A tale of two media reports: one poses challenges for digital media; the other gives ABC and SBS a clean bill of health



File 20181213 178579 1im07g8.jpg?ixlib=rb 1.1
The competitive neutrality report has given the ABC, and SBS, a clean bill of health.
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Denis Muller, University of Melbourne

Two reports out this week – one into the operations of Facebook and Google, the other into the competitive neutrality of the ABC and SBS – present the federal government with significant policy and political challenges.

The first is by far the more important of the two.

It is the interim report by the Australian Competition and Consumer Commission of its Digital Platforms Inquiry, and in a set of 11 preliminary recommendations it proposes far-reaching changes to media regulation.

Of particular interest are its preliminary recommendations for sustaining journalism and news content.

These are based on the premise that there is a symbiotic relationship between news organisations and the big digital platforms. Put simply, the news organisations depend heavily on these platforms to get their news out to their audiences.

The problem, the ACCC says, is that the way news stories are ranked and displayed on the platforms is opaque. All we know – or think we know – is that these decisions are made by algorithms.




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The ACCC says this lack of transparency causes concerns that the algorithms and other policies of the platform giants may be operating in a way that affects the production of news and journalistic content.

To respond to this concern, the preliminary recommendation is for a new regulatory authority to be established. It would have the power to peer into these algorithms and monitor, investigate and report on how content – including news content – is ranked and displayed.

The purpose would be to identify the effects of the algorithms and other policies on the production of news and journalistic content.

It would also allow the authority to assess the impact on the incentives for news and journalistic content creation, particularly where news organisations have invested a lot of time and money in producing original content.

In this way, the ACCC is clearly trying to protect and promote the production of public-interest journalism, which is expensive but vital to democratic life. It is how the powerful are held to account, how wrongdoing is uncovered, and how the public finds out what is going on inside forums such as the courts and local councils.

So far, the big news media organisations have concentrated on these aspects of the ACCC interim report and have expressed support for them.

However, there are two other aspects of the report on which their response has been muted.

The first of these is the preliminary recommendation that proposes a media regulatory framework that would cover all media content, including news content, on all systems of distribution – print, broadcast and online.

The ACCC recommends that the government commission a separate independent review to design such a framework. The framework would establish underlying principles of accountability, set boundaries around what should be regulated and how, set rules for classifying different types of content, and devise appropriate enforcement mechanisms.

Much of this work has already been attempted by earlier federal government inquiries – the Finkelstein inquiry and the Convergence Review – both of which produced reports for the Gillard Labor government in 2012.

Their proposals for an overarching regulatory regime for all types of media generated a hysterical backlash from the commercial media companies, who accused the authors of acting like Stalin, Mao, or the Kim clan in North Korea.

So if the government adopts this recommendation from the ACCC, the people doing the design work can expect some heavy flak from big commercial media.

The other aspect of the ACCC report that is likely to provoke a backlash from the media is a preliminary recommendation concerning personal privacy.

Here the ACCC proposes that the government adopt a 2014 recommendation of the Australian Law Reform Commission that people be given the right to sue for serious invasions of privacy.

The media have been on notice over privacy invasion for many years. As far back as 2001, the High Court developed a test of privacy in a case involving the ABC and an abattoir company called Lenah Game Meats.

Now, given the impact on privacy of Facebook and Google, the ACCC has come to the view that the time has arrived to revisit this issue.

The ACCC’s interim report is one of the most consequential documents affecting media policy in Australia for many decades.

The same cannot be said of the other media-related report published this week: that of the inquiry into the competitive neutrality of the public-sector broadcasters, the ABC and SBS.

This inquiry was established in May this year to make good on a promise made by Malcolm Turnbull to Pauline Hanson in 2017.




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The politics behind the competitive neutrality inquiry into ABC and SBS


He needed One Nation’s support for the government’s changes to media ownership laws, without which they would not have passed the Senate.

Hanson was not promised any particular focus for the inquiry, so the government dressed it up in the dull raiment of competitive neutrality.

While it had the potential to do real mischief – in particular to the ABC – the report actually gives both public broadcasters a clean bill of health.

There are a couple of minor caveats concerning transparency about how they approach the issue of fair competition, but overall the inquiry finds that the ABC and SBS are operating properly within their charters. Therefore, by definition, they are acting in the public interest.

This has caused pursed lips at News Corp which, along with the rest of the commercial media, took this opportunity to have a free kick at the national broadcasters. But in the present political climate, the issue is likely to vanish without trace.

While the government still has an efficiency review of the ABC to release, it also confronts a political timetable and a set of the opinion polls calculated to discourage it from opening up another row over the ABC.The Conversation

Denis Muller, Senior Research Fellow in the Centre for Advancing Journalism, University of Melbourne

This article is republished from The Conversation under a Creative Commons license. Read the original article.

