Hungary Implements EU Rules for Video-Sharing Platforms
As social media and technology advances, new types of video content services and user experiences are rapidly evolving. The blend of modern content creation and internet services has changed viewing habits, especially for newer generations. Though traditional television remains an important source of entertainment, increasingly, audiences now prefer to consume video-sharing on portable devices.
Video-sharing platforms are a popular medium. These contain a mix of original drama, catalogue titles, documentaries, sports events, live broadcasts, and user-generated content. Since platforms are competing for the same audiences and revenues as other media services, the European Union Council decided to include them in the original Audio-Visual Media Services Directive by passing an amendment in 2018. The council believes that the services video-sharing platforms provide are like traditional audio-visual media and require the same provisions and regulations.
Hungary-European Union members-adopted this directive on May 5, 2020, also defining video-sharing platform service as a standalone service category. The Hungarian Parliament authorised the National Media and Info Communications Authority (NMHH) to govern video-sharing platforms. The NMHH, an autonomous regulatory body has authority to prohibit ‘infringing conduct,’ suspend services for up to one week, impose a fine up to 100 million in Hungarian currency and delete the video-sharing provider from the registry. In line with the Audio-Visual Media Services Directive, providers will take measures to protect:
- minors from content and commercial communication, which may impair their physical, mental, or moral development,
- users from content including incitement to violence, hatred, or discrimination,
- users from content of which the dissemination would be a criminal offense (e.g., content containing child pornography) or incitement to a crime,
- users from user-generated commercial communications infringing on Hungarian media advertising regulation.
To meet the above requirements, the video-sharing providers shall use effective technical tools and procedures such as clauses in the terms and conditions of service, age verification, parental controls, process to report infringing content, user grievance resolution and provision for users to declare commercial communication within the content they upload. Video-sharing providers are also expected to comply with advertisement regulations outlined in the Hungarian Media Act . The safe harbour provisions in the Hungarian E-Commerce Act and the exemption of liability rules for intermediaries are both extended to video-sharing platform providers.
The new framework endorses co-regulation and fostering of self-regulation. Video-sharing providers may be granted authorization to act in a self-regulatory procedure toward its members. Others may submit themselves to NMHH’s co-regulatory regime.
The new rules are effective June 2020. All companies falling under Hungary’s jurisdiction are obliged to register with the NMHH within 60 days. With respect to other obligations, the providers have 150 days to comply. The registration, however, is not a pre-requisite to commence the provision of services.
Authorities across the globe are adapting to changing technology and introducing governing frameworks that suit newer platforms and accommodate the shifting media landscape. The Audio-Visual Media Services Directive in Europe attempts to create a regulatory environment fairer to all participants, including more flexibility in advertising for broadcasters, protecting minors and tackling hate speech in all audio-visual content, better promote European productions and ensuring regulator independence.
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