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SAPPRFT to Regulate Internet TV Platform License Holders

Lmtw.com, 7/15/14

China's State Administration of Press and Publication, Radio, Film and Television (SAPPRFT) recently met with China Central Television (CCTV), along with executives from China's major regional TV stations, to discuss the reorganization of the operation and management of China's Internet TV industry.

According to an industry insider, SAPPRFT will first focus on reorganization of China's seven licensed Internet TV broadcast and control platform operators, which are all operating in violation of Internet TV regulations to varying degrees. License holders that do not rectify their operations in accordance with SAPPRFT's demands will have their licenses revoked. If all seven license holders continue to be found in violation of the rules, SAPPRFT will shut down the Internet TV industry indefinitely. All required changes must be completed within one week following the July 21 start of the review process.

SAPPRFT's current criticisms of the Internet TV industry are as follows:

1. Proscribed partnerships with online video websites: Online video websites can only act as content providers, and are not permitted to set up dedicated content zones or channels on Internet TV platforms. Additionally, licensed platform operators must remove any foreign content provided by online video websites that has not been specifically approved by SAPPRFT;

2. Unapproved electronic program guides (EPGs): Broadcast and control platform EPG pages do not correspond to the EPGs approved by SAPPRFT. According to Internet TV regulations, any EPG updates must be approved by GAPPRFT;

3. Unapproved terminal products: All Internet TV terminal products must be approved by SAPPRFT. Currently, a large portion of Internet TV terminals have not been approved;

4. Prohibited partnerships with telecom operators: Broadcast and control platform operators are prohibited from cooperating with telecom operators to offer real-time broadcast television. Operators must remove any real-time broadcasting services from their platforms immediately;

5. Illegal online terminal sales channels: SAPPRFT does not currently permit Internet TV terminals to be sold online, but all Internet TV terminals are currently available through online channels.

6. Partnerships with Internet firms under investigation: SAPPRFT has demanded that platform operators cease any partnerships with Internet firms that are currently under investigation by Chinese regulators.

Editor's Note: For more background on this topic, please see "Rumor: SAPPRFT to Restrict Branded Video Channels on Internet TV" MD 7/14/14 issue.

Keywords: license television CCTV Internet TV SAPPRFT regulation online video set-top box

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The information contained in this newsletter is based upon sources that Marbridge Consulting believes to be reliable, and we have made every effort to translate the original articles or article excerpts as faithfully as possible. However, Marbridge Consulting makes no warranty of and assumes no legal responsibility for the accuracy of either the original source material or the English language translations.

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