European Content Quota for Streaming Services to Be Finalized by End of 2019

The European Commission is in talks with the entertainment industry and national authorities to finalize the details of its European content quota for on-demand players.

Amazon and Netflix, the biggest streamers in the European Union, are bracing for the introduction of the 30% quota, but their planning for the new rule is being hampered by a lack of clarity over whether it relates to number of hours, episodes, or some other metric.

The crucial clause in the E.U.’s audiovisual media services directive states that member states “shall ensure that media service providers of on-demand audiovisual media services under their jurisdiction secure at least a 30% share of European works in their catalogues and ensure prominence of those works.”

The European Commission is now in discussions with stakeholders and member states on how that 30% will be calculated. The commission is aiming for the process to be completed and the details made available by the end of 2019.

European rules give member nations 21 months to incorporate an E.U.-wide directive into their national law. In this case, that means they have until Sept. 19, 2020, which will give the streamers less than a year to meet the quota once the details of it are laid out at the end of 2019. Furthermore, the 2020 date is the outside limit: E.U. countries are free to enforce the directive and its 30% provision before that.

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