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Mark Jennings, co-editor of online news platform Newsroom, and former head of News at TV3, has penned an article on Discovery’s plans for TV3.

As Jennings writes, after Discovery’s merger with WarnerMedia., TV3 is now part of the second largest media business in the world after Disney. That in itself is a serious game changer for New Zealand.

TV3 has had an up and down history, moving from private ownership into the Canadian-owned hands of media conglomerate Canwest, before shifting to private equity ownership with Ironbridge Capital and then Oaktree Capital Management. It’s financial fortunes also swung about, going from high profitability before plunging twice into receivership.

TVNZ and SKY in more recent times have kept TV3 impoverished but no longer.

Already the owner of NZ’s Choice TV and HGTV and with six of its own channels on the SKY service, Discovery has, as Jennings points out, brought its might to bear on acquisitions by driving down the prices it pays for content for TV3. With staff cutbacks and other efficiencies, AUNZ GM for Discovery Glen Kyne told Jennings that the channel will be looking to more domestic shows as it competes with TVNZ and Prime in the domestic free-to-air market for viewers.

But what kinds of shows are they after? Kyne didn’t exactly reveal what they are looking for.

In April Juliet Peterson, former GM TVNZ Digital Content, was appointed as Senior Director, Programming at Three, while Australian Darren Chau was appointed Senior Director, Production. Chau has been in New Zealand recently having meetings with some New Zealand producers. Undoubtedly, others have been banging on Juliet’s door. They are certainly looking for ideas.

With its merger with WarnerMedia, Discovery has moved from reality and factual into scripted film and TV as well, with an annual US$20 billion commissioning chest—bigger than Netflix’s. There has been speculation as to whether or not the new CEO of the combined organisation, David Zaslav, is going to adapt when it comes to scripted. This could well play out in TV3’s commissioning stance.

Supposedly, Three is looking for NZ content that can travel internationally as well. It will be interesting to see, though, whether or not the network will continue to rely primarily on NZ On Air and NZ Screen Production Grant funding to get content made in New Zealand. Hopefully, they’ll ante up more than low license fees and become equity investors in NZ shows that could go on one or more of the international distribution channels the newly-branded Warner Bros. Discovery conglomerate owns.

Will it be new beginnings for NZ’s free-to-air market or just more of the same? Watch this space.

 

Tui Ruwhiu
Executive Director

 

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With the Big Screen Symposium about to kick off tomorrow, it’s yet another recent event at which to be thankful for, for our Government’s response to COVID. We can gather in big numbers will little concern for the spread of the virus, while in many other places around the world the statistics of COVID sickness and death are horrific. I was extremely pleased to hear yesterday that our Trans-Tasman cousins can now travel interstate, relatively freely.

 

And talking of our Aussie cousins, we have a new head at the Australian Directors’ Guild in Alaric McCausland. Alaric has a screen executive background in Australia and internationally, bringing a slightly different focus over his last two predecessors. As always, DEGNZ seeks a strong relationship with the ADG, with my first call with Alaric cordial, informative and supportive.

 

NZFC, NZ On Air and TMP obviously got more feedback than they bargained for in regard to the Premium Productions for International Audiences Fund. They are now late in getting the final criteria out—perhaps they will show at BSS. I have to imagine the number of applications to the fund is going to be as voluminous as the feedback was.

 

I heard yesterday that TV3 is now officially in the hands of Discovery. A Stuff article here. Being run as an Australasian service, it will be interesting to see what opportunities come for local content makers in the trans-Tasman tie, with Discovery’s global network and the planned launch of a streaming service here making for exciting possibilities.

 

Over at Sky they’ve got a new CEO in Sophie Moloney. Martin Stewart wears the blood splashes of his restructuring as he heads back to the UK, and Moloney offers an experienced, friendly, female and kotahitanga approach as she takes Sky forward. Unity is certainly needed in an organisation reeling from job losses.

 

TVNZ’s GM Local Content Nevak Rogers came with Drama and Scripted Comedy Commissioner Steve Barr to talk to our Emerging Women Filmmakers participants at their fifth and final workshop. Nevak was pleased to tell me that TVNZ is now spending around $100 million on local content, which is besting the highest spend during the Charter years at TVNZ. For those not old enough to know what the charter was, this from Wikipedia:

 

The Labour Government introduced a “TVNZ Charter” in 2002. This was a list of objectives for TVNZ which specified it must broadcast a wide variety of New Zealand-made content; the broadcaster was given public responsibility to provide news, drama, documentaries and “promote understanding of the diversity of cultures”. In 2008 the Government announced that the broadcaster was to become “more public-service” like. TVNZ responded by launching two commercial free channels; TVNZ 6 and TVNZ 7. By 2011 Prime Minister John Key announced the closure of these channels. 6 in 2011, and 7 in mid-2012, with much of their content put into TVNZ Heartland and TVNZ Kidzone24 which are only available behind a Sky TV paywall. The National Government abolished the Charter in 2011. Political opponents accused the Government of reducing TVNZ’s commitments as a public broadcaster.

 

Just this week at the NZ On Air end-of-year function, Broadcasting Minister Chris Faafoi reaffirmed his commitment to public broadcasting via a video address. Back in October, Faafoi announced that the TVNZ – RNZ merger discussion was back on the table. The partially completed and partially redacted PWC consultant’s report released in September, however, didn’t outline the benefits of combining the broadcasters into a single entity or state how TVNZ or RNZ’s services would change if the proposal was approved. Just what is going to happen and when seems entirely open to discussion. Dealing with COVID and its impacts provides wonderful cover for doing nothing for quite a while yet. Let’s hope something good comes of it sooner.

