Streamers press pause on local content

TV producers are concerned that investment in Australian content is drying up. The streaming platforms deny this, but industry data backs producers’ claims.

Travis Fimmel as Lyle Orlik and Phoebe Tonkin as Frances Bell in Boy Swallows Universe. Picture: Netflix

Local TV producers are fearful that global streaming platforms are backing away from Australian content as they come under heavy pressure to cuts costs in an increasingly competitive industry.

After a burst of activity in recent years, Screen Australia reported in December that screen expenditure had dipped by 29 per cent in FY24, and industry figures aren’t convinced that the downturn has reached its nadir.

The Australian spoke to a number of producers on condition of anonymity so as not to jeopardise current or future relationships they might have with the likes of Netflix, Disney+ or Prime Video.  Some say streaming platforms “went big” on local commissions three years ago to slow or stop the introduction of local content quotas, which appear to be off the table for now.

“It is fair to say there has been a slowdown in local commissions,” said one major producer. “It is getting tougher,” said another.

One successful Sydney-based producer with a global audience explained: “It feels like the tide has been turning. It’s not unrelated to a slump in US production, which is having a trickle-down impact here and elsewhere, including the UK.”

Producers believe the previous US ambassador, Caroline Kennedy, was lobbying the Australian government against the introduction of a local content quota.

Former US Ambassador to Australia Caroline Kennedy. Picture: Martin Ollman

Screen Producers Australia noted the US Motion Picture Association has been lobbying the Trump administration regarding quotas, claiming the proposal is against the spirit of the free trade agreement between the countries.

Local content quotas for streaming services have been discussed since the arrival of Stan and Netflix in 2015, as they challenged FTA TV dominance.

Over the past decade, Coalition and Labor governments have spoken of the need to incentivise streaming platforms to invest in Australian productions.

Most recently, the planned implementation of a scheme on July 1, 2024 was aborted. The idea then was a mandate that 10 per cent of content expenditure had to be spent in Australia.

Regarding a quota, SPA chief executive Matthew Deaner told The Australian: “The case for action on this is crystal clear and should have occurred when these platforms first emerged. These digital platform businesses are now a dominant and influential arm of the global film and television industry, keenly resist regulation, and are not afraid to throw their weight around.”

Some see one major fault of the proposed quota is the free kick it gives YouTube. Although it is a user-generated platform, YouTube, like the other streaming services, uses the NBN as a distribution mechanism for free. The broadband network cost taxpayers more than $50m.

The Australian asked some of the streaming platforms for confirmation of their local content strategies.

Newcomer Max revealed it hasn’t any local commissions planned yet, meaning it could be two years or more before subscribers come across an Australian drama on the platform.

Netflix has made a significant investment in the local industry in recent years, with audiences engaging with Heartbreak High, Boy Swallows Universe, and Apple Cider Vinegar.

But some producers worry that might be drying up.

Boy Swallows Universe author Trent Dalton (right) on the red carpet at the AACTA awards. Picture: Annette Dew.

A Netflix spokesman explained the platform maintains an appetite to invest in Australian content. Still to come this year is another crime-mystery set in a Tasmanian beachside location, The Survivors, plus the comedy Son of a Donkey.

There is also a big drama commission about to be announced. Netflix wouldn’t confirm if that project is a retelling of the Australian classic My Brilliant Career.

Some producers thought Disney+ was the least active of the major players. Recent focus has been on the introduction of sports content via ESPN, yet Disney+ has in the past commissioned The Clearing, The Artful Dodger and Last Days of the Space Age.

Prime Video had a huge catalogue of Australian content running the gamut from live sport (cricket and swimming), to documentary (three seasons of The Test) to drama (the forthcoming The Narrow Road to the Deep North, plus Deadloch, and The Lost Flowers of Alice Hart). Yet there is concern that it has taken a foot off the production pedal.

Despite a continuing impressive local slate at Nine-owned Stan, some producers are concerned that strategy might not last. Stan has an acting CEO, and the former Foxtel executive Amanda Laing is arriving soon to oversee all TV and streaming at the group.

Stan chief content officer Cailah Scobie said there was no cause for concern: “Stan is proud to be the largest commissioner of Australian scripted content. Stan remains committed to championing the local industry and its exceptional creatives and delivering premium scripted content for Australian and global audiences as well as our international partners.”

At its recent 2025 showcase event, Stan revealed 14 new originals had been commissioned, alongside 12 originals still to ­premiere.

It is hard to tell which political party would be quickest to regulate streamers. Mr Deaner just wants it to happen: “Securing an investment obligation for local content production by streaming platforms is the highest priority for government action.”