The National Broadcasting and Telecommunications Commission (NBTC) should regulate over-the-top (OTT) TV operators, beginning with registering them and then bring them under its licensing regime, according to the regulator’s adviser on the issue.
OTT is the delivery of media content to viewers, such as films and TV programmes, via the Internet – either free or for a charge.
The regulatory body has considered regulating the fast-rising OTT service. It hired Time Consulting to study how to regulate OTT TV operators. The study result is expected to be tabled at the NBTC broadcasting committee’s meeting today.
The study recommends that the watchdog register OTT TV operators and issue them with licences at a later date. The operators should be treated on an equal basis like all broadcasters under the NBTC’s licensing regime, Time Consulting said.
The NBTC should also regulate OTT content through the ratings system and should also promote Thai content in the OTT service.
Time Consulting evaluated the impact of the registration on OTT operators and found they would experience a minor regulatory burden in the initial phase, which would not obstruct their competitiveness. Requiring new OTT TV operators to register with the NBTC would not create entry barriers for them, it said.
Time Consulting also advised the NBTC to issue the net neutrality policy to cope with the possible growth of the OTT TV market.
The concept of net neutrality centres on Internet service providers treating all traffic on their networks equally and providing them with the same level of data access and speed.
The growth of OTT service demand will inevitably result in massive data traffic on the networks of telecom operators and Internet service providers. When they witness the massive data traffic on their networks, they might seek ways to disrupt OTT TV operators’ access on their networks to provide services, which would affect their viewers.
According to the NBTC, OTT operators on the free-of-charge platform include YouTube, Line TV, and digital TV operators such as Channels 3, 7, 8 and Workpoint. Their programmes earn income from advertising.
The paid-platform OTT operators include Netflix, iflix, Primetime, Advanced Info Service’s AIS Play, and TrueVisions’ Anywhere.
Recently AIS secured a five-year exclusive deal with HBO to broadcast HBO HD, HBO Signature, HBO Family, HBO Hits, Cinemax, and Red via both its mobile and fixed broadband Internet networks.
According to the Time Consulting study, YouTube had the highest advertising OTT revenue in Thailand at Bt1.66 billion last year, while Line TV and digital TV operators offering an OTT service made a combined Bt502 million in ad revenue.
The OTT service got off the ground in Thailand three years ago. Among the top OTT TV operators here are YouTube, LineTV and TrueVision Anywhere.
Source: http://www.nationmultimedia.com/news/business/corporate/30306722