Hong Kong, September 5, 2008 – Recent reports in Seoul that pay-TV regulator the Korea Communications Commission (KCC) is considering de-regulation of the TV advertising monopoly of the Korea Broadcast Advertising Corp (Kobaco) has been welcomed by CASBAA. Cross-media ownership restrictions are also on the block, although foreign investment caps appear set to remain in place.
Beginning in December 2009, the KCC will permit private agencies to sell advertising time in order “to end the monopoly of a state-sponsored company in the advertising sales market”.
In an official report to newly installed President Lee Myung-bak, Commission officials said they expected the 267.6 trillion won (US$236.2 billion) media market of 2007 to rise to 383.8 trillion won by 2012.
The first step to deregulation should have been taken this month with the licensing of four IPTV operators, including KT and Hanarotelecom.