In the newest edition of the biennial EMMA magazine, Karen Taylor interviews Dr. Christoph Fiedler, Managing Director for European Affairs and Media at VDZ (the German Federation of Magazine Publishers) and Chairman of EMMA’s Legal Affairs Committee. This interview deals with the challenges of ‘Upholding press freedom in a digital world’. Dr. Fiedler perfectly sums up threats to press freedom that would be brought forward by proposed EU legislation around the topics of data protection, VAT, copyright, and advertising law among others. It thus provides an excellent introduction to the impact that proposed EU legislation stands to have on media diversity in Europe.

It is worth noting that media diversity is the key focus point of the Future Media Lab for 2015. As preparation for our upcoming annual conference on 20 January, titled “Media diversity in the digital age: citizens, technology, and business innovation” there is no better way to familiarize yourself with the genuine risks to press freedom and media diversity than to get acquainted with the proposed legislative landscape at EU level. The key take-away from this interview is that the strong pluralistic press that European democratic societies have come to rely on, is under threat.

Key Challenges to Press Freedom

Karen Taylor asks Dr. Fielder to summarize the biggest challenges facing press freedom in Europe today in terms of European legislation. In response, Dr. Fiedler indicates that the complexity of today’s press and a lagging and inadequate legal framework to deal with such diversified media inherently poses a threat to press freedom.

Upon asking what the newly elected European Parliament and European Commission could do about this, Dr. Fiedler replies by saying that they should avoid damaging press freedom with legislation which damages either the editorial or economic aspects of the press. This relates to a wide range of areas, including data protection law, copyright, competition law, advertising related laws and much more.

Of course, one would like to think that politicians would unequivocally support a free press and Dr. Fiedler affirms this. He states that what we are really talking about here is preventing legislation that will ultimately make things worse.

“In any case regulation is not about intention but effects.”

Risky EU projects and their effects on the publishing industry

Dr. Fiedler highlights the current proposal for an EU Data Protection Regulation as a risky project which threatens editorial freedom and hits subscription circulation as well as digital subscription models. In addition to this he cites the weakening of copyright legislation as a further move that stands to hamper sustainable publishing. Fiedler sees non-discriminatory access to dominant digital platforms as essential, and is disappointed by the European Commission’s capabilities to enforce search neutrality on a search monopoly. Not to mention the fact that the Commission has been thus far unable to secure net neutrality.

Getting into the issues

Data Protection

In the course of his interview with Karen Taylor, Dr. Fiedler gives an in-depth analysis of the legislative issues facing press freedom in Europe. Notably he clarifies how the Proposal for a General Data Protection Regulation is a death sentence for press freedom.

“Freedom of the press is the right to publish personal data regardless of the consent of the person concerned and even against her or his will.”

Controversy has arisen around this issue due to the weakening of Article 9 of the current Data Protection Directive which obliges Member States to exempt the processing of personal data for journalistic purposes. This article was upheld by EU Justice Commissioner Viviane Reding when she proposed a new Data Protection Regulation in 2012, but this was watered down by the Greens and Socialists in the European Parliament to a weaker provision that asks Member States to simply balance freedom of expression and data protection. Dr. Fielder warns that this action could be the start of slippery slope towards the abolition of press freedom by the means of data protection regulation.

It is not just the editorial side of publishing which is affected by data protection legislation, but it is also the economic side. The proposed data protection legislation also affects publisher’s business models in terms of restrictions on direct marketing and controlled circulation through an opt-out model. For example, in the Nordic states 60 per cent of subscription circulation is based on a telephone direct marketing model on an opt-out basis. To remove this, as the Parliament’s First Reading does, would be to decimate the press publishing industry there.

Copyright

In the case of EU copyright legislation, Dr. Fiedler outlines that the nature of free press is just so where publishers have the right to freely decide how they distribute, sell and market their press products to make them competitive and successful. He argues that in a digital world, this is under threat from exploitation by third parties and that there needs to be some protection for press publishers from these ‘digital free riders’.

The Google Competition Case

Digital economies have at their core powerful network effects and these tend towards dominant or monopolistic players. With this in mind Dr. Fiedler states that, a minimum requirement for any competition law is that dominant platforms must not give preferential treatment to their own services. This, he says, should be looked upon as an abuse of their position. This is a fundamental competition concern, and one which up until now, the European Commission has failed to address.

VAT

Those looking at the VAT issue for the first time would be forgiven for thinking that the press publishing industry was looking for something new and additional in seeking a reduced VAT rate for the digital press. However, this is not the case. As Dr. Fiedler outlines, print editions already have a reduced VAT rate, and these editions rather than being supplemented by digital sales, are being replaced by them. Digital editions are subject to VAT at a higher rate. As digital becomes more and more popular this will lead to a reduced readership, in line with changing reading habits. To protect a free periodical press, this is something that must be addressed in the context of the new digital economic reality.

Need more detail?

Threats to press freedom in a digital world are varied as they are nuanced, and there is no better way to be aware of the issues facing our industry than to delve into Dr. Fiedler’s detailed account of proposed legislative threats on the horizon. To get more in-depth analysis on these issues, and the issues of search neutrality, net neutrality, opt-ins and opt-outs, and media advertising law, read Dr. Christoph Fiedler’s interview in the 2014/15 EMMA magazine here: http://www.pressefachverlag.de/pageflip/Main.php?MagID=1&MagNo=16 or request a print version of the magazine from Communications and Administration Officer Karin Fleming [email protected] .