French DTT plan could harm advertising market, says study

The planned launch of six new channels on France’s digital-terrestrial platform could have a negative effect on existing players and the TV advertising model, according to a study by NPA and Havas Media.

The study looked at three possible scenarios that media regulator the CSA might implement: the launch of six free-to-air channels comprising three general channels and three thematic channels; the launch of three general channels, one thematic channel and tow existing digital channels in HD; and – least likely, according to the study – the launch of three free and three pay channels.

According to the study, if the advertising market rises by between 1.4% and 3.4% each year, depending on how quickly economic recovery kicks in, the ad market would not have the capacity to generate the additional €240 million seen as necessary to support six additional free channels.

Tags: CSA, DTT, France