 

Finally, the DEGNZ Workflow Best Practice Guide, driven by board member and  long-time, drama and documentary editor Annie Collins, continues to win rave reviews. If you want to save your production time and money and yourself stress, become very familiar with the content, available on our website here.

 

Tui Ruwhiu
Executive Director

 

 

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There are a few key unresolved issues in our sector and we are sitting on our hands waiting for action. The transformation of TVNZ into a proper public broadcaster is one. Then there’s the Screen Industry Worker Bill that will allow contractors to engage in collective bargaining. Another, the underwriting insurance needed to get the domestic film industry up again.

I know there is an election on, but we are still some ways away from the transformational change needed to get going properly, as well as grasp the opportunities on offer in the new world we are in.

In the UK, the new Director General of the BBC is moving rapidly to address the challenges there. Amongst them the COVID-19 pandemic, lack of diverse representation, political pressure, pay disparity, technological disruption, the emergence of competing news outlets, a battle to maintain relevance and the threat to the licence fee. A number of his changes will undoubtedly prove unpopular as he drives the organisation to be leaner and more commercial as well.

Yet here we sit still waiting for the Government to address the public broadcaster issue. It was December last year when Broadcasting Minister Kris Faafoi proposed merging TVNZ and RNZ. In January, he presented a revised plan and was asked for a business case due last month. Meanwhile, streamers have become the new global studios, YouTube has become the most popular source of video content in New Zealand, and TVNZ continues to lose money. The only wait that’s been blessedly terminated is what’s happening to TV3. The good news is Discovery’s acquisition of some of Mediaworks assets including the network—perhaps the first time in the channel’s history that it’s going to have real money in the bank to draw on.

Starting in 2018, the Film Industry Working Group toiled for months to unanimously come up with recommendations to help shape the Screen Industry Worker Bill. This extended process together with the time to draft the Bill, the Select Committee submissions and the interruptions caused by COVID mean we have to accept there will be no passage of the bill into law prior to the election. We are now faced with its fate hanging on the election result. Even after all the Select Committee submissions were predominantly in support of the Bill, National continue to oppose it. They will throw it out if they come into power. Accepting the rejection of the Hobbit Law they were responsible for putting in place would obviously be too much for them.

Perhaps the biggest stumbling block for the industry right now is the lack of commitment from our Government to underwriting the local film industry, replacing the insurance companies who won’t insure for COVID. In June, the Australian Government put in place an AUD$50 million fund to provide financial guarantees because insurance companies are not providing coverage for COVID-19. In July the British government launched an emergency £500M (US$646M) film and TV coronavirus production insurance fund. NZFC and SPADA have already made representations to Government to underwrite local production. Nearly two months later and we still haven’t heard an answer.

I know that the New Zealand screen sector has received monies to address the impact of COVID. We are all thankful for that. But this underwriting is necessary if any new New Zealand films are going to get made. Here’s hoping we don’t have to wait too much longer to find out.

 

Tui Ruwhiu
Executive Director

 

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We’ve got the elections this year and that means everything is up in the air.

Simon Bridges says he’ll likely reverse the TVNZ-RNZ merger if National gets back into power.

The Film Industry Working Group’s recommendations around collective bargaining for the screen industry could go out the window.

NZ On Air could get an increase in funding… Or not.

There is some certainty in the media space, though. My predictions:

TVNZ will continue to lose money as long as it stays the way it is, no matter how good a job Kevin Kendrick does (and by all accounts he’s doing a good one).

TV3 will face the same uncertain future it has since it started in 1989, even with a new owner.

The NZ Screen Sector Strategy 2030 will… do something good, bad or indifferent (industry bets seem to be on either of the latter two at the moment).

NZ On Air will have a new CEO shortly—whether it’s a great opportunity for someone new to make a mark or a hospital pass will come clear by the end of 2020.

And the rest of the world, including Australia, will keep capitalising on the demand for internationally-focused TV drama produced locally.

At DEGNZ, it’s very much steady as she goes.

We have a strong board in place who are highly proactive around key issues for us and the industry.

Our focuses strategically will be copyright, collective bargaining legislation, post-production workflow and training, and keeping an eye on the vocational education work being done by various entities, which will get a lot of attention in 2020. There are, of course, always unexpected developments that need a response and we’ll stay alert to these as the need arises.

As a union now affiliated to the Council of Trade Unions, we will have an opportunity to sharpen our skills and knowledge with them in preparation for negotiations should the collective bargaining legislation go through.

We’ll continue to provide membership services including our professional development programme, thanks to the financial support of NZFC, the Vista Foundation, the Australian Screen Directors Authorship Collecting Society, accounting firm VCFO, and with the support of Resene, Event Cinemas, Rialto Cinemas, Dominion Law and Handy Training Online.

We’ll maintain our partnerships on various activities with the NZ Writers Guild, Equity NZ, SCGNZ, NZAPG, SPADA, WIFT, Ngā Aho Whakaari, NZCS and look to forge a relationship with the newly-formed PASC.

DEGNZ is committed as we always say to ‘the creative, cultural and financial well-being of New Zealand directors and editors’.

With the shake-ups in our domestic screen industry scene including more SVODs coming online, and on the international stage with Brexit, the U.S. elections, and the novel coronavirus, we hope that you will join with us as we head into what is undoubtedly going to be a tumultuous 2020.

 

Tui Ruwhiu
Executive Director