What is SVOD reporting and how does it affect the shows available on streaming services?

In Plain English

SVOD reporting is a requirement for certain streaming services (called "regulated SVOD services") to provide information to the ACMA (Australian Communications and Media Authority) about things like how much money they make in Australia, how many subscribers they have, and how much they spend on making or buying Australian programs. This reporting helps the government keep track of the streaming industry and make sure these services are investing in Australian content.

If a streaming service is considered a "major SVOD service" (meaning it has a lot of paying subscribers and offers a significant amount of eligible programs), it becomes a "regulated SVOD service" and has to meet certain requirements, including spending a certain amount of money on Australian content. This can influence the types of shows available, as these services may need to invest in more Australian dramas, children's programs, documentaries, arts programs, or educational programs to meet their spending obligations.

Detailed Explanation

The Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025 outlines the requirements for Subscription Video On Demand (SVOD) services operating in Australia.

SVOD Reporting Year: This is defined in the Act as either the financial year or the calendar year in which Part of the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025 commences, and each subsequent year.

SVOD Service: Defined in section 121FX of the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025, an online content service is considered an SVOD service if it meets the following criteria: * It has paying subscribers in Australia. * It offers a catalogue of audiovisual content available on demand to those subscribers. * Providing audiovisual content on demand to paying subscribers is a primary or significant purpose of the service.

Major SVOD Service: According to section 121FY of the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025, a service is considered a major SVOD service if it passes the following tests: * SVOD service test: The service is an SVOD service at any time during the reporting year. * Program test: A significant portion of the audiovisual content available on the service that is likely to appeal to the Australian public consists of eligible programs at any time during the reporting year when the service is an SVOD service. "Eligible programs" are defined in section 121FV of the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025 as drama, children’s, documentary, arts, and educational programs, but excludes news, sports, and advertising. * Paying subscriber test: The service has at least 1 million paying subscribers in Australia at any time during the reporting year when the service is an SVOD service.

However, section 121FZ of the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025 states that a service is not a major SVOD service if it is an excluded service. An excluded service is one where: * The audiovisual content is predominantly user-generated. * The service's appeal to the Australian public is limited because it targets special interest groups, is intended for limited locations, is provided for a limited period or special event, or predominantly provides programs of limited appeal.

Regulated SVOD Service: As per section 121FZA of the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025, a major SVOD service is a regulated SVOD service for any SVOD reporting year for which it qualifies as a major SVOD service. Once a service is classified as a regulated SVOD service, it remains so until it ceases to be one under section 121FZB of the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025.

Total Program Expenditure for Australia: Section 121FZN of the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025 defines this as the total expenditure incurred by the service on eligible programs that are, or are intended to be, provided on the service in Australia. This includes commissioning or acquiring eligible Australian programs, licensing eligible programs, and other expenditures reasonably attributable to providing the programs in Australia.

Annual Reports: Section 121FZO of the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025 mandates that providers of regulated SVOD services must submit annual reports to the ACMA within 45 days after the end of the SVOD reporting year. These reports must include information on: * Compliance with the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025 * The service's qualifying expenditure amount * Total program expenditure for Australia * Revenue derived from Australia * Number of paying subscribers in Australia * Acquittal of expenditure requirements

Failure to provide these reports can result in civil penalties, as outlined in section 121FZP of the Communications Legislation Amendment (Australian Content Requirement for Subscription Video On Demand (Streaming) Services) Act 2025.