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News

Canada Media Fund Pledges to Support Digital Content Creation

March 30, 2010

With is scheduled opening on April 1, 2010, the new Canadian Media Fund is promising to support Canadian content and software application development for current and emerging digital platforms.

Some $350 million in funding support will be distributed, officials describe, through two main streams. The combined CMF is funded partly by Heritage Canada, and partly from cable and satellite TV distributors like Rogers, Telus and Bell.

However, critics are already noting that complete rules for the dispersal of funding under the program will not be in place until next year.

The new fund does not represent a new source of cash for the industry, as it unites two existing funds, the Canadian Television Fund and Canadian New Media Fund, but the working pot of funds has been expanded, the government describes.

But It appears that less money will be invested in television production this year and that many independent producers will not have access to funding for their projects, says the country's public broadcaster.

CBC/Radio-Canada President Hubert T. Lacroix reacted to the CMF announcement in a statem ent, saying "We have a hard time understanding how, in the span of a year, the Canada Media Fund has not been able to establish clear rules for achieving the Minister's stated objectives."
The Minister responsible called the announcement an important first step.

"In launching the Canada Media Fund, we've taken an important step towards supporting a truly modern, multi-platform industry and a digital content strategy for Canada. The CMF will allow our industry to do what it does best: create, entertain, and connect with Canadians," said Minister of Canadian Heritage and Official Languages James Moore in unveiling details of the program in Toronto last week. "We must all work together to ensure the Canada Media Fund's success and provide Canadians with exciting content that is reflective of new digital realities."

The CMF will support projects through two streams of funding, an Experimental Stream, which will invest in the creation of innovative content and software applications for eventual integration into mainstream Canadian media platforms; and a Convergent Stream, which will support the creation of convergent television and digital media content.

Through its Experimental Stream, the CMF says it will encourage the development of interactive digital media content and software applications. Eligible applicants will include Canadian-controlled, taxable Canadian corporations with their head office in Canada or Canadian broadcasters. These include television, interactive, and web-based production companies, internet service providers; mobile service providers; broadcasting distributors; private and public broadcasters; and broadcaster-affiliated production companies.

Funding allocated to this stream is $27 million. The maximum contribution per project is 75% of eligible costs or $1 million, whichever is less.
Through its Convergent Stream, the CMF wants to support the creation of television shows and related digital media content in four underrepresented genres: drama, documentary, children's and youth, and variety and performing arts.

Projects must include high levels of Canadian elements, including Canadian creative talent.
While basic digital media components, such as basic websites and video-on-demand will be allowed for the purposes of rendering the entire convergent project eligible, the CMF will encourage the creation of rich, value added content by requiring at least 50% of a broadcast corporate group's envelopes be spent on this type of content. Examples include videogames, podcasts, webisodes, mobisodes, and interactive web content. The streaming of a production on the internet at the same time as the television broadcast (i.e. simultaneous streaming) will not be considered an eligible digital media component for the purposes of rendering the entire convergent project eligible.

Eligible applicants will include Canadian-controlled, taxable Canadian production corporations with their head office in Canada and Canadian broadcasters (public or private). These include television, interactive, and web-based production companies; private and public broadcasters; and broadcaster-affiliated production companies.

The full business policies and program guidelines of the CMF are available for download on the corporation's website at www.cmf-fmc.ca.
Through a services agreement with the Canada Media Fund (CMF), Telefilm Canada administers the programs of this funding agency.

Source: Mediacaster Magazine – Canada's Content and Broadband Publication

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