In a recent development that has sparked intense debate in South Korea’s media landscape, calls for government support of domestic Over-The-Top (OTT) platforms have met with criticism from free market advocates. The controversy highlights the tension between protecting local industries and embracing global competition in the digital age.
Push for Domestic OTT Support
At a recent Media Future Vision Forum seminar, Noh Chang-hee, director of the Digital Industry Policy Research Institute, advocated for policy support for domestic OTT providers like TVING. Noh argued that without such support, the Korean market risks becoming overly dependent on global OTT players.
“It’s rare for a country to have self-sustaining OTT businesses producing and distributing their own content,” Noh stated. “We need policy measures to support domestic operators like TVING.”
Criticism and Concerns
However, this stance has drawn criticism from various quarters. Critics argue that such protectionist policies could:
- Violate free trade principles
- Potentially trigger trade disputes with other nations
- Unfairly favor large conglomerates (chaebols) that dominate the Korean OTT market
- Stifle innovation and competitiveness in the long run
An industry analyst, speaking on condition of anonymity, stated, “While the intention to protect local industries is understandable, we must consider Korea’s position as an export-driven economy. Protectionist policies in one sector could invite retaliation in others.”
Focus on Content Creation
Some experts suggest that instead of protecting OTT platforms, Korea should focus on enhancing its content creation capabilities. “Korea’s strength lies in producing high-quality content that’s in demand globally,” said Kim Min-jun, a media studies professor at Seoul National University. “By focusing on content rather than platforms, we can leverage existing strengths and maintain flexibility in a rapidly changing digital landscape.”
The Way Forward
As the debate continues, policymakers face the challenge of balancing support for domestic industries with the need to maintain an open, competitive market. The outcome of this debate could have far-reaching implications for Korea’s digital media industry and its position in the global market.
The government has yet to announce any concrete policies in response to these discussions. Industry watchers expect this topic to remain at the forefront of Korea’s media and technology policy debates in the coming months.
2 Comments