Promotion Convergence Industry

Authorization of cross-Ownership of Diverse Media

In order to enable the media industry to lead the national economy and contribute to a market environment reformation such as the integration of different media, the Korea Communications Commission is scheduled to improve regulations on cross-ownership of media and also increase such cross-ownership. Authorization of cross-ownership of media will be executed through processes including the collection of specialist advice and public opinions

Reduced Restrictions on Broadcasting Business Ownership

The Korea Communications Commission is planning to reduce restrictions on ownership for the advancement of the broadcasting industry. It is in the process of reducing restrictions on ownership of satellite broadcasting by large enterprises (currently 49%) and foreign funds shareholding (currently 33%) for improved balance in regulations on different media as well as revitalization of investments. Moreover, shareholding for daily newspapers and new broadcasting (currently 33%) are also planned to be improved for cable SO and satellite broadcasting.

On the other hand, to improve the business conditions of DMB business, which are experiencing accumulating deficits, restrictions on individual shareholding (currently 30%) and large enterprise shareholding (currently prohibited) are also being reduced for non-ground-wave DMB services.

Introduction of New Business

In addition, new comprehensive PP is planned be introduced in order to satisfy audiences' diverse desires for media and reenergize the broadcast content market, This will take place at the same time as the revision of the broadcasting laws.

Vitality in the Content Business

Formation of an Environment Where the Value of Content is Recognized

Broadcasting and communications content constitutes a high-value-added industry which has great a ripple effect. The international content market is estimated to grow at a rate of 13.4% per year. However, the growth rate of the Korean broadcasting and communications content market has gradually decreased from the 19% in 2004 to 8.9% in 2006

In order to consolidate the competitive power of broadcasting and communications content, an investigation will take place to determine if the fees for the content provided by program providers are appropriate, and actions will be taken to allow content production companies to get the rate they deserve through the consolidation of copyright protection for outside production companies. In addition, an environment in which fair trading can take place between content producers and distributors will be formed.

Formation of a Foundation for Production and Distribution of Broadcasting and Communications Content

Production cost support will be increased for various program providers and small- and medium-sized content producers, and a one-stop cluster where the production, processing, and distribution of the content of small- and medium-sized businesses can be supported is being formed. To achieve such end, preparations are underway to form a complex on 19 acres in Gyeonggi-do by 2012

In addition, an online content market to enable easy trading of content for support to small- and medium-sized businesses with weak content distribution networks will be established, and a mid- to long-term distribution of human resources in the field of content is planned.