The European Union Parliament has voted to impose a 30% local content quota on Netflix, Amazon and other online streaming services.
Under the terms of a new EU law agreed in Brussels on Thursday, the streaming services will have to fund European TV series and films, either by directly commissioning the content or contributing to national film funds.
The European commission’s original proposal was for a 20% “Netflix quota” but MEPs said that was not enough for protection of local industry from Hollywood and beyond.
The EU is also banning product placement from children’s programmes, although member states can decide whether they want to outlaw corporate sponsorship of under-18’s TV shows.
Advertisers will only be allowed 20% of screen time during the prime-time hours of 6pm to midnight.
But the law has to jump over several procedural hurdles before it is passed, a process not expected to be completed until September.
Meanwhile Screen Producers Australia CEO Matthew Deaner said, “The EU Parliament has recognised the need for a level playing field where both broadcast media and online streaming services are regulated similarly. A level playing field is good for businesses, audiences and industry.”