1

Reflection on the Policy of Cross-media Restrictions in

Taiwan from the UK and USs Experience and Development of
Regulation

Abstract

This study discusses cross-media restrictions from two approaches of structural and
competition regulation. It introduces the development and experience of cross-media
regulations in the US and UK, and reviews current rules in Taiwan to provide a
reference for the regulatory authority in Taiwan. This study concludes media
regulation should take both economic effect and public interest into account.
Sector-specific regulation and industry-specific competition rules of UK can provide a
reference for our legal system.

Key Wordsstructural regulationcross-media regulationcompetition regulation

2008
2009

economies of scale
economies of scope

antitrust law
2000

Napoli, 2001public interest

NCC

2009.09.16

NCC NCC

2009.05.27

public service broadcasting

1990
Hitchens, 2006

2001

2009.09.17
public
ideas

Bagdikian, 1990
2001

2008.06.30

NCC
1
2009.05.28 NCC
() ()
2009.06.17
2009.05.28
NCC
2009.09.16

NCC

2009.05.28
1

NCC
2009.06.04
4

20032000AOLTime Warner
2Davidson, 2006
2000.02.01
Thomson
Reuters
2007.05.16
2007.08.01
2009 Comcast
137.5 NBC Universal GE 51% NBC Universal
The New York Times, 2009.12.04

Blackman1998
Napoli,
2001price
Hoskins, 2004
price mechanism

2000

1999
EntmanWildman1992
market economicssocial valuetheory
of market economicsCollins & Murroni,
1996Hoffman-Riem, 1996

public
2

2009 12 9 AOL
12 10 AOL2009.11.18

sphere
19939
Theory of Social Value
Welfare Economics
Theory
Pareto
optimality
social welfare2000

Collins & Murroni, 1996; Hoffman-Riem, 1996

Entman & Wildman,

1992

public interest
Horwitz, 1989

Montanye, 1996Picard

Picard,
1989 / 1994153

pluralism economic well-being and

performanceDoyle , 2002
diversity

diversityplurality
Doyle , 2002
McQuail
McQuail,1992

1999
diversity of output or content

1999
6

media ownership

market power
Doyle , 2002

Moschandreas, 1994

Doyle ,
2002

Scherer & Ross, 1990

Doyle , 2002
Adam Smith market force
Doyle, 2002

Scherer & Ross, 1990

Doyle , 2002

perfect competition

George, Joll &

Lynk, 1992
oligopoly

Doyle , 2002
7

structural regulation
content regulation3Hitchens, 2006

Hitchens, 2006

Picard, 1989 / 1994160-161

cross-media interest

Hitchens, 2006

Hitchens, 2006
Hoffmann-Riem1996structural regulation

external pluralism

Hitchens, 2006Picard1989

Picard, 1989 / 1994Hoffmann-Riem

1996imperative regulation

Hitchens2006competition
law
sector-specific competition rules
competition regulation

behavioral regulationPicard, 1989 / 1994

imperative regulationHoffmann-Riem, 1996

merger rules

industry-specific
competition rules
mergeracquisition
Hitchens, 2006

ex ante
competition regulation

Hitchens, 2006

structural interventionsMoschandreas, 1994

Doyle, 2002

Cross-ownership rules
FCC
Sadler, 2005
FCC 1970 /

Cable/Broadcast Cross-Ownership Rule

/
Radio/TV Cross-Ownership Restriction 1975 FCC
/Newspaper/Broadcast Cross-Ownership Rule
Sadler, 2005Edge, 2008
1970 2002 FCC /

cable system2002
FOX v. FCC /
FCC 1970 Sadler,
9

2005
1970 FCC /

FCC /
Sadler, 2005
1975 FCC /
FCC
1998 FCC
Tribune Company 2002
2002 biennial review of ownership rulesFCC
/Sadler, 2005
1996 1996 the Telecommunications Act of 1996

Sadler, 2005
2009
2003 FCC
Sadler, 20052004
U. S. Court of Appeals for the Third CircuitThe
Promentheus decision FCC FCC
2008
FCC 1996 Sec.202(h)4
broadcast ownership rule
FCC, 2008
2006 FCC
2006 Quadrennial Review
2003 2007
2009

