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Al-Ahram Weekly 24 Feb. - 1 March 2000 Issue No. 470 
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Published in Cairo by AL-AHRAM established in 1875 |
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Al-Ahram Weekly 24 Feb. - 1 March 2000 Issue No. 470
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| Published in Cairo by AL-AHRAM established in 1875 |
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Private media push and pull
To broadcast or not to broadcast, that is the question. Tarek Atia discovers that, for the private sector, the answer is still far from clear
a second Nilesat satellite is currently being tested in France, with the launch planned for August 2000
Egypt Region International Economy Opinion Culture Features Focus Heritage Profile Travel Living Sports People Time Out Chronicles Cartoons Letters Over the past few weeks, there has been an extraordinary amount of discussion about establishing free media zones, launching new satellites, and the possibility that private ownership of Egyptian television will be permitted.
Is the Egyptian media for sale? The short answer is "No." Or, as Minister of Information Safwat El-Sherif told the press in an attempt to calm the commotion over the issue: "We don't intend to privatise the media; rather, we mean that there should be more freedom."
It is precisely that freedom, or the lack of it, which holds all the answers, and even more questions as well.
First things first: What is the Free Media Zone? To be precise, it is a 3.5 kilometre square area in 6 October City located between the already existing Media Production City and the Nilesat earth station. It is a place where those wishing to establish new satellite channels are welcome to set up shop, and in so doing benefit from both the exemptions on taxes and customs under the investment law, as well as the tremendous resources and facilities of the Media Production City: studios, labs for editing and post-production, and a world of technicians and stars.
Some have claimed that the government's decision to establish the zone was a direct result of a recently announced Jordanian Free Media Zone -- suggesting that Egypt found it necessary to reconfirm its status as the leader of Arab media.
US globalisation guru Thomas Friedman even made a point of riling people up during his recent visit to Cairo with the claim that "tiny Qatar's Al-Jazeera channel had managed to steal the limelight from giant Egypt with its massive regional media role."
It's true that Al-Jazeera's volatile mixture of talk shows on hot topics like religion and politics, and its no-holds-barred discussions that often turn into arguments, has attracted a significant audience share for the satellite channel.
Nilesat's earth station in 6 October City
But according to Amin Bassiouni, the head of Nilesat and the former head of the Egypt's Radio and Television Union, it's not just about Jordan and Al-Jazeera. "Just to clarify things for Friedman," Bassiouni told Al-Ahram Weekly, "the first Arab satellite channel was the Egyptian satellite channel. So the idea here is not that we are imitating anyone. No, we encourage competition among Arab satellite channels, since they are all benefiting the viewer, and are all helping to protect our Arab identity."
Bassiouni is a firm believer in the media's role as an effective bearer of cultural, developmental, educational, and behavioral messages. He says for that reason, Egypt is not prepared to sell off its television channels -- satellite channels included. It is willing, however, to provide an investment climate conducive to encouraging the private sector to establish new satellite channels that will broadcast in Egypt and throughout the Arab world. According to Bassiouni, that is what the new Free Media Zone is all about: "Egypt's advantage now is that it is allowing private channels only after it has completed the necessary infrastructure to support these channels. If we had allowed it earlier, all it would have been was empty desert land, and anyone who wanted to start a channel would have had to pay the costs of studios, and production."
Bassiouni feels that both government and private channels are essential. "People are always saying that government channels are all evil, and private channels are all good, but that's not the case. To only concentrate on sensationalism, and to attract viewers with talk shows that often just turn into fights is not beneficial. Today the media must cover technological achievements being made, we need to broadcast [information about] things like the establishment of a university and higher council for technology... it's part of the media's message... or do you want to tell me that the media should turn its back on this and concentrate mainly on entertainment?"
The problem seems to be the one typically faced by all attempts to involve the private sector in major economic activities in Egypt -- a question of control. The government desperately wants the influx of capital that would be provided by private investment, but is reluctant to relinquish its control. In the case of private television channels, it's a question of content. The Ministry of Information has made it clear that anyone wanting to start a private channel will have to sign a code of ethics promising not to transgress boundaries relating to the two major taboos of religion and sex.
What this means in practical terms, says Bassiouni, is that "I can't imagine someone encouraging people to blow things up, and accusing society of heresy, being allowed on TV. Politicising religion has already been banned under Arab security arrangements. And, if we open up the matter of sex, we'll probably see every channel selling sex in some way... and I don't think anyone wants this.. maybe some other society, but not ours."
Nilesat's control centre
Here, it is important to make the distinction between free-to-air and scrambled satellite channels like the Showtime network, which claims to offer the "best in Western entertainment", and thus features the occasional sex scene. As Bassiouni said, "regarding the scrambled channels, where you have to choose to subscribe, it's your decision, this matter of [personal] ethics."
But for private investors, who would be the ones forking out the tens of millions of dollars needed to establish a channel and rent space on Nilesat to broadcast it (some $550,000 dollars per channel per year), this "code of ethics" might cramp their style.
Businessman Naguib Sawiris, for his part, told Al-Ahram Al-Arabi magazine, that he is completely against the idea of government involvement in any television venture. "I don't want a partnership with the state," Sawiris said. Along with other businessmen, Sawiris has been calling for the chance to broadcast terestrially as well. But the granting of such an opportunity remains highly unlikely.
Advertising mogul Tarek Nour is also among the business figures commonly mentioned when the issue of a private channel is brought up, along with other prominent businessmen such as Mohamed Nosseir, Ibrahim Kamel and Ahmed Bahgat. "It is extremely costly to own a private channel," Nour told the Weekly. "One businessman alone cannot sustain its risks."
The only evidence that any potential investor needs for this assertion are the financial statements of the Arab satellite channels already in existence. After nearly a decade Sheikh Saleh's ART (Arab Radio and Television network) is still losing money, as are the bevy of other private Arab satellite channels. Likewise, most of Egypt's state-owned media facilities are operating at a loss, regardless of the sudden increase and continued rise in the price of Media Production City stock when the Free Media Zone was announced. Still, it is clear, that for now, money is not the most important element in the game. The message is.
Additional reporting by Hanan Sabra
