Blog Post

AAPA’s position on the European Parliament own initiative report on the implementation the geo-blocking Regulation

AAPA

5 July 2023

As the discussions on the European Parliament’s own initiative report on the implementation of the Regulation on addressing unjustified geo-blocking are picking up, the Audiovisual Anti-Piracy Alliance (AAPA) would like to warn policymakers against the harmful consequences of a potential ban of geo-blocking technologies used to protect the existing territorial licensing model applicable to audiovisual content and services, and dispel common misconceptions on its supposed link with piracy.

1) Geo-blocking technologies are key to protect exclusive territorial licenses

• Currently, audiovisual services providing access to high-value and premium content (sport, films, high-end drama or entertainment) are marketed on the basis of exclusive territorial licences.

• Exclusive territorial licenses allow rights holders to negotiate and sell distribution rights on a territory-by-territory basis, allowing them to accommodate the different viewing preferences within the EU by meeting the specific cultural and linguistic demands in each Member State, at a price which reflects the popularity of the content in each territory.

• Geo-blocking technologies help preserve this licensing model by preventing unauthorized cross-border access to content.

2) The financing of the whole European audiovisual ecosystem depends on the preservation of the exclusive territorial licensing model

• Exclusive territorial licenses represent the most efficient and beneficial model for the European cultural, creative and sports sector. This model continues to underpin the financing of new film and audiovisual content production in the EU, in particular by enabling presales and preserving the value of future distribution rights.

• A recent study estimated that the end of geo-blocking would have a negative impact on content production with an output reduction of 48% per year for TV content as well as a loss in revenue for producers of up to €8.2 billion euros per year.

• As recognised by the European Parliament’s own research service in May 2023, “the sector is strongly reliant on the current financing and licensing model and the extension of the scope of the Regulation would have considerable consequences for the economic sustainability of the sector”.

3) Banning geo-blocking technologies for audiovisual services would not benefit consumers

• A ban of geo-blocking for audiovisual services would end the territorial licensing model, leading de facto to a pan-European licensing model. This model would benefit to the largest media corporations in Europe or major new entrants from outside Europe who would be the only entities in capacity to bid or afford pan European licenses. The number of potential broadcasters willing to invest would be significantly reduced. One of these outcomes could result in disproportionate levels of market power being wielded by such corporations within the EU, resulting in higher prices for consumers.

• Furthermore, the end of geo-blocking would not significantly improve consumer welfare given that, less than 15% of consumers surveyed have tried to access audiovisual content for users in another EU country according to a 2019 Eurobarometer survey.

• As a matter of fact, geo-blocking technologies are a source of dissatisfaction only for consumers who want to access audiovisual content for free.

• According to a recent study , a ban on geo-blocking extended to audiovisual content would lead to a €9.3 billion loss in consumer welfare.

4) Banning geo-blocking for audiovisual services is not a response to the growing piracy of audiovisual content in the EU

• As shown in a research from Synamedia , the main driver for piracy of audiovisual content is the price of the legal offer which is considered too high by some users

• Given a ban on geoblocking would likely lead to a more expensive legal offer for consumers, we could anticipate that this would also result in a higher level of piracy of audiovisual content.

• Banning geo-blocking technologies would undermine an already difficult fight against the piracy of audiovisual content across the EU, since no harmonised framework exists at EU level to tackle audiovisual copyright infringements in a meaningful way.

• Ultimately, putting an end to geo-blocking would have damaging consequences for the whole audiovisual industry at a time when our sector is already undermined by all types of piracy and particularly by the piracy of live content.

Geo-blocking technologies refer to the use of technical measures and tools to restrict or control access to online content or services based on the geographic location of the user. These technologies employ various methods to identify and determine the user's location, for example through their IP address, and then enforce access restrictions based on predetermined rules or criteria.

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Audiovisual Anti-Piracy Alliance 2024-2029 EU Manifesto

by AAPA • 01 Oct, 2024

The Audiovisual Anti-Piracy Alliance (AAPA) publishes its first Manifesto, linked here . The document aims to recognise past efforts of EU legislators when it comes to content protection and the fight against copyright infringement, whilst admitting that more can and should be done to address this growing issue. Miruna Herovanu, Executive Director of AAPA said : " After years of laying the groundwork to combat online piracy it’s time for EU policymakers and beyond to fully acknowledge that decisive, targeted measures are needed at the European level. The rise of digital theft demands action. We call for strong political resolve to end the theft of our members' content. We're ready to support every stakeholder—law enforcement, policymakers, and industry representatives—to dismantle criminal networks and protect European consumers from harm."

AAPA ANNOUNCES NEW EXECUTIVE DIRECTOR

by AAPA • 28 May, 2024

The Audiovisual Anti-Piracy Alliance (AAPA) has announced the appointment of Miruna Herovanu as its Executive Director. Miruna was previously the Director at the Association of Commercial Television and Video on Demand in Europe in charge of Intellectual Property and Competition policies. She took up her position with AAPA on 27 May 2024 and will be based in Brussels. Miruna will replace Sheila Cassells who is retiring as Executive Vice President of AAPA and will report on a day-to-day basis to the two Co-Presidents, Mark Mulready, VP of Cyber Services at Irdeto and Oliver Pribramksy, Head of IP Protection and Committees at the Deutsche Fussball Liga. She will be responsible for the implementation of the strategy agreed by AAPA members, managing relationships with law enforcement agencies such as Europol, Eurojust, INTERPOL and the European Institutions, delivery of AAPA’s Working Group goals and general management of the Alliance. Mark Mulready said that: “We are delighted to appoint someone of Miruna’s calibre and experience to become the Executive Director of AAPA. Miruna’s commitment to copyright protection is well-known. Her knowledge of the Brussels institutions and the EUIPO will stand AAPA in good stead for future policy developments. A priority will be for Miruna to work closely with AAPA members, the EUIPO and the European Institutions to deliver on, inter alia, the goals of combatting online piracy of sports and other live events recommendation.” Miruna Herovanu commented that: “My professional experience demonstrated that piracy is an ever-growing issue that eats at the heart of Europe’s most important industries. This is a golden opportunity and a new professional challenge that will help further develop my passion for and commitment to protecting copyright. Being able to work with and support industry experts and practitioners in AAPA, law enforcement, the European Institutions and other trade associations is essential to the fight against piracy. I am excited to be taking on this role.”