownership

  • National newspaper groups that own regional titles, will only be able to own a regional ITV licence if their local press accounts for less than 30% of circulation in the area.
  • Regional newspaper groups, likewise, must have less than 30% local share to own their regional ITV franchise.

Regulation

The ITC will regulate ownership and rule on any media mergers.
 It has been given 3 criteria to measure:  to ensure diversity,
to ensure competition, and to keep the industry economically viable.

Press Groups Below 15% Threshold And Their Current TV Interests


13% - United Newspapers                         (Daily & Sunday Express, Daily

12% - Daily Mail & General Trust            (Daily Mail, Mail on
                                                 Sunday)

                                                (20% West Country TV, 100% Channel 1)

7% - Telegraph Plc                              (Daily & Sunday Telegraph)

3% - Guardian Media Group                       (Guardian, Observer)

                                                (15% GMTV)

1% - Pearson                                    (Financial Times)

                                                (14% BSkyB)

Press Groups Above 15% Threshold And Their Current TV Interests


37% - News Corporation                          (Sun & News of the World, Today,

                                                Times and Sunday Times)

                                                (40% BSkyB)

26% - Mirror Group                              (Mirror & Sunday Mirror, Record &
                                                Sunday Record,

                                                Independent & Independent on Sunday, People)

                                                (20% Scottish TV, Wire TV, Live TV)

Source: The Guardian

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