Last Thursday, PlayRight took note of the ruling by the Constitutional Court on the French Community’s Media Decree. These rules require TV channels and streaming services to invest in local films and series. In practical terms, this means that companies such as Netflix and Disney must use a portion of their revenue in Belgium to support the local audiovisual sector. The higher their turnover in the region, the greater their contribution. They can do this by investing directly in productions or by contributing money to a fund for film and audiovisual projects.

In 2023, these rules were tightened. For the largest players, with a turnover of more than 150 million euros, the maximum percentage they must contribute rose from 2.2% to 9.5%, which is a significant increase. It is therefore not surprising that Netflix and Disney protested against this. They considered the new contribution too high, certainly in comparison with other European countries, and pointed out that the market in the French Community is relatively small.

The Constitutional Court largely rejected this criticism and confirmed that these higher, progressive contributions are permitted. According to the Court, they are intended to protect and promote local culture and language, and are therefore justified. However, the Court has referred a number of questions to the European Court of Justice regarding exactly how the rules should be applied. These questions do not concern the level of the contributions themselves, but their practical implementation.

The media decrees were introduced to breathe new life into local productions in an increasingly globalised industry. With its ruling, the Court confirms the importance of local talent and the need for investment.

According to Christian Martin (chairman of PlayRight), “the Constitutional Court has confirmed that the investment obligations are indeed intended to safeguard cultural and linguistic diversity and that these are proportionate to the French-speaking Belgian market. These new investments in local productions offer new opportunities and visibility for our performing artists (actors and musicians) and make it possible to increase the distribution of local films and series on these streaming platforms”.