Committee to enshrine new investment rules for streaming services
Streaming services such as Netflix, Amazon, and Disney will be required to invest 4 percent of their Swiss revenue in Swiss film productions going forward. This is stipulated in the amended Film Act. A broad-based committee campaigned in favor of the bill on Thursday.
Parliament passed the so-called "Lex Netflix" in the 2021 fall session. Various young parties launched a referendum against it. The population will vote on the bill on May 15.
At its media conference in Bern, the non-partisan "Yes to the Film Act" committee underlined the arguments for the new investment obligation, which already have majority support in parliament. Representatives of the SP, Center Party, EVP, FDP, GLP and Greens campaigned for the amended rules. The tenor was that the bill would create fair market conditions and strengthen the Swiss film industry and SMEs.
No subsidies
In future, streaming providers will be free to invest the revenue share directly in Swiss productions or pay a substitute levy that will be used to support Swiss films. "It is a balanced and fair concept," said Andrea Gmür-Schönenberger, member of the Lucerne Council of States. An investment obligation already applies to private Swiss television broadcasters.
Gmür hopes that the new investments will enable the potential of Swiss film to be exploited. "If we want to get young people excited about local stories, we need to get on the platforms." It is also an opportunity for tourism locations to present themselves internationally.
This increased value creation takes place without a subsidy franc, stated Matthias Michel, member of the FDP Council of States for Zug. The state also does not talk the providers into how they should reinvest the revenue. "It's not about more state film funding, but about more market." The law can therefore also be supported from a liberal perspective. However, the FDP delegates have decided to vote against the bill.
"You have to put some pressure on now"
Supporters of the film law also pointed to other countries, where an investment obligation for streaming services has long been common practice. "The Swiss film industry will benefit enormously if it is given the same production conditions as the film industry in our neighboring countries," said Bernese National Councillor Regula Rytz (Greens). The bill would also promote cultural and linguistic diversity on streaming platforms.
"The Swiss film and series market will be revitalized if 'Tschugger' or 'Wilder' have competition," added Aargau EPP National Councillor Lilian Studer. Today, there are almost no Swiss series on Netflix. "We need to put some pressure on them now."
Today, all of this revenue flows abroad, as the proponents of the new rules criticize. This is unfair because Swiss providers in the television market have long been obliged to invest in domestic filmmaking.
Rules already established in the EU
Bernese SP National Councillor Matthias Aebischer rejected the criticism from opponents of "Lex Netflix" that streaming providers could increase prices due to the new investment obligation. "The bill is not an attack on the wallet, nobody has to pay more."
Culture Minister Alain Berset assumes that Swiss film could benefit from an additional CHF 18 million per year as a result of the new proposal. Foreign television channels with Swiss advertising windows will also have to make a contribution to the diversity of films on offer.
Streaming services are also to be obliged to broadcast at least thirty percent of series or films that were produced in Europe. This rule is already applied in the EU and is lower than the requirements for television broadcasters.
For Bernese GLP National Councillor Melanie Mettler, the bottom line is clear: "With the new film law, Switzerland is catching up with its neighboring countries and ensuring equal production conditions for domestic films and series." (SDA)
