Cable TV industry in decline due to content fee hike = South Korea

SBS Media Net, which operates cable TV channels, will start broadcasting "SBS Sports" and "SBS" to cable TV giant LG Hello Vision from midnight on March 22nd.
announced that they would be discontinuing the provision of the ``Golf'' program. This is because negotiations regarding compensation for content failed and the program provision contract was terminated.
Revenue in the cable TV industry is decreasing every year, making it difficult to pay for expensive content.
It's in a state of being. In fact, as a result of analyzing materials from the Broadcasting and Communications Commission, cable TV broadcasting sales from 2017 to 2022 will increase by 3.28% per year to approximately 330 billion won (
Approximately 37,31033 yen) decreased. On the other hand, during the same period, content fees relative to license fee sales rose by an average of 5.50% per year.
The cable television industry consists of platform operators operating multiple channels and terrestrial
They claim that broadcast channel users (terrestrial PPs) are raising content fees too much. They receive high program usage fees from cable TV, produce content, and then authorize it.
It is said to earn additional profits by supplying only to bar-the-top (OTT) operators. For this reason, it has been pointed out that structural reform of the media industry is inevitable.
Roh Chang-hee, director of the Digital Industrial Policy Research Institute, said, ``We need to create a comprehensive law that reorganizes the relationship between OTT and pay television.''