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ABC and SBS are not distorting media market, government inquiry finds


Michelle Grattan, University of Canberra

The government’s inquiry into whether the ABC and SBS are competing
fairly with the private sector’s media operators has given a tick to
the public broadcasters.

The report concluded: “Given their market shares, and other factors, this inquiry considers the National Broadcasters are not causing significant competitive distortions beyond the public interest”. But it did see the need for greater transparency from them.

The review arose from a 2017 deal between the government and Pauline
Hanson to get One Nation support for media law changes which
liberalised ownership rules. It has been chaired by Robert Kerr,
formerly from the Productivity Commission. The report was released by
Communications Minister Mitch Fifield on Wednesday.

The outcome will be disappointing to News Corp in particular which has
been highly critical of the ABC’s expansion in online publishing. The
former Fairfax organisation, now taken over by Nine, also complained
about the competition eating into the market of commercial media
groups.

The report said: “Competitive neutrality seeks to ensure that
competition is not distorted by public entities taking inappropriate
advantage of government ownership.

“It is not intended to prevent public entities from competing, nor to
relieve discomfort from competitive processes which are bringing
benefits to consumers as they rapidly adopt and enjoy new services”.

The inquiry found the broadcasters’ business activities in order; they
were “abiding by a best endeavours approach to competitive
neutrality.” It suggested there should be some improvements in
transparency and internal procedures.

Beyond that, “the question arises as to how competitive neutrality
principles about competing fairly without distortion might apply to
the free services delivered by the ABC and SBS.

“Free ABC and SBS services are having some competitive impact.
Submissions included complaints about the ABC’s online news service
and SBS’ multi-channel and streaming services. But the National
Broadcasters are established and funded to provide free services. So
long as they operate within their statutory Charters they are
operating in the public interest”.

The report said submissions questioned whether the broadcasters were
operating within their charters. But, it said, these charters were
very broad, and reporting against them “is not detailed or robust
enough to settle doubts”.

“Accountability is difficult, especially as there is no opportunity
for Charter complaints to be addressed”.

The broadcasters should improve their reporting of charter performance
in the context of competitive neutrality. “If this enhanced reporting
does not occur, the government should consider a way of managing
complaints about Charter performance in this area,” the report said.

“While the National Broadcasters are not prohibited from competing,
some improvements in the way they interact with markets should be
contemplated”.

The report also said the government should consider options for a
longer term funding framework for the national broadcasters,
accompanied by increased transparency and accountability.

Fifield said he recognised the broadcasters’ charters were broad and
allowed flexibility in how their boards implemented them.
“It is now up to the national broadcasters to act on these
recommendations,” he said.

Labor’s communications spokeswoman Michelle Rowland said the
government’s “fishing expedition” had spent half a million dollars to
establish what the public broadcasters had said all along – that they
“are operating in a manner consistent with the general principles of
competitive neutrality.

“Australians trust and value the ABC and SBS and should not have to
foot the bill for Mitch Fifield and Pauline Hanson’s vendetta against
public broadcasting,” she said.

Also in return for Hanson’s support the government agreed to bring in
legislation to require the ABC to be “fair” and “balanced” in its
coverage.

Under the legislation, the board would be required “to ensure that the
gathering and presentation by the Corporation of news and information
is fair, balanced, accurate and impartial according to the recognised
standards of objective journalism.”

But the legislation is bogged down, with no chance of being passed
before the election.

The government has yet to appoint a new ABC chair, after the implosion
within the organisation involving the board sacking managing
director Michelle Guthrie and the resignation of Justin Milne as chair
amid a row over editorial interference.The Conversation

Michelle Grattan, Professorial Fellow, University of Canberra

This article is republished from The Conversation under a Creative Commons license. Read the original article.

The politics behind the competitive neutrality inquiry into ABC and SBS


Denis Muller, University of Melbourne

Last September, One Nation leader Pauline Hanson made a deal with Malcolm Turnbull’s government: You give me an inquiry into the ABC and I’ll support the changes you want to make to media ownership laws.

The government agreed to do this in the form of an inquiry into the ABC’s competitive neutrality – and broadened it to include SBS.

It was clear at the time this had the potential to do real damage to the national broadcaster.

Competitive neutrality principles say an organisation should not enjoy an undue competitive advantage by virtue of it being government-funded. It is suitably arcane camouflage for an inquiry whose real purpose is to put pressure on the ABC over its news service, which Hanson had alleged was biased against her.

It was Hanson’s way of getting revenge on the ABC for its pursuit of her over the issue of funding for her senate re-election campaign in 2016.

And now we know the shape of this competitive neutrality inquiry. We know who is conducting it, and last week we got to see the issues paper that the inquiry put out, which tells us what it is going to cover.

