Quebecor’s right-leaning all-news channel application not likely to receive guaranteed carriage

Quebecor Media Inc.’s broadcast application for a “must carry” licence to launch a national right-leaning news service isn’t likely to get very far, experts say. “They’re not giving out very many must-carry licences anymore in the digital era,” Gregory Taylor, a broadcasting expert at McGill University, told The Wire Report. “There’s been a real movement away from that.” Sources say Quebecor Media has applied for either a Category 1 broadcasting licence or a Category 2 licence with a request under section 9(1)(h) of the Broadcasting Act for “must-carry” status. Canada’s cable and satellite distributors are mandated to carry Category 1 channels on their digital television services. Most specialty channel applications are made as Category 2 services, which do not obligate cable or satellite companies to carry the channel, forcing the broadcaster to negotiate with distributors for carriage rights. The CRTC grants Category 2 licences more easily than Category 1. Under changes last year to its broadcasting policy, the CRTC said new applicants planning to launch specialty news services should “file their applications as Category 2 services and expect that the standard conditions of licence will be imposed at licensing.” With a Category 2 application, Quebecor could request that the CRTC grant the channel “must carry” status under section 9(1)(h) of the Broadcasting Act, but sources said Thursday that meeting such request would be very unlikely. Industry and regulatory insiders say it is unlikely that Quebecor will be awarded must carry status through either of these routes. If the company’s request for must-carry status fails, it could re-apply for a Category 2 licence, but would have to negotiate with distributors to carry the channel. Sheridan Scott, a partner with Bennett Jones LLP in Ottawa and former head of the Competition Bureau, said the CRTC is relying more on market forces in its regulation of new specialty news services. “They seem to be moving away from , certainly in the context of encouraging more entry in the news genre,” Scott told The Wire Report. Taylor said the licence application—for what is informally being called “Fox News North”—could put the regulator in a difficult position. The Globe and Mail reported Thursday that Kory Teneycke, Prime Minister Stephen Harper’s director of communications from 2008 to 2009, has been the brainchild behind the proposed right-leaning news channel. This week, Teneycke took on the new position of vice-president of business development with Quebecor Media. He is expected to be working closely with Luc Lavoie, former executive with the company and former director of communications to prime minister Brian Mulroney. “Obviously, the government in power will be fully supporting this,” Taylor said. “Much like Fox for the Republican Party, there’s going to be a strong connection between the Conservatives and this station.” Taylor added that the commission could find itself walking on eggshells to avoid a perception that it favours private interests over public interest objectives. The Globe reported that Quebecor Media is courting Ezra Levant, a right wing pundit, to host a program. But Levant said he has not received any offers. Conservative MP Dean Del Mastro, parliamentary secretary to the heritage minister, told The Wire Report Thursday that the proposed channel would not have any ties to the Conservative Party of Canada. “There are all sorts of radio commentators across the country that certainly occupy a similar space to what is being suggested and none of them have close ties to the Conservative Party,” Del Mastro said. Scott said any concerns about impartiality on the part of the CRTC would be overblown. “The CRTC is an arm’s length agency. I don’t think anybody has ever accused them of being anything other than an arm’s length agency,” she said. “I think the CRTC’s record on that front has been good.” Several media experts say the channel would be a positive addition to Canada’s news media landscape. “Frankly, I’m in great favour of anyone doing something journalistic, and I don’t care whether I agree with it or not,” Howard Bernstein, a media blogger and former producer at CBC, CTV and Global Television, said in an interview. Bernstein said he would welcome the new channel as long as it reported the news accurately. “When someone says it’s ‘Fox-like,’ if that means right wing, no problem. If Fox-like means having a poor relationship with the truth then obviously there’s a problem,” he said. Jerry Chomyn, director of broadcast media at Humber College in Toronto, said the application makes good business sense: It would tap into an underserved market. “I think it’s more of a business decision than any kind of a theological decision. They see an opening … and they’ve defined a market that is underserved in Canada,” he said. Taylor said the cost of launching an all-news channel could be considerable. “You should recognize the incredible expense of starting up something like this. If this were to get approval, and if it does not get must-carry, it’s a big investment for not huge ratings in this country,” he said. Bernstein said he believes the service would opt for more opinion shows with conservative commentators and shy away from producing expensive, hard news programming. The CRTC has not yet released the licence application, which was submitted late last week. -With files from Simon Doyle jmigneault@thewirereport.ca

Quebecor’s right-leaning all-news channel application not likely to receive guaranteed carriage

Broadcast | June 10, 2010

Unlock all the Canadian telecom, broadcasting and digital media news you need.

FREE TRIAL

SUBSCRIBE

Inside The Wire Report

Information

Hill Times Publishing

Get in Touch With Us