The European Union has reached a preliminary deal that will allow countries to force streaming services to help fund European TV and film productions.
The law includes a quota of 30 per cent for European productions on video-on-demand platforms.
EU member states will also be able to require streaming services not based in that country but targeting their audience to contribute financially to the production of European works, such as by directly investing in them or paying into national funds.
How much the SVoD platform will have to pay in each country will be proportional to the on-demand revenues in that state.
The law also requires video-sharing platforms like YouTube and Facebook to take measures against content “inciting violence, hatred and terrorism.”
Online platforms will need to create a “transparent, easy-to-use and effective mechanism to allow users to report or flag content.”
“These new rules reflect digital progress and recognise that people now watch videos in different ways than before,” Andrus Ansip, the European Commission’s VP for the Digital Single Market, said. "They encourage innovative services and promote European films — but also protect children and tackle hate speech in a better way.”
The negotiations will officially conclude in June, the proposal will then need to be approved by the European Parliament and EU member states.