Report from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions - Final evaluation Report on the implementation and the results of the MEDIA Plus and MEDIA Training (2001-2006) programmes
Date: 2008-05-08
Institutions: European Commission
Subjects: EU programme, European audiovisual area, audiovisual production, competitiveness, cultural policy, programmes industry, vocational training

EN 

EN 

   EN 

 
 
COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 8.5.2008 
COM(2008) 245 final 

REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE 
COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE 
COMMITTEE OF THE REGIONS 

Final evaluation report on the implementation and the results of the MEDIA Plus and 
MEDIA Training (2001-2006) programmes 

EN 

   EN 

 
 
 
  
REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE 
COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE 
COMMITTEE OF THE REGIONS 

Final evaluation report on the implementation and the results of the MEDIA Plus and 
MEDIA Training (2001-2006) programmes 

1. 

INTRODUCTION 

The MEDIA Plus and MEDIA Training programmes were established under two Decisions: 

– 

– 

Council Decision No 2000/821/EC of 20 December 2000 on the implementation of a 
programme  to  encourage  the  development, distribution  and  promotion  of  European 
audiovisual works (MEDIA Plus - Development, Distribution and Promotion); 

Decision  No  163/2001/EC  of  the  European  Parliament  and  of  the  Council  of  19 
January 2001 on the implementation of a training programme for professionals in the 
European audiovisual programme industry (MEDIA-Training). 

The  period  covered  by  MEDIA  Plus  and  MEDIA  Training  was  initially  set  as  2001-2005. 
However, in order to align the period of the MEDIA programmes with that of the Financial 
Perspective, the period was extended until 31 December 20061. 

MEDIA Plus and MEDIA Training followed on from MEDIA II (1996-2000) and MEDIA I 
(1991-1995). Their common objective was to structurally improve the competitiveness of the 
European audiovisual industry. The objectives of MEDIA Plus and MEDIA Training were to 
boost the competitiveness of the European audiovisual industry, to bring balance back to the 
markets, and to encourage the distribution of works outside their country of origin. 

During  the  reference  period  ten  new  Member  States  joined  the  European  Union  on  1  May 
2004,  and  other  acceding  States  were  integrated.  MEDIA  20072  followed  on  from  MEDIA 
Plus and MEDIA Training on 1 January 2007. 

MEDIA  Plus  and  MEDIA  Training  were  the  subject  of  an  interim  evaluation  in  2003,  the 
results of which were communicated by the Commission in its report of 24 November 20033. 
In  accordance  with  the  recommendations  made  in  this  evaluation,  and  taking  into  account 
changes in the needs of  professionals and changes in the market, certain adjustments which 
did not require a change in the legal basis had been implemented.  

The  aim  of  this  report  is  to  evaluate  the  results  of  the  MEDIA  Plus  and  MEDIA  Training 
programmes in accordance with Article 12(3) of Decision No 2000/821/EC and Article 9(4) 

1 

2 

3 

Decisions  Nos  845/2004/EC  and  846/2004/EC  of  the  European  Parliament  and  of  the  Council  of  29 
April 2004, OJ L 195, 2.6.2004. 
Decision  No 1718/2006/EC  of  the  European  Parliament  and  of  the  Council  of  15  November  2006 
concerning the implementation of a programme of support for the European audiovisual sector (MEDIA 
2007) - (OJ L 327, 24.11.2006, p. 12). 
COM(2003) 725 final. 

EN 

2 

   EN 

 
                                                 
of Decision No 163/2001/EC. It covers the period from 1 January 2001 to 31 December 2006 
and  is  based  on  the  findings  of  the  interim4  and  final  evaluations  of  the  MEDIA  Plus  and 
MEDIA Training programmes5. 

2. 

ECONOMIC AND STRUCTURAL DIFFICULTIES  

2.1. 

Economic challenges 

It  should  be  recalled  that  MEDIA  Plus  and  MEDIA  Training  were  implemented  against  a 
worrying  economic  background.  Throughout  the  period  evaluated,  the  most  significant 
challenge faced by the programme was the entry of ten new Member States. This enlargement 
has accentuated the heterogeneity of the European market. Investment capacity and state aid 
are at a much lower level in these countries than in the rest of Europe. 

