THE TREASURYKritohutohu Kaupapa Ra\a

IN CONFTDENCE

Weekly Status Report for the

Minister of Broadcasting, Communications

and Digital Media

BR 2018t411

Week beginning: 25 June 2018

Weekly report for lhe Minister of Bmadcasting,Communications and Digital Media

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1 ltems for Decision

None this week.

2 ltems for Discussion

None this week.

3 ltems for lnformation

3.1 | Progressing the Digita! Audio Broadcasting project

. The Ministry met with officials from MBIE on Monday 18 June to advancework on digital audio broadcasting.

. Officials are currently developing research specifications to commissiona study to help determine whether New Zealand should adopt digitalaudio broadcasting technology.

. We will brief you on proposed next steps and timeframes for this projectonce the research specifications have been agreed with MBIE.

Contact: Colin Holden, Manager Arts and Media Policy,

3-2 I Maihi Karauna

. At the Crown/Miori Relations Committee meeting on 26 June, MinisterMahuta will propose to the Committee that rather than approve the draftMaihi Karauna, the Government's new proposed Maori languagestrategy, it should instead go out for public consultation until 30September.

. A report-back to Cabinet is proposed in November which will include afinal Maihi Karauna strategy for consideration; a five year implementationplan; and estimated implementation costs.

. The Ministry is meeting with Te Puni K6kiri and other Maihi Karaunaofficials to clarify what these new timeframes will mean.

Contact: Stefan Corbett, Manager Heritage Policy,

ll.- !,

Weekly report for the Minister of Broadcasting,Communications and Digilal [4edia Week beginning 25 June 2018 2

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Media Developments

4.1 FIFA World Cup coverage in Australia

. Australia's public broadcaster SBS is providing live simulcast televisioncoverage of all World Cup games until the end of the group stage of theCup, after a series of technical errors prevented subscribers to Optusfrom seeing early games online. Optus, a major telecommunicationscompany that also owns sports channels, has Australian broadcast rightsto the 2018 Cup.

. SBS's rescue was to be for 48 hours, to give Optus time to address thetechnical problems, but was then extended. SBS, a free-to-airbroadcaster, was already able to show games involving Australia and aselection of group and knockout games, under Australia's anti-siphoningrules and a prior agreement with Optus.

. The arrangement between Optus and SBS followed an appeal fromAustralian Prime Minister Hon Malcolm Turnbull to fix the problems.

. The technical problems, which have included buffering and brokenconnections, appear to be at least partly related to Optus'sinterconnections with other providers' infrastructure, and may holdlessons for Spark's involvement in broadcasting the Rugby World Cup.

Contact: Colin Holden, lvlanager Arts and Media Policy,

Weekly report for the l\.4inister of Broadcasting,Communications and Digital Media

IN CONFIDENCEWeek beginning 25 June 2018

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42 Use of social media for news declines, says new survey

. The 2018 Digital News Report issued by the Reuters lnstitute for theStudy of Journalism has some significant findings.

. Perhaps most notably, it finds that "the use of social media for news hasstarted to fall in a number of key markets after years of continuous growth"(including the United States, United Kingdom and France).

. This trend is "almost entirely" due to a decline in news consumption viaFacebook (down nine percentage points in the US and 20 points withyounger sections of the population). The decline most likely reflectsreaction to the political scandals Facebook has become involved in, aswell as Facebook's recent policy shift, and algorithmic changes, to"prioritise interactions with family and friends" and ''limit the impact of 'fakenews"'.

. This development is not entirely favourable for the traditional media, asFacebook continues to attract advertising revenue while giving lessprominence to media stories.

. However, other trends noted by the report are encouraging for traditionalmedia: a growth in subscriptions and payment for content, including fromyounger readers, and a high level of trust earned by "brands with abroadcasting background and long heritage", compared with "popular

[e.9. tabloid] newspapers and digital-born brands".. The report can be viewed at:

reutersinstitute.politics.ox. ac. u k/sites/defau lt/files/d ioital-news-report-201B.pdf.

. A summary of key findings is on pages 9-10.

Contact: Colin Holden, Manager Arts and Media Policy, 9(2)(a)

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5 Upcoming Opportunities, Announcements and Events

Opportunity / Announcement /Event Date Status

None this week.

6 Recommended Action

6.1 I Proactive release

. The Ministry will be proactively releasing June status reports on itswebsite at the end of July:

o Agree that the Ministry releases this weekly report once it has beenconsidered by you, with mobile numbers of officials being redactedbecause of personal privacy considerations, and item 3.1 redactedbecause this in an ongoing policy matter; and

" Note that item 3.2 will be released, depending on when the Cabinetpaper is approved and suitable for public release.

Contact: Kim Rex, Manager lvlinisterial Services,

Date: /( tblt(r

Minister of Broadcasting,Communications and Digital Media

Weekly report ior the Minister oi Broadcasting,Communications and Digital Media

IN CONFIDENCE

Hon Clare Curran

Week beginning 25 June 2018

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