North Coast Voices: Why is the Australian Government subsidising a News Corp television program?

Tuesday 29 January 2019

Why is the Australian Government subsidising a News Corp television program?

On 21 December 2018 the Australian Communications and Media Authority announced:

The ACMA has awarded up to $3.6 million in grants to regional and small publishers under the first round of the Regional and Small Publishers Innovation Fund.

Round one of the Innovation Fund will support 29 projects by 25 successful applicants nationwide, with a mix of regional and metropolitan proposals funded.

Grants will support innovation and digitalisation across a wide range of activities, including market research, trials of new business models, podcasts, and video capability.

A list of successful applicants and their projects is here.

However, there is another grant stream which sees News Corp’s Sky News Channel - part of multinational media empire - receive money to cover 15 per cent of a particular Sunday program’s production costs.

BuzzFeed, 25 January 2019:

The show is partly funded through a Commonwealth government grant awarded to Mundine's business Nyungga Black Group, through a closed non-competitive selection process, according to the grant information published online.

The grant, running from June 18, 2018 to Aug. 1 this year is for a total of $220,000. The Department of Prime Minister & Cabinet confirmed to BuzzFeed News that the grant was for Mundine's Sky News show.

News Corp’s 2018 annual report states of the corporation’s news channel:

Australian News Channel

ANC operates 10 channels featuring the latest in news, politics, sports, entertainment, public affairs, business and weather. ANC is licensed by Sky International AG to use Sky trademarks and domain names in connection with its operation and distribution of channels and services. ANC’s channels consist of Sky News Live, Sky News Business, Fox Sports News, Sky News Weather, Sky News UK, Sky News Extra, Sky News Extra 1, Sky News Extra 2, Sky News Extra 3 and Sky News New Zealand. ANC channels are distributed throughout Australia and New Zealand and available on Foxtel and Sky Network Television NZ. ANC also owns and operates the international Australia Channel IPTV service and offers content across a variety of digital media platforms, including mobile, podcasts and social media websites. In addition, ANC has program supply arrangements with third parties such as WIN Corporation. ANC primarily generates revenue through monthly affiliate fees received from pay-TV providers based on the number of subscribers and advertising.

ANC competes primarily with other news providers in Australia and New Zealand via its subscription television channels, third party content arrangements and free domain website. Its Australia Channel IPTV service also competes against “over-the-top” IPTV subscription-based news providers in regions outside of Australia and New Zealand.

This is a corporation which admits to having assets of over $16 billion in June 2018 - $2 billion of which was held as cash or cash equivalents - and yet the Australian Government feels the need to subsidise its weekend programming?

This is the second time in less than two years that the Coalition Government has given News Corp money for programming. Then it was a funding package worth a cool $30 million.

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Moggy Musings

Hi! My name is Boy. I'm a male bi-coloured tabby cat. Ever since I discovered that Malcolm Turnbull's dogs were allowed to blog, I have been pestering Clarencegirl to allow me a small space on North Coast Voices.

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North Coast Voices

Tuesday 29 January 2019

Why is the Australian Government subsidising a News Corp television program?

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