Tech

Betting ad ban brings million dollar discount to tv stations

May 06, 2017

Some gambling advertising set to be banned.

Gambling advertising will be banned at live games

It’s not a complete ban though. Prime Minister Malcolm Turnbull confirmed the Government will ban gambling adverts before 8.30pm during live sports events, as well as before and after the start of play. It also doesn’t apply to racing.

Mr Turnbull made the announcement while still in the United States, before getting on his return flight. “Parents around Australia will be delighted when they know that during football matches, and cricket matches, live sporting events before 8:30pm, there will be no more gambling ads,” Mr Turnbull said.

Anti-gambling campaigner and Senate crossbencher Nick Xenophon said the measure was a good first step but didn’t go far enough.n”It’s not the end of the story in terms of gambling reform,” Mr Xenophon told AAP today. “We need to ban all gambling ads during sports broadcasts, but at least we’ve made some progress.”

The planned ban was initially taken to Cabinet, resulting in backlash from sports executives. They said the ban would slash the value of their television rights.

The media reform does come with some good news for television broadcasters. Until now networks paid about $130 million per year for their broadcast licences, the highest in the world. These fees and datacasting charges have now been abolished and replaced with new annual spectrum fees estimated to raise around $40 million.

Senator Fifield said licence fees, which are revenue based, were introduced when broadcasters could generate significant profits due to their exclusive access to mass audiences. “In today’s media environment, licence fees are a relic of a bygone age of regulation,” he said.

This news is welcome relief to Network 10 who announced their financial struggles recently.

The package also includes changes to Australia’s anti-siphoning regime and stops pay TV broadcasters from buying the rights to sports events before free-to-air broadcasters have the opportunity.

The government will also spend $30 million over four years to encourage subscription television to increase coverage of women’s sport and niche sports.

Senator Fifield also confirmed the government will continue plans to scrap the rule that prevents a company controlling more than two of three radio, television and newspapers in an area. Children’s and Australian content will also undergo a review.