TORONTO – The CRTC’s satellite radio decision is the thin edge of the wedge that could bring down the Canadian cultural industry, says a coalition of arts groups.
That coalition (ACTRA, the Canadian Independent Record Production Association, the Communications, Energy & Paperworkers Union of Canada, the Directors Guild of Canada, Friends of Canadian Broadcasting, the National Campus & Community Radio Association, SOCAN, the Songwriters Association of Canada, and the Writers’ Guild of Canada.) is demanding the federal government tell the Commission to overturn its June 16th decision on subscription radio.
Three new subscription radio licenses were handed out that day. One to Canadian Satellite Radio, a partnership with entrepreneur John Bitove and American service XM Satellite Radio; another to SIRIUS Canada, a partnership with Standard Broadcasting and the CBC, and U.S. company SIRIUS; and the third to a digital terrestrial application from CHUM Ltd. with Astral Media as a partner.
While the license decision will force more Canadian channels onto the satellite services (eight) than the applicants had hoped (four), the overall level of Canadian content falls well below what’s expected from conventional broadcasters and other content providers and packagers – but it’s not an apples/apples comparison.
However, the coalition of arts groups – which are usually concerned with enforcing and creating regulation aimed at boosting Canadian content – served notice Monday that they will appeal the decision to cabinet.
With so little Canadian content required on the two prospective Canadian satellite services relative to what other broadcasters have to bear, the decision must be overturned, as much for its impact on the Canadian music industry as for the impact it might cause on the television side, say the groups.
“We’re asking the federal cabinet to either have the CRTC reverse its decision, which would be the ideal thing, or alternately have the CRTC review their decision,” ACTRA executive director Stephen Waddell told www.cartt.ca on Monday, “but what we’re looking for is the CRTC to, bottom line, reverse that decision in terms of granting those licenses.”
“The level of Canadian content which has been applied to those services by the CRTC is so minimal that it’s going to not only have a negative impact with respect to the satellite services and the flood of foreign signals into Canada, but also the potential for other broadcasters to say ‘me too. We want our content requirements reduced in a similar fashion,’” cautions the actors’ union chief.
Currently, the playlists of conventional radio stations must be at least 35% Canadian. The satellite radio companies will offer less than 10%, not counting Canadian artists played throughout the playlists of many of the existing music channels today.
The issues raised by ACTRA and the others are nothing new, Canadian Satellite Radio principal John Bitove told www.cartt.ca late Monday. “They are making the same complaints we saw when we filed,” he said. “The fact of the matter is that these are antiquated organizations that don’t work in the face of the technology of today’s world… they would have stopped the horse and buggy if they were around hundreds of years ago.”
Bitove believes the appeal will be dismissed and is working on a deal with his U.S. partner to get those eight Canadian channels uplinked. He’s confident that it can get done and is working on a launch for later this year.
Despite concerns on the audio side, Waddell said he’s rather worried that TV broadcasters and specialty services might also come looking for a break on their required levels of Cancon thanks to the satellite radio decision.
And, will the decision leave the door open for Canadian cable and satellite companies to say that if the new satellite radio operators need only carry eight Canadian channels along with 150-plus foreign music channels, why should they continue to face stringent linkage requirements calling for the predominance of Canadian TV channels in their channel lineups?
Is there a fear of that, Waddell was asked. “Oh absolutely,” he replied. “It’s going to sweep right across into television broadcasting as well where we already have a substantial problem thanks to the CRTC’s decision back in 1999 which reduced or eliminated the drama content expenditure requirements which is something we’ve been on about for the past three years.”
Despite all this, the fact remains that satellite radio is a product Canadians will want – and it’s too expensive a proposition for a Canuck satellite company to launch its own birds. Does Waddell and his coalition really think the decision will be looked at, given the chaos that seems to reign on Parliament Hill these days and the fact that it’s already been spun as a consumer choice issue?
“I appreciate it’s going to be an uphill battle in terms of getting coverage on this but we’re hopeful we can get some media coverage and we can get support among the public generally,” he said.
Without strict measures making sure Canadian content is represented on the airwaves, then Cancon will wither and fade, says Waddell.
“We have to maintain those regulations in order to have some minimal Canadian presence in this digital environment,” he added. “Without regulations, without minimum requirements, we will be completely inundated… we’re fighting just to have a toehold in the industry and have a Canadian voice. Unless there’s regulation, the Canadian voice will be lost completely and lost forever.
“We’re going to continue to make some noise in order to get the federal government to get the CRTC to recognize the decision is disastrous for the Canadian industry and the Canadian public.”
– Greg O’Brien