Another  major  challenge  is  the  rapid  development  of  new  technologies,  in  particular  digital 
technologies.  In  this  field,  the  situation  regarding  European  film  distribution  is  becoming 
worrying. Digital copies of films exist, but European films are not well represented on digital 
broadcasting platforms. 

2.2. 

Structural problems 

2.2.1.  An enlarged internal market still not operating perfectly 

The European audiovisual market is characterised by its large degree of fragmentation. This 
fragmentation  is  linked  in  particular  to  the  linguistic  and  cultural  diversity  of  the  different 
States. This diversity is certainly a source of cultural independence and richness, but it blocks 
the  distribution  of  non-national  works  and  prevents  the  European  industry  from  winning 
market shares. Fragmentation leads in particular to: 

– 

– 

– 

structural  difficulties 
trans-border  distribution  of  works.  Insufficient 
distribution  of  non-national  European  works  is  the  main  symptom  of  the  structural 
difficulties encountered by the European audiovisual sector; 

the 

in 

a  division  between  countries  with  low  production  capacity  and/or  with  a  restricted 
linguistic and geographical area6 and countries with a greater production capacity7; 

a less competitive distribution sector. 

The  production  sector  also  remains  very  fragmented.  It  comprises  many  poorly  integrated, 
small structures whose survival still hangs in the balance. 

4 

5 

6 

7 

Second  interim  evaluation  of  the  MEDIA  Plus  and  MEDIA  Training  Programme  (2003-2005)  – 
Contract No 30-EC-0041001/00-07. 
Final evaluation of the MEDIA Plus and MEDIA Training Programmes (2001-2006) – Contract No 30-
EC-0096653/00. 
Austria, Belgium, Denmark, Finland, Greece, Ireland, Iceland, Liechtenstein, Luxembourg, Norway, the 
Netherlands,  Portugal  and  Sweden.  To  which  are  added:  Bulgaria,  Czech  Republic,  Cyprus,  Estonia, 
Hungary, Latvia, Lithuania, Malta, Poland, Slovakia and Slovenia.  
Germany, France, Italy, Spain and the United Kingdom. 

EN 

3 

   EN 

 
                                                 
2.2.2.  An industry struggling to deal with its handicaps 

The  lack  of  training  for  European  audiovisual  professionals  leads  to  a  lack  of  enterprise 
strategy  on  a  European  level,  which  is,  nevertheless,  essential  for  the  introduction  of  new 
technologies. 

In  the  preliminary  stages,  the  European  audiovisual  industry  does  not  dedicate  enough 
resources to project development (writing, financing arrangements and drawing up marketing 
plans).  This  stage  is  nevertheless  of  vital  importance  for  the  quality  and  export  potential  of 
works.  

At  the  consumer  stage,  the  distribution  sector  remains  fragmented  along  national  lines.  Its 
competitiveness in both the world and European markets is thereby weakened. 

3. 

RESULTS  OF  THE  EVALUATION  OF  MEDIA  PLUS  AND  MEDIA  TRAINING  FOR  THE 
PERIOD 2001-2006 

3.1. 

General conclusions for the period 2001-2006 

(1) 

(2) 

(3) 

(4) 

(5) 

The  programme  has  generally  remained  relevant  for  the  period  due  to  a  good  initial 
inventory and renewed methods. The fields in which professionals' satisfaction is not 
as good as it could be represent a very small part of the budget and needs which were 
still being defined. 

The incompatibilities observed between administrative (selection, contracts, payment) 
and economic rhythms in the audiovisual sector reintroduce risk and potential tensions 
for  companies8.  The  cost  of  access,  which  is  often  considerable  for  SMEs, 
nevertheless remains bearable for beneficiaries. 

