Major shake-up for Australia media industry

SYDNEY, Sept 14, (AFP): Controversial changes to Australia’s media laws passed the upper house Thursday, paving the way for a significant concentration of ownership, in a move welcomed by the industry.

Under legislation introduced in the 1980s to protect diversity, media companies are blocked from owning television, radio and newspaper assets in the same city, while metropolitan and regional broadcasters are barred from merging.

Major players in the market have long pressed for change, arguing the rules are outdated and do not account for digital media platforms and new publishers like Google and Facebook and video streaming giants such as Netflix.

“These changes bring Australia’s outdated media laws into the 21st century,” Prime Minister Malcolm Turnbull said in a statement late Thursday after the upper house Senate passed the bill.

“They now finally recognise the enormous disruption that has been caused by the Internet. Australian media companies will now be better placed to compete with the big online media companies from overseas.”

Canberra unveiled plans for a revamp 18 months ago and a final deal was struck in the Senate, where the government needs the support of independents, including the right-wing One Nation party, to pass new laws.

The legislation is expected to be passed by the lower House of Representatives, where the government has a one-seat majority, when parliament resumes in mid-October.

Seven West Media — which owns broadcaster Channel Seven, magazines and The West Australian newspaper — welcomed the reforms, saying they would provide a “better future for local news and Australian stories”.

“These historic changes will give Australian media companies a real opportunity to compete with unregulated global players,” Seven West Media chairman Kerry Stokes said in a statement to national broadcaster ABC.

Under the changes, a company would be allowed to own a TV station, newspaper and radio station in a single market.