Scope of the inquiry

The chair is Robert Kerr, who has a Productivity Commission background and impeccable credentials as a free-market economist. Joining him in the inquiry are Julie Flynn, a one-time ABC reporter who used to be CEO of the commercial TV lobby group Free TV Australia, and Sandra Levy, the former head of television at ABC.

This all seems perfectly reasonable, until you remember this is mainly about online media. In that case, why have two people with television backgrounds on the panel?

Online is where the real action is now. Data from the Australian Communications and Media Authority included in the issues paper show just how dramatic the shift has been from traditional television viewing to digital online platforms for media consumption. In 2017, Australians aged 18-34 spent an average of 9.2 hours per week watching video content online compared to just 3.8 hours watching free-to-air television.




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Mark Scott foresaw this when he was managing director of the ABC and drove the broadcaster hard into the digital sphere. He realised that if the ABC was not a relevant provider of digital content online, it would soon cease to be relevant.

That’s why the other big media players, especially Rupert Murdoch’s News Corp, have lobbied relentlessly to have the ABC’s wings clipped in this arena. Hanson, wittingly or not, played right into News Corp’s strategy.

As for the issues paper, the giveaway is on page 11.

There, it refers to the requirement in the ABC Act that the ABC “take account of the broadcasting services provided by the commercial and community broadcasting sectors of the Australian Broadcasting system.” In other words, the ABC is discouraged from just replicating what the commercial broadcasters do.

In that context, the paper then addresses this question to the ABC: How does it apply this requirement specifically to its on-air, iView and online news services? Nothing else. Not its drama or documentaries or narrative comedy or children’s programs. Just its news services.

The reason? That’s the part of the ABC that Hanson detests. So there’s the pay-off.

There are some broader competition questions, as well, but the only part of its vast portfolio the ABC is specifically asked about is its news output. Yet, if there is one category of program content that most obviously and unmistakably distinguishes the ABC from commercial broadcasters, it’s news.

Time for responses

Then the issues paper asks “other stakeholders” – basically the ABC and SBS’s commercial broadcasting rivals – a range of questions about ways in which they think they may have been harmed by any undue competitive advantage enjoyed by the public broadcasters.

There is no indication the answers to these questions are going to be subjected to any cross-examination by the ABC or SBS. Not that there would be time for that anyway, with just three months between the deadline for submissions in response to the issues paper on June 22 and the completion of the report in September.

So, the inquiry is a quickie. And by its own admission, it’s trampling over ground already covered 18 years ago by the Productivity Commission.




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It also acknowledges in the issues paper that it has to dance its way between a number of other current inquiries, including the Australian and Children’s Content Review, the Australian Competition and Consumer Commission’s digital platforms inquiry and the broader Treasury review of the country’s overall competitive neutrality policy.

The ConversationNonetheless, the inquiry is likely to provide the Turnbull Government with ammunition should it wish to mount an attack on the ABC’s scope of operations (especially online) and give Hanson what she really wants: a rolled-up piece of paper with which to smack the ABC around the head.

Denis Muller, Senior Research Fellow in the Centre for Advancing Journalism, University of Melbourne

This article was originally published on The Conversation. Read the original article.

A CURRENT AFFAIR: Where is the Real Current Affairs Reporting???


I have grown increasingly annoyed by ‘A Current Affair,’ the Channel 9 current affairs program here in Australia.

Where have all of the good reporters gone with the good reports (not necessarily good news of course) on what is happening in the world and in this country? Perhaps I should be watching the ABC, which admittedly has some very good news programs and the like. SBS also has some good news programs. But Channel 9, what has happened? Increasingly the channel I used to watch because it had some good news programs has become increasingly ordinary.

In the last week there have been two particularly annoying reports. The first involved a frog and a frog pond that was supposed to be keeping someone awake at night, along with journals recording the happenings of the frog and the pond, etc. The husband of the couple being plagued by such a terrible situation had apparently died since the first report several years ago and the frog and the pond were being blamed for contributing to the death. I couldn’t believe that this was such a massive news story.

Then tonight, Channel 9 is having a go at Channel 7 because two young stars from Home and Away were involved in scandals. Sure, they were truly scandals. The report then went on to list a number of other recent Channel 7 scandals. What was I thinking? ‘Hang on, what about all of the scandals at Channel 9 with various AFL and NRL reporters/commentators?’ There have of course been others too. What hypocrites!!!

A Current Affair is one program well and truly past it used by date – get it off the television and replace it with a quality news program!!!

Me – I’m off to view ‘The 7.30 Report’ on the ABC for starters. I’ll also be looking at several other programs on the ABC and SBS. I want quality news and current affairs programs – not the rubbish being offered up on Channel 9.