The new EU agreement will update the rules for audiovisual media services. Renewed obligations for European productions and limitations for advertising. All the details of the new legislation that could come into force no later than September.

The big news that could be introduced by the new EU legislation on audiovisual media services is that it will involve not only TV broadcasters but also video-on-demand streaming platforms and video sharing platforms. Therefore, OTTs will also have to adapt, namely Netflix, YouTube, Amazon Prime Video, Facebook and so on. The agreement should be approved in the coming weeks by the Culture and Education Committee of the European Parliament and is planned to be applied from next September, after a vote in plenary takes place. But what would these new obligations imply for the audiovisual sector?

The most important change will consist of the fact that in order to support the cultural diversity of the European audiovisual sector, 30% of content should be European. At this point, it is also relevant to remember that one of the fundamental amendments to the Franceschini law follows the same principle on an Italian basis. The rules by the EU also dictate that video-on-demand platforms will be asked to contribute to the development of European audiovisual productions, either through a direct investment in content or a contribution to national funds. The legislation will, therefore, aim at encouraging local production, giving more space to what the European audiovisual markets have to offer.

MEPs have also introduced new rules to prohibit any content that may incite violence, hatred, and terrorism. To ensure their compliance with the directive, OTT platforms will be responsible for creating a transparent, easy-to-use and effective mechanism to allow users to report or flag “harmful” content. At the same time, the new law also includes strict restrictions on advertising or product placement in TV programs for children, while ensuring the protection of the data collected.

Advertisement limits will also be redefined, with a maximum 20% quota of advertising of the daily broadcasting period between 6:00 am and 6:00 pm. A second prime-time window subject to restriction will be between 6:00 pm and 12:00 am, during which a maximum of 20% of the broadcasting time will be reserved for advertisement.