ABC slams Sky’s vision for news

THE ABC has panned the Sky News plan for an international news platform called the Australia Channel.

THE ABC has panned the Sky News plan for an international news platform called the Australia Channel that would rival, and potentially replace, its Australia Network, if it is cut in the budget.

Sky News is planning to launch, within months, a five-channel news service, delivered via IPTV or internet-based television, to broadcast news, business, political and sports content to 180 countries, including China and the Middle East.

The service will not cost taxpayers a cent, unlike the Australia Network, which has $223 million in funding over 10 years.

ABC spokesman Michael Millett yesterday strongly criticised the venture, after The Weekend Australian reported that Sky’s New Australia Channel would make the Australia Network ­obsolete technologically and distribution wise.

Mr Millett said an IPTV channel service would be no substitute for what the public broadcaster now delivered for its audiences internationally and in Australia.

“Australia Network is a multimedia platform that leverages the ABC’s close relationship with broadcasters in a range of countries to deliver a comprehensive communications infrastructure. That includes an IPTV service in locations where it is effective,’’ he said, referring to the ABC’s new content deal with China.

“But an IPTV service on its own must compete with thousands of similar services delivered over the internet. Given it would be based in Sydney, success would depend on Sky’s ability to attract local regional partners to generate promotion and audi­ences. In China, unquestionably the most important market for promoting Australian diplomacy and business, the service would be one of thousands trying to ­attract audiences from outside the firewall.”

Pointing out further problems with Sky’s plan, Mr Millett said in many Asian and Pacific markets the high speed broadband infrastructure cannot cater for an IPTV service.

“Australia Network can take advantage of its superior infrastructure and broadcast relationships,’’ he said.

It is understood that while Sky’s proposal is primarily based on IPTV, traditional distribution could be implemented in the markets where IPTV is not read­ily accessible.

The Australia Network had a breakthrough last week when it negotiated a deal with the Shanghai Media Group, where its content can be delivered behind the mainland China firewall, giving it the most extensive access to Chinese audiences by any Western broadcaster.

Mr Millett claimed the relationships the ABC has developed internationally “will be impossible to replicate”.

“Partnerships include CCTV, the major TV and radio networks in Beijing, Shanghai and Chengdu as well as China Daily, Sina and Tencent,’’ he said.

Sky News management, while unwilling to divulge details of a proposal, said it was unlikely any deal the ABC had done in China would exclude others from doing similar deals in that market.

The source also stressed that the Australia Channel had a very strong business and trade focus, something the ABC had not leveraged for the Australia Network in any significant way.

The new proposal by Sky News has come to fruition in the past four months, and the idea first arose when the Gillard government knocked back its Australia Network contract tender.

The five channels will include parliamentary proceedings, a dedicated international business channel and a 24-hour sports channel, with all content 100 per cent Australian and produced locally. Sky has yet to reveal how the service will work, but a subscription model is one option being looked at.

ALP communications spokesman Jason Clare said: “Australia’s future is tied to Asia and any decision by Sky News to expand into Asia is welcome.”