The  principle  MEDIA  measures  contribute  effectively  to  increasing  competencies 
(Training),  developing  the  European  dimension  of  works  from  the  pre-production 
phase  (Development), 
the  sector  (mainly 
Distribution,  through  risk  reduction  and  strengthening  the  financial  capacities  of  the 
beneficiaries),  and 
transnational  distribution  of  works  (Distribution  and 
Promotion). 

improved  competitiveness  of 

the 

the 

The  non-financial  effects  of  MEDIA  (increasing  competencies,  learning  about  the 
market, setting up networks) have a lasting, structured impact on the whole sector. 

The effects of the programme on the financing of works and transnational distribution 
depend directly on continued European financing. 

8 

It should be noted that the creation of the Executive Agency on January 1 2006 has since led to more 
efficient project management and, in particular, reduced payment times. 

EN 

4 

   EN 

 
                                                 
3.2. 

Lines  of  action  which  effectively  increase  the  competitiveness  of  the  European 
audiovisual sector 

(1)  MEDIA  Training  makes  a  real  contribution  to  increasing  competencies  in  the 
European audiovisual sector. It also contributes to setting up networks likely to boost 
the long-term competitiveness of the sector. 

(2)  MEDIA Development allows independent producers to increase their competitiveness 
on the European market and to encourage the transnational distribution of their works. 
MEDIA's contributions are numerous: better drafting of projects, improved financing 
plans,  limited  financial  risks,  increased  investment  in  the  development  of  works, 
lending a European dimension to the works supported and to the whole sector. 

(3)  MEDIA Distribution strengthens the financial capacities of the distributors and limits 
investment-linked  risks.  This  encompasses  a  large  and  growing  proportion  of  non-
national European films and contributes to their distribution. 

(4)  MEDIA  Promotion  successfully  supports  commercial  demonstrations  and  festivals. 
This helps to increase contacts and build up networks between European audiovisual 
professionals. 

(5)  MEDIA improves the promotion and screening of European films to professionals and 

the general public, and ensures that they are a major presence at festivals. 

3.3.  Market  re-balancing  measures  contributing  to  the  integration  of  the  new 

Member States 

In order to implement its integration plan for the new Member States, the MEDIA programme 
relied on the existing concept of 'countries with a low production capacity or with a restricted 
geographical  and/or  linguistic  area'.  The  market  re-balancing  measures  are  specific  to  the 
MEDIA programme. 

(1) 

The  selection  criteria  have  facilitated  access  to  the  programme  for  projects  from 
'countries  with  a  low  production  capacity'  and,  in  particular,  from  the  new  Member 
States;  MEDIA  therefore  rapidly  increased  the  participation  of  professionals  from 
these States. 

(2) 

The MEDIA programme allows countries 'with a low production capacity' to access a 
share in the financing which is greater than their relative market share. 

(3)  MEDIA  very  probably  contributed  to  the  constant  increase  in  the  supply  of  non-
national  films  observed  in  the  new  Member  States  since  their  entry  into  the 
programme. This is to the detriment of the market share of American films (by far the 
majority), and not local films. 

(4) 

The  positive  discrimination  measures  to  encourage  professionals  from  the  largest 
producing  countries  to  associate  with  partners  from  the  new  Member  States  have 
genuinely  improved  the  integration  of  these  stakeholders  and  their  works  into 
European distribution networks and circuits. 

EN 

5 

   EN 

 
3.4. 

An  efficient  Media  Desks  network,  whose  potential  can  still  be  developed 
further  

The  decentralised  MEDIA  setup  appears  to  be  an  efficient  way  of  developing  knowledge 
about  the  programme  and  assisting  professionals;  their  actual  efficiency  appears  to  depend 
very much on the persons in charge. 

(1) 

(2) 

(3) 

The Media desks have a dual role, acting as information centres for professionals and 
providing assistance to beneficiaries. The predominant position varies from one desk 
to another, with the oldest desks generally favouring the provision of assistance. 

The Desks can have an important effect on the proper use of MEDIA in countries 'with 
reduced production capacity' and, in particular, in the new Member States, due to the 
pedagogical work carried out. 

