Tuesday 24 April 2018

Bloody battle - RTE warns on new rivals

Kevin Spacey as US president Frank Underwood in Netflix hit show House of Cards
Kevin Spacey as US president Frank Underwood in Netflix hit show House of Cards
Samantha McCaughren

Samantha McCaughren

RTE has outlined the grave difficulties being faced by the broadcasting media in a document submitted to the Broadcasting Authority of Ireland (BAI) in recent days.

In a report titled 'The Media Landscape in Ireland', it describes how the media environment has never been more competitive and points to the growing number of devices and platforms now available.

Among the services which now rival RTE and other Irish broadcasters is Netflix, which recently released the new season of its hit House of Cards.

RTE told the BAI that a 'seismic shift' had taken place in the media world, sources said. Its report has also warned that the station is being hit by 'hyper-inflation' for the cost of rights.

The state broadcaster has just sold a significant portion of its land for over €100m. While a large chunk of this will be used for a redundancy programme, RTE wishes to retain a significant portion for capital investment.

In the document, which aims to put RTE's current challenges in an international context, the broadcaster claims that it is operating in a media environment where global competitors are investing significantly in technology and content.

While these new competitors are gaining market share, RTE has highlighted that they are not subject to the same accountability as broadcasters that are overseen by the BAI.

It is also understood that it has raised concerns over its ability to reach younger audiences, who are consuming media in a different way.

RTE has stressed that it must transform itself as an organisation to stay relevant.

The submission to the BAI forms part of RTE's five-year strategy planning process, providing the context which will inform decisions. It does not make recommendations or propose solutions to the changing media landscape.

However, RTE's five-year strategy document, which will be submitted later this year, will outline how it plans to deal with these challenges.

Sunday Indo Business

Business Newsletter

Read the leading stories from the world of Business.

Also in Business