[Asia Economy Reporter Kim Heung-soon] CJ ENM and D'Live, which are in conflict over the increase in program usage fees, failed to reach an agreement at the government's first mediation table. However, with CJ ENM mentioning a 'blackout'?the suspension of channel transmission?the two companies, previously at a deadlock, confirmed each other's positions and left open the possibility of renegotiation in the future.
A Ministry of Science and ICT official stated on the 9th, "The first discussion for mediation was concluded with the attendance of representatives from CJ ENM and D'Live," adding, "It was an opportunity for each side to fully explain their frustrations and claims."
The official added, "Since it was the first mediation and the differences in positions were significant, it was not a situation where an immediate agreement could be expected," and continued, "Both parties agreed to review the other's claims internally and to meet again soon to continue discussions."
CJ ENM, which operates broadcasting channels such as OCN and tvN, requested a 15?30% increase in program usage fees last month from paid broadcasting service providers including Internet Protocol TV (IPTV) and cable TV operators.
Cable TV operator D'Live opposed this demand, calling it unilateral. CJ ENM notified that if negotiations were not concluded by July 17, they would suspend program transmission. Concerned about potential user damage from this, the Ministry of Science and ICT arranged a mediation table for negotiations that afternoon.
The Ministry official evaluated, "Regardless of the set date for transmission suspension, it was meaningful that the two companies, previously at a deadlock, listened to each other's positions and left open the possibility of further discussions."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
