Business News

Quebecor Media Will Use New Opportunities for Canadian Content Under CRTC Decision

Tuesday 04. November 2008 - Quebecor Media is pleased that the decision yesterday by the CRTC seems to point Canadian broadcasting policy toward less regulation and greater competition in the area of telecommunications to the benefit of Canadians.

While it did not accept Quebecor Media’s suggestion to better finance general television through royalties, the Commission acted on many other proposals submitted by the Company. These included the deregulation of the types of speciality networks and possibilities to launch new ones, providing greater choice for viewers as well as more opportunities for the television production community in Quebec.

The TVA Group will further explore opportunities to launch new networks and could submit applications to the CRTC for new licences in the coming months. Analysis of yesterday’s announcement suggests that the future of general networks will depend on the existence and support within the same organization of speciality networks that have multiple sources of financing.

Quebecor Media is also pleased to see the Commission open to deployment and improvement of new technologies, including video on demand that will give consumers greater freedom in the choices offered by the Canadian broadcasting system.

The Quebec Company regrets, however, the slowness with which the Commission will achieve its objectives since most of the deregulation of the distribution industry will not take effect until 2011. The streamlining of rules about the creation of channel packages, for example, is one change that consumers would have certainly liked to benefit from now.

Quebecor Media questions the paradox of a greater regulatory burden by the CRTC with the imposition of additional financial charges to increase to 6% from 5% the payments by distribution companies to a local programming fund that will not meet the expectations of Canadian viewers.