Annual And Corporate Responsibility Report 2017

Atresmedia operates within an industry that is regulated by the European Union and Spanish legislation. In the regulatory domain, after years of consolidation of the structure of the television market, in 2017 a certain measure of stability has been achieved. One of the challenges to be addressed in future is the allocation of the radio spectrum for television broadcasting. The main laws and regulations affecting Atresmedia’s business are those relating to the radio spectrum, audiovisual media services, intellectual property, and arrangements for payment of royalties to copyright collecting societies. These laws and regulations have undergone the following changes: Radio spectrum regulations In 2017 there was adopted Decision (EU) 2017/899 of the European Parliament and of the Council of 17 May 2017 on the use of the 470-790 MHz frequency band in the Union. This Decision sets the terms for freeing up the 700 MHz frequency band currently used for broadcasting by a range of TDT channels, not later than 30 June 2020. Audiovisual media services regulations The European Commission, the European Parliament and the Council are in negotiations to amend Directive 2010/13/EU, the Audiovisual Media Services Directive, which sets a range of rights, obligations and limits as to advertising, child protection and investment obligations in the course of provision of audiovisual media services. Once the final text is passed in 2018, Spanish law must be adapted to the technological development of audiovisual media operation, video distribution platforms and social media by lending flexibility to some of the current constraints and balancing the rules on the various modes of operation. Intellectual property law Spain’s Ministry of Education, Culture and Sport is promoting an amendment to the Ley de Propiedad Intelectual , Spain’s intellectual property statute, to implement Directive 2014/26/ EU of the European Parliament and of the Council of 26 February 2014 on collective management of copyright and related rights and multi-territorial licensing of rights in musical works for online use in the internal market, and Directive 2017/1564/EU. Arrangements for payment of royalties to copyright collecting societies Effective June 2016 onwards, collecting societies set new general royalty tariffs in accordance with the legislation passed in 2014 and 2015. Atresmedia is negotiating intensively with all the collecting societies to sign agreements that accommodate the new situation in relation to the Group’s radio, television and online businesses. | 34 |  5. WHAT DO WE DO? ATRESMEDIA  |  ANNUAL AND CORPORATE RESPONSIBILITY REPORT 2017