[THE INVESTOR] Korea’s media regulator is planning to set up an independent organization to improve the TV license fee system of KBS, a state-run broadcaster, which will likely include a measure to charge smartphone users.


The Korea Communications Commission will form an independent group dedicated to assessing the financial structure of state-run broadcaster KBS and improving the broadcasting firm’s TV license fee system, according to a briefing reported to the National Assembly on June 20. 

The group comprising eight external experts in law, management and media will hold a monthly meeting to examine the roles of governments, boards of state-run broadcasters, and legislative bodies, in other nations including the UK and Sweden, and their rules to collect TV license fees, such as a range of devices on which fees are levied.

The commission is mulling handing over the authority to set TV license fees to an independent organization as in the case of Germany.

In Germany, an independent auditing commission, dubbed Kommission zur Ermittlung des Finanzbedarfs der Rundfunkanstalten (KEF), evaluates the financial requirements of the nation’s TV and radio stations and suggests a licensing fee to the state parliaments.

The KEF consists of 16 members recommended by each German state.

The commission is also considering license fees on mobile devices sporting TV tuners as part of its efforts to improve the system. The devices, which will be affected by the new rule if established, include computers, smartphones, and territorial digital multimedia broadcasting devices.

“The TV license fee of KBS has been set at 2,500 won ($2.20) for the past 35 years, which has caused a dramatic drop in ad revenues,” said the KCC adding, “Infrastructure investments for ultra-high definition broadcasting and increased production cost has been undermining KBS’s financial stability."

By Kim Young-won (wone0102@heradlcorp.com)