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Broadcasting Decision CRTC 2006-54

  Ottawa, 10 March 2006
  The Family Channel Inc.
Across Canada
  Application 2005-0609-0
Public Hearing in the National Capital Region
19 December 2005
 

Boyz Own – Category 2 specialty service

  In this decision, the Commission approves an application for a broadcasting licence to operate a new Category 2 specialty programming undertaking.
 

The application

1.

The Commission received an application by The Family Channel Inc. (Family) for a broadcasting licence to operate a national, English-language Category 21 specialty programming undertaking to be known as Boyz Own. Family is currently the licensee of Family Channel, a national, English-language general interest pay television service targeted to children, youth to age 17, and families in conjunction with such children and youth.

2.

The applicant indicated that the proposed Boyz Own service would be devoted to informative and entertaining programming that is sensitive to the development, education and needs of young boys. The programming would focus on issues and activities that are of particular interest to boys between the ages of 8 and 13 years, such as action/adventure, outdoor themes, extreme sports and video games.

3.

All of the programming would be drawn from the following categories, as set out in Schedule 1 of the Specialty Services Regulations, 1990: 2(a) Analysis and interpretation; 5(b) Informal education/Recreation and leisure; 6(b) Amateur sports; 7(a) Ongoing drama series; 7(b) Ongoing comedy series (sitcoms); 7(c) Specials, mini-series or made-for-TV feature films; 7(d) Theatrical feature films aired on TV; 7(e) Animated television programs and films; 7(f) Programs of comedy sketches; improvisations, unscripted works, stand-up comedy; 8(b) Music video clips; 10 Game shows; 11 General entertainment and human interest; 12 Interstitials; 13 Public service announcements; and 14 Infomercials, promotional and corporate videos.
4. Family proposed specific restrictions on the programming to be broadcast by Boyz Own. In each broadcast week, no more than 50% of all programming would be drawn from category 7. Of that 50%, no more than 15% would be drawn from category 7(d), and no more than 15% from category 7(e) with an additional 10% that may be drawn from category 7(e) programming that has been previously broadcast on Family Channel. Further, in each broadcast week, no more than 10% of all programming would be drawn from category 6(b), and no more than 10% would be drawn from category 8(b). In addition, the proposed service would not broadcast live coverage of sporting or musical events.

Intervention

5.

The Commission received one intervention opposing this application from Corus Entertainment Inc. (Corus), which has ownership interests in the English-language specialty services, Treehouse TV (Treehouse) and YTV. Both of these services are targeted to youth and children.

6.

Corus submitted that the proposed service would appeal to all children in the 8 to 13 year age group, not just to boys. In this regard, Corus contended that girls’ and boys’ entertainment tastes are far less distinguishable than suggested by Family in its application. Corus further claimed that, given that the proposed service, as a Category 2 service, would be subject to lower Canadian content requirements than analog specialty services and, therefore, able to purchase more foreign produced programming, it could become unduly competitive with Treehouse and YTV.

Applicant’s reply

7.

In response, Family submitted that its internal data indicates that there are significant differences in the "favourite show" preferences of girls and boys. Family also cited YTV Tween Report, a research report commissioned annually by YTV and published on its website, which seems to establish clear differences in interests between girls and boys. Family further noted that, notwithstanding the existence of Treehouse and YTV, the Commission has already approved gender-based youth niche services such as the Category 2 services Girls TV2 and The Girls Network3.

8.

Family argued that the fact that Category 2 services are subject to lower Canadian content requirements is not relevant in establishing the competitive nature of a Category 2 application. Family maintained that it has endeavoured, through its application and its responses to deficiency questions by the Commission, to "narrowcast" its proposed service is such a way as to comply fully with the Commission’s Category 2 licensing framework.
 

Commission’s analysis and determination

9.

In Licensing framework policy for new digital pay and specialty services, Public Notice CRTC 2000-6, 13 January 2000, the Commission implemented a competitive, open-entry approach to licensing Category 2 services. While the Commission does not consider the impact that a Category 2 service might have on an existing Category 2 service, it does seek to ensure that Category 2 services do not compete directly with any existing pay or specialty television service, including any Category 1 service.

10.

In Introductory statement - Licensing of new digital pay and specialty services, Public Notice CRTC 2000-171, 14 December 2000, and Corrected Appendix 2, Public Notice CRTC 2000-171-1, 6 March 2001 (Public Notice 2000-171-1), the Commission adopted a case-by-case approach in determining whether a proposed Category 2 service should be considered directly competitive with an analog pay or specialty or existing Category 1 service, although not with an existing Category 2 service. The Commission examines each application in detail, taking into consideration the proposed nature of service and the unique circumstances of the genre in question.

11.

