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Pay-TV ad limit passed
Italy’s parliament voted in favour of the proposed law to limit advertising time on pay-TV platforms. The plan has caused controversy and strong criticism from News Corp’s Sky Italia, the country’s leading pay-TV operator, which claims that it will be…
Italy’s parliament voted in favour of the proposed law to limit advertising time on pay-TV platforms. The plan has caused controversy and strong criticism from News Corp’s Sky Italia, the country’s leading pay-TV operator, which claims that it will be the most hit by the rule.
Under the law, the amount of advertising allowed per hour will drop from 18% today to 16% this year, 14% next year and 12% in 2012.
Free-to-broadcasters, in exchange, will be allowed to increase their advertising to 20% per hour, from 18%. This will benefit Berlusconi’s Mediaset (Italia 1), the state-owned RAI and Telecom Italia Media’s La7. However, News Corp also intends to take advantage of this measure through its free-to-air Cielo, which it launched last December.
