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Germany’s PSB going online – is there an economic justification for Public Service Media online?

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  • Nadine Lindstädt

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    (Department of Environmental and Business Economics, University of Southern Denmark)

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    Abstract

    Public Service Media (PSM) online is a highly up to date topic. There is no clear consensus among researchers if Public Service Media should have a le-gitimization online and if so to which extent. Some authors still demand for an extensive role of public service provision in the digital era whereas others either argue against PSM on the internet at all or assign them a restrictive and complementing function at the most. The question has furthermore concerned the European Commission as well as several Member States for many years now. Public service broadcasters have been accused of distorting competition online – an area that up to then seemed to have worked being left to the market. Though the extension of public service providers towards the internet is legitimized by the European Commission it seems appropriate to analyze if there is a true economic justification for having Public Service Media online and if so to which extent. This article contributes to enter into that question against the background that the traditional public service broadcasting system (i.e. television and radio) is taken as given and unchangeable for the analysis. The paper thereby waives to repeat the fundamental discussion of pros and cons of public service provision and, instead, concentrates specifically on elaborating possible cross-media effects.

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    Bibliographic Info

    Paper provided by University of Southern Denmark, Department of Environmental and Business Economics in its series Working Papers with number 102/10.

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    Length: 103 pages
    Date of creation: Sep 2010
    Date of revision:
    Handle: RePEc:sdk:wpaper:102

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    Keywords: media economics; two-sided markets; competition; public service broadcasting; public service media;

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    1. Machiel van Dijk & Richard Nahuis & Daniel Waagmeester, 2005. "Does Public Service Broadcasting Serve The Public? The Future Of Television In The Changing Media Landscape," Working Papers 05-13, Utrecht School of Economics.
    2. Shaun P. Hargreaves Heap, 2005. "Television in a digital age: what role for public service broadcasting?," Economic Policy, CEPR & CES & MSH, vol. 20(41), pages 112-157, 01.
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