1996 202(h)FCC media

ownership rule
FCC
2004 FCC biennial
reviewquadrennial reviewConsolidated
Appropriations Act, 2004

10

2007 FCC
/ entity 20 designated market
areaDMA

1 DMA
2 DMA 8
major media voices
/ /

1. 20

12
6 21 7

2. 10
2
4

200949-50
FCC
FCC

FCC

sliding scale approach

2008
2009
FCC the public interest,
convenience, and necessity
FCC
Hitchens, 20062009

1990 Broadcasting Act

11

deregulation
policymarket force
diversityHitchens, 2006
1990
Broadcasting Act 20%
ITV 20%1996 Broadcasting Act

15%audience
shareEdge, 2008
2003 Communications Act
2003
Edge, 2008
2003 20%
Channel 3 Channel
3 20% 20%
Channel 3 Channel 3 20
Channel 5
Channel 3
50%
55% Channel 3
points determination
45%Hitchens, 2006
2003
1990
2004
2003 Ofcom

Secretary of State for Culture,

Media and SportOfcom, 2006
2006 12 14 Ofcom
2003

Ofcom
Ofcom (Future of Radio Review)(Collins, n.d. ;
2009)

FCC antitrust laws

Department of Justice, DOJ
12

Anti-Trust division of the Justice DepartmentFederal Trade

Commission, FTC
Sadler, 2005Hitchens, 2006
Sherman Act 1890 1
2 Clayton Act 1914 77A DOJ FTC
2001
20032004
7 7A
2008 7
2003
DOJ FTC 1970
1976 -
-Hart-Scott-Rodino Antitrust Improvement Act 1976
7A

2003
1968

1982
HHI Herfindahl-Hirschman
Index Four-firm
Concentration Rate, CR4
2001
2003
1980 1990 1996

Sadler, 20052009

Merger Regulation

competition thresholdpublic interest testHitchens,

2006

groundsgrounds
2003
Hitchens,
13

2006
2003 section 375 2002 Enterprise Act 2002
section 58 Secretary of State for Business,
Innovation and Skills, BIS 5 public interest
considerationsEdge, 2008Feintuck & Varney, 2006Ofcom, 2009

Hitchens, 2006
2003
the public interest considerationsFeintuck & Varney, 2006
1
sufficient plurality
2
32003 section 319

2003 Department of
Trade and Industry [DTI], 2000
Channel 3 Channel 5
Channel 3 Channel 5 Channel 3 Channel 5
foreign ownership rules
Hitchens, 2006DTI, 2004
1specific genre channels

2
3

Hitchens,
5

Department of Trade and Industry, DTI

2007 DTI
The Department for Business, Enterprise and Regulatory Reform, BERR
2009 BERR Department for Innovation, Universities and Skills, DIUS
BIS http://www.bis.gov.uk/bis-announcement
http://uk.nsc.gov.tw/ct.asp?xItem=0980702026&ctNode=618&lang=C
14

2006

88
20

22 5 2005
18 4 19 3

2005

statutory merger or
consolidationacquisition of assetsacquisition of
stocks
1999

1996
12

2005

15

1996

Telecommunications Act
1996

6 7

2003
Communications Act
2003

2002
Enterprise Act 2002

Doyle , 2002

1934 Communications Act of 1934

1996
Broadcasting Acta
market share test a public interest test72003

NCC NCC

NCC, 2009

15 U.S.C. 18.
1996
Independent Television Commission, ITCRadio Authority, RA
Hitchens, 2006

16
7

2005

sector-specific regulation
2003
2002 Enterprise Act 2002
Feintuck & Varney, 2006
18
19

NCC
2009.05.28

122

2009.12.03

Napoli, 2001
Kahn1988

2003
discretion-based regulation
pre-emptive approach
prescriptive approachHitchens, 2006

17

18

2009.12.03

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http://www.ncc.tw/chinese/content.aspx?site_content_sn=1696&is_history=0
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http://www.nccwatch.org.tw/news/20090917/48142
2004

NSC91-2414-H-004-015
199958141-169
2009

2009.05.287 A8
2009.05.28 A8
2009.06.04

NCC
A8
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2009

19992361-81
19

2009.09.16

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2009 9 17 http://www.nccwatch.org.tw/news/20090917/48061
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