Contemplated by the French President as a key issue of his first mandate, the media and broadcasting reform is aimed at modernizing the current legal framework, in particular the commitments to fund audio-visual production and the French cinema, but also regulating the video-on-demand platform environment.
In the context of increasing demand for audio-visual works, in particular the rise of on-demand audio-visual media services (AVMS), Government had already adopted several legislative and statutory instruments, in particular, the Ordinance No. 2020-1642 of 21 December 2020 and its implementation Decree No. 2021-793 on 22 June 2021, both relating to on-demand AVMS imposing financing obligations to contribute to development and production, in particular for foreign platforms. These provisions implemented the AVMS Directive. Yet, the Government still had the final instruments to adopt – a task which has now been achieved.
On the one hand, the new and awaited "Media Chronology" Agreement was signed, on 24 January 2022, governing the pace of release of films on the various distribution channels (cinema, DVD, pay-per-view, pay and free television, subscription video, etc.) between cinema professionals and broadcasters. The Media Chronology, pursuant to Articles L. 231-1 and following of the French Film and Moving Image Code, provides for the deadlines applicable to the different media for use of cinematographic works and is determined by an inter-professional agreement. The overhaul of the media chronology was a major request from the on-demand AVMS providers, which they considered justified in view of their new participation in the financing of French audio-visual production and cinema
Substantially, this new "Media Chronology" Agreement provides that the on-demand AVMS providers which executed the Agreement, will be able to broadcast films from 15 months onwards following their theatrical release, whilst, on-demand AVMS providers which did not execute the Agreement, will be granted a 17-month time period (compared to 36 months under the prior framework). Similarly, pay-TV channels will be able to broadcast films from 6 months following their theatrical release (compared to 8 months under the prior framework). Further, the broadcasting period for traditional media services remains the same, i.e. 22 months. Incidentally, cinematographic films, which are never theatrically released, and therefore, directly released through on-demand AVMS, are not subject to the Agreement.
In addition to the Agreement, an Order of 4 February 2022 extended the scope of the Agreement signed by the professional organizations of the cinema and the representatives of the broadcasters to all interested companies. The Agreement has the threefold objective of guaranteeing; the widest possible access to works for viewers, the investment of broadcasters in production, and the development of cinematographic creation. The Minister of Culture hailed this Agreement as "the last step in the ambitious transposition process" of the AVMS Directive.
On the other hand, following-up with the AVMS Decree obliging foreign actors to participate in the French financing, Government finally adopted, a few weeks earlier, on 30 December 2021, the new CabSat and Hertzian TV Decrees (respectively Decree No. 2021-1924 and Decree No. 2021-1926) setting the financial contribution of the so-called traditional broadcasters to cinematographic development.
These decrees are aimed at simplifying the regulatory framework, by referring more to the agreements concluded between the broadcasters and ARCOM and to the inter-professional agreements, and also at guaranteeing a certain degree of equity between linear and non-linear services and between national and extra-national operators.
Authored by Stanislas Roux-Vaillard and Mathilde Grammont