In the present case, the Commission has considered the arguments presented by the applicant and the intervener. The Commission is satisfied that Boyz Own’s nature of service is sufficiently specific to ensure that it will not be directly competitive with any analog pay, specialty or existing Category 1 service, including Treehouse and YTV. The proposed Boyz Own service will be devoted to serving the distinct entertainment and information needs of boys between the ages of 8 and 13 years. In comparison, all of the programs broadcast by Treehouse between 6 a.m. and 9 p.m. must be targeted to children up to six years of age while YTV is mandated to serve a broad spectrum of youth up to the age of 17. The Commission has also noted that the data provided by Family demonstrates that there are some clear differences between young female and young male audiences.

12.

Furthermore, the Commission considers that the restrictions that Family has proposed with respect to the amount of programming that it will offer in each broadcast week from categories 6(b), 7, and 8(b), as noted in the appendix to this decision, as well as its commitments not to broadcast live coverage of sporting events should serve to sufficiently limit the potential for Boyz Own to become directly competitive with existing analog or Category 1 services.

13.

In light of all of the above, the Commission is satisfied that the application is in conformity with all applicable terms and conditions announced in Public Notice 2000-171-1. Accordingly, the Commission approves the application by The Family Channel Inc. for a broadcasting licence to operate the national, English-language Category 2 specialty programming undertaking, Boyz Own.

14.

The licence will expire 31 August 2012, and will be subject to the conditions set out in Public Notice 2000-171-1, as well as to the conditions set out in the appendix to this decision.
 

Issuance of the licence

15.

A licence will be issued once the applicant has satisfied the Commission, with supporting documentation, that the following requirements have been met:
 
  • the applicant has entered into a distribution agreement with at least one licensed distributor; and
 
  • the applicant has informed the Commission in writing that it is prepared to commence operations. The undertaking must be operational at the earliest possible date and in any event no later than 36 months from the date of this decision, unless a request for an extension of time is approved by the Commission before 10 March 2009. In order to ensure that such a request is processed in a timely manner, it should be submitted at least 60 days before that date.
  Secretary General
  This decision is to be appended to the licence. It is available in alternative format upon request, and may also be examined in PDF format or in HTML at the following Internet site: http://www.crtc.gc.ca 
 

Appendix to Broadcasting Decision CRTC 2006-54

 

Conditions of licence

 

1. The licence shall be subject to the conditions set out in Introductory statement – Licensing of new digital pay and specialty services – Corrected Appendix 2, Public Notice CRTC 2000-171-1, 6 March 2001.

 

2. The licensee shall provide a national, English-language Category 2 specialty programming undertaking devoted to serving the distinct entertainment and information needs of boys aged 8 to 13 years. The licensee shall provide programming that is sensitive to the development, education and needs of young boys. The programming shall focus on issues unique to boys aged 8 to 13 years including interests and activities such as action/adventure, outdoor themes, extreme sports and video games.

 

3. The programming shall be drawn exclusively from the following categories, as set out in Schedule I to the Specialty Services Regulations, 1990, as amended from time to time:

 

2 (a) Analysis and interpretation
5 (b) Informal education/Recreation and leisure
6 (b) Amateur sports
7 (a) Ongoing drama series
7(b) Ongoing comedy series (sitcoms)
7(c) Specials, mini-series or made-for-TV feature films
7(d) Theatrical feature films aired on TV
7(e) Animated television programs and films
7(f) Programs of comedy sketches, improvisations, unscripted works, stand-up comedy
8 (b) Music video clips
10 Game shows
11 General entertainment and human interest
12 Interstitials
13 Public service announcements
14 Infomercials, promotional and corporate videos

 

4. No more than 10% of all programming broadcast during the broadcast week shall be drawn from category 6(b).

 

5. The licensee shall not broadcast live coverage of sporting events.

 

6. No more than 10% of all programming broadcast during the broadcast week shall be drawn from category 8(b).

 

7. No more than 15% of all programming broadcast during the broadcast week shall be drawn from category 7(d).

 

8. No more than 15% of all programming broadcast during the broadcast week shall be drawn from category 7(e). An additional 10% of the programming broadcast during the broadcast week may be drawn from category 7(e) so long as this programming is programming that has been previously broadcast on Family Channel.

 

9. No more than 50% of all programming broadcast during the broadcast week shall be drawn from category 7.

  For the purposes of the conditions of this licence, including condition of licence no.1, broadcast day refers to the 24-hour period beginning each day at 6 a.m., or any other period approved by the Commission.
  Footnotes:
1 The Category 2 services are defined in Introductory statement – Licensing of new digital pay and specialty services, Public Notice CRTC 2000-171, 14 December 2000.

2 Girls TV – Category 2 specialty service, Broadcasting Decision CRTC 2005-517, 21 October 2005

3 GTV: The Girls’ Network, Decision CRTC 2000-603, 24 November 2000 and 14 December 2000

Date Modified: 2006-03-10

 
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