Aviva Silver, DG INFSO European Commission

Digital revolution Sound in the 70’s Post-production chain Production: new cameras, low-budget films Distribution: online and in cinemas

Online Distribution Convergence New platforms: VOD, IPTV, mobile… Circulation of European works easier and cheaper but business model? multi-territory licensing?

Digital cinema distribution = opportunity for more diversity because distribution costs are lower and programming will be more flexible = risk because huge cost for exhibitors, could lead to dual market and closure of cinemas

VPF deals = market solution to make distributors contribute to the equipment of cinemas More adapted to multiplexes and multi- screen cinemas with high turnover No European distributor has signed to date

Policy concerns Only 20,000 out of 30,000 cinemas in Europe could have access to VPF deals Public intervention therefore necessary At all levels: local, regional (ESF), national and European (MEDIA)

MEDIA 2007 OBJECTIVES To preserve and enhance European cultural diversity To strengthen the competitiveness of the European audiovisual sector (film, TV and new media industries) To increase international circulation of European audiovisual works

DIGITAL DISTRIBUTION OBJECTIVES To encourage the European audiovisual industry to adapt to new developments in digital technology. To support the creation and exploitation of catalogues of European works to be distributed digitally across borders to a wider audience

DIGITAL DISTRIBUTION 2 types of services /2 different types of audience - Video on Demand (VOD) services / Business to Consumers - Digital Cinema Distribution (DCD) / Business to Business

DIGITAL DISTRIBUTION TARGET GROUP  consortia and platforms Right holders (independent production and distribution companies) European operators making European content available (NO broadcasters/telco) Cinema networks (DCD)

MEDIA VOD PROJECTS 2d call (2008): 17 projects (€ 5,76 m) 3d call (2009): 13 projects (€ 5,4 m) Supported platforms: The Auteurs Europe, Shortz! (for mobiles), Filmin, UniversCiné, FIDD, Doc-Air, mk2vod …

DIGITAL CINEMA DISTRIBUTION Limited number of digital screens, limited number of applications Two projects supported: Europe’s Finest (catalogue of 50 classics) and European Digital Cinema Library (with Europa Distribution)

OTHER MEDIA SUPPORTS Training activities in the field of digital technologies (Media Salles…) Development support for interactive works: focus on multi-platform programmes Two pilot projects to develop local cinema communities with web-based techniques

NEXT STEPS Group of experts Public Consultation Communication MEDIA support scheme

GROUP OF EXPERTS Made up of distributors, exhibitors, rep from film agencies Forum and think tank on possible MEDIA actions 3 meetings already, next meeting in December

PUBLIC CONSULTATION To be launched this week! « On Opportunities and Challenges for European Cinema in the Digital Era » Questions addressed to professionals and Member States/public organisations All stakeholders invited to participate

COMMUNICATION Policy document of the Commission To be based on consultation documents + feedback from respondents To be adopted early next year

MEDIA SUPPORT SCHEME For cinemas screening a large share of European (non-national) films Two options: to support equipment or so-called « associated » costs To be launched next year (initial budget of € 4 m earmarked for 2010)

THANK YOU FOR YOUR ATTENTION! For more information: edia/newtech/index_en.htm