Media regulation changes being eyed by government

Newspapers would be allowed to own broadcast units

The Korea Communications Commission yesterday unveiled a series of programs aimed at stimulating growth in the media and communications industries over the next five years, including a plan to ease government regulations.

In its reporting session to President Lee Myung-bak, commission officials said media companies expect growth from 267.6 trillion won ($236.2 billion) last year to 383.8 trillion won by 2012. They said 291,000 more jobs will be created during the same period. According to the commission, 755,000 people were employed in media and communications companies as of last year.

At the meeting, Lee urged that regulations on the media and communication industries be eased significantly to create attractive jobs and to build a foundation for world-class media.

To increase competitiveness, regulations that have limited growth through mergers should be revised, the commission said.

The commission said it will ease the regulation that bans a company with more than 3 trillion won in assets from entering the open-air broadcasting business.

The new limit should be 10 trillion won, the commission said.

The commission also recommended lifting the newspaper-broadcaster cross-ownership ban. The commission, however, said it will listen to public opinion first before deciding on specific details such as when the ban will be removed.

Under current laws, newspaper firms are banned from operating as broadcasters, principally to prevent an information monopoly.

While the Lee administration and the Grand National Party have indicated their intention to ease the restriction in order to stimulate competitiveness, critics have said the cross-ownership ban must remain to protect the public interest.

"Various regulations on the broadcasting and communications industry should be drastically eased to create good-quality jobs and to build a condition from which competitive, world-class media can appear", Lee was quoted as saying at the meeting by his spokesman, Lee Dong-kwan.

"The broadcasting and communications industry are at the center of the green growth. That's why we launched this commission to make the industry the new driving force of the growth".

The Korea Communications Commission, formed in March by the Lee administration, is a merger of the Korea Broadcasting Commission and the Information Ministry.

Another key program presented yesterday by the commission was the integration of broadcasting and communications industries.

The first step will be made this month by selecting the operators for the Internet Protocol Television service.

The new type of digital TV service, delivered through the technologies used by computer networks instead of by open-air broadcasting or traditional cable systems, will be commercially available next month, the commission said. Four companies, including KT and Hanarotelecom, have applied for permits to operate the business.

At the media policy meeting, President Lee also expressed concern over high communications bills and possible privacy violations in cyber space.

"There is a public consensus that household spending on communication fees are too high, so it's necessary to stimulate competition among the service providers to naturally drive down prices", Lee said.

"The commission should also work hard to prevent an 'information epidemic' from causing privacy violation and the spread of misinformation through the Internet".

Other programs presented by the Korea Communications Commission include a plan to end Kobaco's monopoly of broadcast media advertising sales by introducing private media representatives that will act as sales agents for commercial networks.


By Ser Myo-ja Staff Reporter