Free To Air TV Network Greed,& Hatred Of Foxtel Could Hurt Politicians In The Long Run

Free-to-air (FTA) television networks in Australia, including the Australian Broadcasting Corporation (ABC) and Channel 7, have been advocating for government intervention to limit the market power of pay-TV provider Foxtel. This push for regulation comes as FTA networks face declining revenues due to increasing competition from streaming services and changing viewer habits.

The FTA networks argue that Foxtel's dominance in sports broadcasting is hurting grassroots sports and limiting their ability to secure broadcast rights for various competitions. For instance, Channel 7 has expressed concern over losing the rights to broadcast the Australian Football League (AFL) and National Rugby League (NRL) matches due to Foxtel's financial muscle.

The AFL and NRL are two of the most popular sports in Australia, with large followings and significant commercial value. Broadcasting rights for these sports are lucrative, and securing them is crucial for FTA networks to maintain their audience base and advertising revenue. However, with Foxtel's deep pockets, FTA networks are finding it increasingly difficult to compete for these rights.

The Australian Competition and Consumer Commission (ACCC) has previously investigated Foxtel's market power in sports broadcasting but found no evidence of anti-competitive behavior. However, FTA networks continue to lobby for regulation, arguing that the current market conditions are unsustainable for them.

The potential consequences of FTA networks' push for regulation are significant. If successful, it could lead to a reduction in competition in the Australian media landscape, potentially resulting in higher prices for consumers and less diverse content. Moreover, it could limit the revenue streams for grassroots sports, which may struggle to secure broadcast deals if FTA networks are weakened.

Additionally, the quality of AFL and NRL broadcast coverage could suffer if FTA networks are unable to secure the rights to these popular sports. This could lead to fewer viewers tuning in, further eroding their revenue base.

It is essential to note that the Australian media landscape is undergoing significant changes, with streaming services like Netflix, Stan, and Amazon Prime Video gaining popularity among viewers. This shift towards streaming has put pressure on traditional broadcasters like FTA networks and pay-TV providers like Foxtel to adapt or risk losing their audience base.

In conclusion, FTA networks' push for government intervention to limit Foxtel's market power in sports broadcasting has significant implications for grassroots sports, the quality of AFL and NRL coverage, and competition in the Australian media landscape. While FTA networks argue that regulation is necessary to ensure their survival, it remains to be seen whether such intervention would ultimately benefit consumers or harm them in the long run.