Regulating OTT

Platforms

OTT in the new digital economy Conference

Bangkok, 17 November 2020

Elena Scaramuzzi, Head of Global Research – Cullen

International
Global research on OTTs – Cullen Global Tech Trends

1. Social media and

video-sharing
platforms (e.g.
Facebook, YouTube)

2. Video
Regulate?
4. Online
marketpla
on
demand How?
ce (e.g.
(eBay, Netflix,
Alipay) Amazon
Prime)

3. Voice & messaging

services (WhatsApp,
Kakaotalk)
 Same dilemmas, on a global scale…

Data from Datareportal 2019

https://www.slideshare.net/DataReportal/digital-2020-july-global-statshot-report-july-2020-v01
What definitions? What regulation for OTTs? Ex-ante? Ex-
post? Enforcement?

‘vertical’ ‘horizontal’

• Telecom • Consumer
• Media protection
• Banking • Competition
• … • Security
• …
 Different possibilities

• ‘Light touch’ / self-regulation / broad safe

harbours
How to find
• Less sector regulation (for the regulated) the right
balance?

• More horizontal regulation (for all)

• Regulate (only some?) OTTs
 TODAY: limited regulation of video-sharing platforms
(VSP)
Licence needed? Ex ante foreign media Platform-specific
ownership restrictions on this regulatory authority?
service?
Australia No No No
China Yes (permit) Yes AU, JP, IN, RU, No
SA: Limitations
India No No No
for certain
Japan No No media – e.g. No
newspapers
Korea No No and No
Russia No No broadcasting No
Singapore No RU, SN: No No
Registration
EU-level No No No – but proposed
France No No No
Brazil No No FR, US: can be No
set ex-post for
USA No No “national No
interest”
South Africa No No No
TODAY: safe harbour generally with broad scope
 Users sharing Illegal content on social media

illegal ?
TODAY: What is
Fake news Piracy Child Terrorism Hate speech Cyberbullying
pornography
Australia Voluntary code
(P)
Amend. 2015 Online safety act 2015 Abhorrent material
2019
Online safety act
2015
Online safety act
2015

China Criminal L 2015

Cybersec. 2016
Rules revised 2010,
2013
Cybersecurity law
2016
Criminal L 2015
Cybersec. 2016
Regulation rev. (P)

India Copyright amend.

2012
IT Act 2000, guids2011,
law2012
IT Act 2000,
guidelines2011
Hate speech laws

Japan Liabilities lim. Act

2001
Child prostitution act,
Liab. Lim act
Liabilities lim. Act 2001

Korea Proposals Copyright Act Law 2009 last

amended 2014
Law 2018

Russia Information law

2006, rev 2020
Inform law 2006,
2020
Information law 2006,
rev 2020
Info Law, law
extremism
Information law
2006, rev 2020

Singapore POFMA 2019 Copyright am.

2014, 16
Criminal code,
undesirable pub.
POFMA 2019 POFMA 2019

EU-level Code of practice

2019
Directive 2019 Directive 2011 Proposal AVMSD

France 2018 Law Copyright, Trust

dig. Ec.
Trust digit. Ec. 2004 Trust digit. Ec. 2004 Trust digit. Ec.
2004
Trust digit. Ec. 2004

Brazil electoral rules +

proposals
Copyright law
internet law
Criminal law, Internet
law 2014
Law 2016, internet law
2014

USA Review Sec 230

Com Decency
DMCA notice and
take down
US Code Title 18
(prove crim liability)
US Code Title 18
(prove crim liab)
Act?
As special Copyright act art Criminal law, ECTA, FPAA art 18, ECTA take
Evolution 2014-2019 European Commission
in the EU Digital Single Market Strategy

ONLINE PLATFORMS

Level playing field

(AVMSD)
Address specific
problems through
New framework on Revise the 2000 E-
targeted instruments or Trust and
online platforms Commerce Directive enhanced voluntary transparency
efforts by industry
Harmful and
illegal content
online
Evolution of audiovisual media sector regulation in the European
Union

TV Without Frontiers
AVMS 2010 New AVMS 2018
(1989)

• Single market • Also covers VOD • Improves the level playing

services by minimum field between TV and VOD
• Viewers’ protection services
set of rules (two-tiered
approach) • New set of rules for video-
• Cultural diversity (EU works) sharing platforms (VSPs)
• Technology neutral
 Improved level playing field between TV and VOD and basic
protection granted on VSPs

TV VOD service VSPs

Hate speech √ √ √ (different rules)

Protection of minors √ √ (Now aligned) √ (different rules)

Qualitative advertising rules √ √ √ (different rules except

for own ads)

Accessibility √ √

Rules on sponsorship and product placement √ √

Signal integrity √ √

Findability √ √

Promotion of EU works (quotas) √ (50%) √ (new 30%)

Promotion of independent EU works √

Quantitative advertising rules √ (relaxed)

 VSPs must take appropriate measures to protect
viewers
Parental
Rating
• Protect minors from programmes, user generated Age control
systems for
videos and commercial communications hat could be verification (end-users
users
in control)
harmful
 The strictest access control measures for
the most harmful content
 No processing of minors’ data for
commercial purposes
• Protect viewers from:
T&C to Systems for Systems to
• incitement to violence or hatred on certain
include and users to explain
grounds (defined by EU Charter of Fundamental apply flag/report users results
Rights) restrictions this content of reports

• other criminal offences (e.g. public provocation

to terrorism, dissemination of child pornography, Media
Dispute
literacy
racism, xenophobia) resolution
measures
procedure
and tools
 New 2019-2024 European
Commission: EU Digital Way forward in the
Strategy EU
New ex ante instrument for
gatekeeper platforms
Ex ante regulation
(Digital Services Act)
Deepen the Internal Market and
clarify responsibilities for digital
service (incl. revision Ecom D)
New EU policy for digital
platforms
New competition tool to address
structural competition problems

Competition law

Active enforcement of current

antitrust rules
Other countries are ADAPTING regulatory frameworks to
EVOLVING economic and social environments. However, priorities
and approaches differ

• Australia 1. Social media and

video-sharing

Brazil
platforms (e.g.
• Facebook, YouTube)

• China 4. Online 2. Video on

India
marketpla
•
demand
ce (e.g. Netflix,
(eBay, Amazon

• South Africa Alipay) Prime)

• USA 3. Voice & messaging

• and more…
services (WhatsApp,
Kakaotalk)
Get in touch!
elena@Cullen-international.com