 BRAZIL | CASE STUDY |
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| Brazil: Unprecedented Evolution |
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In an industry with stock movements, business structures and preventive national content lineups; telcos jump at any new opportunity. Dynamism reaches an all-time high in Brazil. [Part 1]
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A thriving economy with lower demographic segments that continue to bolster the demand for pay TV. A mature industry with great penetration potential that has yet to be fully exploited. A new legal scenario to adapt to, increased competition, the FIFA Confederations Cup, the FIFA World Cup, the Olympics… there's a lot going on in Brazil.
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"Starting September 1, we'll have an hour and ten minutes of Brazilian content in all pay TV networks. And we'll have one Brazilian channel with qualified timeslots out of every 9 channels in the packages. By September 13, we'll have 2 hours and 20 minutes of Brazilian content a week and one channel for 6. And, as of September 13, it will be 3 hours and 30 minutes a week on all channels, and a Brazilian channel our of every 3," said Manoel Rangel, president of Ancine, as he explained the agency's ruling in regard to the new pay TV law.
The first changes are already noticeable in certain channels' lineups, in some programmers' structures, and in the new production and distribution strategies: "We have a great demand for content and need professionals fit to do the job, considering the content as a product," said Carla Ponte, production supervisor at Discovery Networks LatAm/USH.
This statement is directly related to one of Ancine's main goals behind the new law: to professionalize Brazil's independent production market. The tension generated between programmers and producers is evident: the first demand more professionalism and less focusing on "authorship", while the latter demand more information and guidance to adjust to their needs. As Ink's Paulo Schmidt said recently: "the Brazilian market is getting ready to go through fifty years in only five."
Still, there are other players who question whether the law actually promotes professionalism. "The way to professionalize and industry is the exchange of information and communication. And the law censors our involvement in the projects," said Anthony Doyle, VP of Turner Brazil. Another controversial aspect of the new law now surfaces: Ancine's new power to oversee the industry's operations.
(This article will be continued on Tuesday, July 30)
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Where Everything Grows
