Source: Pexels
Impatience is brewing in the Australian screen industry. Late last year, the government promised to implement new regulations to guarantee more locally produced content on streaming platforms by the 1st of July 2024.
Subscription Video On Demand (SVOD) is booming in Australia. 65% of the population subscribes to Netflix (source: statista.com), making the country the largest market share for the platform in terms of subscribers. With the likes of Stan and main competitor Disney+ on the scene, the market is projected to grow at a rate of 8.21% per year.
In the 10 years that SVODs have operated in Australia, it has largely been left unregulated by the state. Consumers themselves have long taken control of the global shows they watch. Traditionally, the Australasia region received content later than other English-speaking nations. Solutions like ExpressVPN for PC have allowed Aussies to bypass regional firewalls on streaming platforms and watch shows from anywhere in the world. When the viewer’s options are already this vast, it calls into question whether regulating local material on streaming platforms will do much good in keeping the country’s screen industry alive.
Even so, the government has publicly committed to enforcing a quota on locally produced content. If an SVOD has more than 5 million subscribers, it will be required to spend a proportion of its revenue on creating content made in the country.
Australian production companies have collectively lobbied for a 20% threshold to this quota, arguing that streaming platforms endanger Australia’s film industry by diluting available content with global shows instead of championing local productions. They say that if this continues unregulated, the prolific roster of Australian shows and films will be phased out, as will the economy behind it.
With 2024 almost over, the government’s publicly announced deadline has passed, and there is radio silence around a new deadline. The screen community is once again making noise. Screen Producers Australia CEO Matthew Deaner spoke out, noting that without any developments, the country’s film industry risks becoming “a service provider for Hollywood productions, who are encouraged here to take advantage of generous rebates, rather than grow our own local storytelling capabilities.”
Deciding on a quota is no easy task. Regulating SVODs for the first time in their decade-long existence would mean huge changes in the way film and television are consumed. However, other alternatives are making waves in the industry, with an over-saturated subscription market pushing viewers towards AVODs (Advertising-based streaming).
A promising example is the new ad-based service Brollie. Launched late last year, it offers solely Australian-made content, including a permanent category dedicated to Indigenous Australian material. The platform is run by indie film distributor, Umbrella. It draws from the large catalogue of Film and TV content already held by the company, which claims to be the first to make a streaming service specializing in Australian work.
Brollie’s niche in the market, coupled with the rising popularity of AVOD services, may give some hope to the country’s screen industry. But for now, the community must sit tight and await the big news on the government’s impending regulations.