The  size  of  the  MEDIA  Desks  network  harbours  a  certain  potential,  in  particular  in 
terms  of  sharing  information  and  good  practices  and  contributing  to  cross-border 
exchanges.  In  the  absence  of  better  structuring  of  the  network  and  its  tools,  the 
exchanges remain essentially bilateral. 

(4) 

The  absence  of  a  unified  system  for  measuring  the  performances  of  the  Desks  and 
Antennae makes it difficult to assess their respective effectiveness. 

3.5. 

Lasting qualitative effects, other effects remain dependent on MEDIA 

The most striking lasting effects of the programme are those of a qualitative nature: increasing 
competencies,  networks,  collaborations,  market  knowledge,  presence  on  international 
markets.  

Other  important  effects  such  as  the  increase  in  the  transnational  distribution  of  works  are, 
however, still largely dependent on European intervention. Withdrawing support could lead to 
the  disappearance  of  certain  types  of  training,  a  reduced  transnational  distribution  of  works 
and less investment in works from countries with a low production capacity where MEDIA is 
a vital element in the financing of works. 

4. 

RECOMMENDATIONS AND FOLLOW-UP MEASURES 

4.1.  Main recommendations 

4.1.1.  Maintain efforts to adapt to the market 

Steps should be taken to: 

(1) 

(2) 

(3) 

preserve the programme's capacity to adapt and its means of meeting the requirements 
of the sector  

find ways of anticipating changes in the sector (sectoral studies, regular direct contact 
with professionals, expert consultations) 

introduce  a  system  of  indicators  for  following  up  the  programme's  performance  and 
monitoring the market 

EN 

6 

   EN 

 
4.1.2.  Adapt the action plan to the limitations faced by its users 

(1) 

(2) 

(3) 

rethink and simplify the means of accessing the programme 

adapt the intervention measures to the temporary nature of the sector 

focus  MEDIA's  human  and  organisational  resources  on  assisting  beneficiaries  and 
monitoring projects 

4.1.3.  Better exploit the potential of the network of the MEDIA desks and Antennae 

Steps should be taken to: 

(1) 

(2) 

develop a tool for measuring performance 

provide MEDIA desks and Antennae with effective tools and resources 

4.1.4.  Re-consider the aims and methods of the market re-balancing measures in order to 

increase their relevance and effectiveness 

Steps should be taken to: 

(1) 

(2) 

(3) 

keep up the effort made to date in terms of re-balancing the markets 

deepen the strategic reflection on the objectives of the market re-balancing policy and 
the results to be obtained at the end of the MEDIA 2007 programme 

revisit  the  relevant  geographical  level  (eliminate  regional  level,  new  categories  for 
countries)  for  certain  lines  of  action  (in  particular  selective  distribution,  automatic 
distribution, sales agent) 

4.2.  Main measures 

4.2.1.  Measures already implemented 

Responses to the operational recommendations have already been implemented following on 
from  the  second  interim  evaluation,  in  particular  in  terms  of  simplifying  certain  procedures 
and  integrating  the  technological  aspect  into  the  overall  programme.  Therefore,  the  new 
MEDIA  2007  programme  takes  fully  into  account  the  integration  of  new  technologies  and 
allows specific actions to be taken to support the on-line distribution of European audiovisual 
works and digital projection. Similarly, market re-balancing measures are integrated into all 
lines of action.  

With the intention of adapting the action plan to the limitations faced by its users and focusing 
resources  on  assisting  beneficiaries  and  monitoring  projects,  the  creation  of  the  Executive 
Agency  has  led  to  concrete  improvements,  due,  in  particular,  to  greater  administrative 
efficiency.  In  particular  progress  has  been  noted  in  the  project  selection  process,  contract 
management, payment deadlines and contact with beneficiaries. 

Furthermore, the new guidelines published in 2007 for certain lines of the programme already 
simplify  certain  methods  of  accessing  the  programme  following  the  example  of  the  new 
guidelines for the 'development' action. These changes simplify the project selection criteria 
and  make  documents  more  readable  (guidelines  and  form),  thereby  facilitating  access  for 
professionals to development support. 

