BBC’s plan to run adverts on their podcasts would have ‘devastating’ impact on UK creative industry, says coalition of media companies
A coalition of media companies has warned that the BBCThe company’s plans to place adverts on its podcasts are said to be ‘devastating’ for the UK’s creative industry.
The group, which includes Daily Mail publisher DMG Media, has written to Labor to express concerns that the move would have a ‘significant negative impact on fair and effective competition’.
In a letter to Labour’s culture spokesperson Thangam Debbonaire, industry leaders and smaller producers stressed their “deep concern” about the proposals and urged her to keep the matter under review.
The BBC is exploring whether its podcasts can be monetized on third-party platforms such as Spotify and Apple by inserting advertisements.
A coalition of media companies have written to Labor to express concerns that the move would have a ‘significant negative impact on fair and effective competition’ (stock photo)
The BBC is exploring how to monetize its podcasts on third-party platforms such as Spotify and Apple by inserting advertisements. (Pictured: the British Broadcasting Corporation headquarters on Portland Place)
A phased implementation could begin at the end of this year. Other shows such as The Archers, In Our Time and Desert Island Discs could be included later. The letter is supported by fifteen companies and organisations, including News UK, Telegraph Media Group and Radiocentre, the commercial radio trade body.
It says the BBC’s plans “fundamentally undermine” the “existing model” where it is funded by the license fee and “offered without advertising on all platforms”. The group warns: ‘The impact of the BBC diverting audio advertising funds from the emerging UK podcasting market would be devastating, especially for the many small independent podcast producers.’
It also said the move would risk setting a ‘significant precedent’ for the broadcaster, and argued that such a decision, while the BBC’s funding was still pending, would be ‘pre-emptive’. Last month, the coalition also wrote to Culture Minister Lucy Frazer to highlight its “deep concerns” about the plan.
The BBC has said it is investigating the introduction of advertising on selected non-news podcasts on commercial platforms and that this will not affect the BBC’s audio platforms.
