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The EU might force Netflix to devote 20% of its catalog to European content

FILE - In this Friday, Jan. 17, 2014, file photo, a person displays Netflix on a tablet in North Andover, Mass. Amazon is taking on Netflix and Hulu with a stand-alone video streaming service. Starting the week of April 18, 2016, customers can pay $8.99 a month to watch Amazon’s Prime video streaming service. Previously, the only way to watch Prime videos was to pay $99 a year for Prime membership, which includes free two-day shipping on items sold by the site. The video-only option won’t come with any free shipping perks. (AP Photo/Elise Amendola, File)
AP Photo/Elise Amendola
More European originals coming soon?
By Alice Truong

Deputy editor

Published This article is more than 2 years old.

Changes to the European Union’s broadcasting rules could force Netflix to devote a fifth of its streaming catalog to European content in an attempt to create “a more level playing field” for works from the region, according to a draft of the proposal obtained by the Daily Mail.

The body is reportedly getting ready to unveil a new plan on May 25 that would impose quotas to ”ensure adequate prominence” of European shows and movies on streaming services like those from Netflix and Amazon.

Though the Computer and Communications Industry Association, of which Netflix is a member, is against imposing cultural quotas, it might not have a major impact on Netflix’s catalog. A European Commission study found that European movies make up 27% of films on streaming services overall and 21% on Netflix.

However, another stipulation from the proposed rules could have wider implications. According to the draft, member states could mandate streaming services based outside their countries to “contribute financially to the production of European works, including via direct investment in content and national funds.” Currently, European broadcasters spend about 20% of their revenue on European content versus 1% for streaming services.

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