EN 

7 

   EN 

 
With regard to the capacity for anticipating changes in the sector, a working group has been 
set up within the MEDIA committee to work on finalising a system of indicators. 

In order to further improve the programme's adaptation to market requirements, new actions 
have been implemented within the framework of MEDIA 2007: 

– 

– 

– 

– 

With  a  view  to  bringing  initial  forms  of  training  more  closely  into  line  with  one 
another, a new call for proposals for 'initial training' has been published which aims 
to  encourage  co-operation  between  cinema  schools  and  other  higher  education 
training institutions to introduce training for young European students. 

that 

the  competitiveness  of 

Digital  technologies  have  rendered  European  audiovisual  works  more  easily 
accessible  outside  their  country  of  origin  thanks  to  new  means  of  broadcasting 
audiovisual  content.  Considering 
the  European 
audiovisual industry will strongly depend on its ability to adapt to new technologies, 
in  particular  during  the  distribution  stage,  a  new  line  of  action  has  been  created  to 
support on-line distribution of European audiovisual works. The aim of the 'Video on 
Demand  and  Digital  Film  Distribution'  line  is  to  preserve  and  increase  European 
cultural and linguistic diversity and its audiovisual and film heritage, to guarantee its 
accessibility  to  the  public  and  to  promote  intercultural  dialogue,  to  increase 
distribution  and  the  visibility  of  works,  and  to  increase  the  competitiveness  of  the 
audiovisual  sector  within  the  framework  of  a  an  open  and  competitive  European 
market which is favourable for employment.  

A specific call for proposals for the development of interactive works on on-line and 
off-line  media  has  been  launched  which  is  adapted  to  the  specific  requirements  of 
this new form of creation. 

Distribution  aids  have  been  adapted  to  better  target  medium-budget  works  with  a 
high commercial potential, which are more dependent on MEDIA assistance for their 
transnational  broadcasting  than  high-budget  films.  Similarly,  the  proportion  of 
automatic distribution aid based on ticket sales has been increased for the first tickets 
sold, as they represent a more significant cost for the distributor at the time a film is 
launched on its national market. The aim of this reform is to stimulate the market and 
encourage commercial risk-taking. 

4.2.2.  Measures being developed 

The  Commission  is  considering  whether  to  better  exploit  the  potential  of  the  network  of 
MEDIA  Desks  and  Antennae  by  implementing  more  effective  tools  and  resources  together 
with a single Internet access point per country. 

In terms of access to financing and in order to complete the i2i action to meet the wider needs 
of the industry, a plan of action is currently  being drawn up which is likely to have a lever 
effect  on  access  to  financing  for  producers.  This  plan  of  action  will  give  producers  and 
distributors better access to private capital. 

5. 

CONCLUSION 

The  interim  and  final  evaluations  of  the  MEDIA  Plus  and  MEDIA  Training  programmes 
confirm the positive results of their actions on the European audiovisual sector. They reaffirm 

EN 

8 

   EN 

 
the  relevance  of  the  programme's  objectives  and  the  effectiveness  of  its  actions  in  terms  of 
increasing  competitiveness  in  the  sector  and  promoting  cultural  diversity.  Furthermore,  the 
evaluations confirm that Community action brings real added value as compared with national 
intervention.  MEDIA's  effects  are  real;  they  are  also  lasting  in  some  cases,  in  particular  in 
terms of increasing competitiveness. 

Nevertheless, some of the most remarkable effects of MEDIA (increasing competencies and 
transnational  distribution  of  works,  for  example)  are  still  largely  dependent  on  European 
intervention. Moreover, market data indicates that the European audiovisual sector continues 
to  suffer  from  its  traditional  weaknesses,  which  are  market  fragmentation  and  poor 
distribution of European works outside their country of origin. 

The  action  should  therefore  be  maintained,  whilst  adapting  to  changes  in  market 
requirements.  This  is  what  the  new  MEDIA  2007  programme,  which  was  launched  on  1 
January 2007, sets out to do. 

EN 

9 

   EN