Posted: Thurs., Sep. 23, 2004, 2:17pm PT

Oz Labor to defer decision on 4th net

Reiterates pledge to force Telstra to sell Foxtel stake

SYDNEY -- The Australian Labor Party will defer a decision on a fourth terrestrial net until next year, and it won't let the Fox Sports pay channels outbid the terrestrial webs for rights to major sports events if the party wins office in the Oct. 9 elections.

Releasing its broadcasting policy Tuesday, the party also reiterated its pledges to force telco Telstra to sell its 50% stake in the Foxtel paybox and to ban junk food ads in children's TV programs.

Its policies would have mixed ramifications for media mogul Kerry Packer, who is keen to increase his 25% stake in Foxtel, as is its other shareholder, News Corp.

But Foxtel has been lobbying for a relaxation of the law that blocks major sports from being aired on pay TV. The Labor Party's communications spokesman Lindsay Tanner offered an olive branch by foreshadowing a "use-it-or-lose-it" rule for the terrestrial channels, which would mean they could not hoard the rights to sports events without airing them.

Labor said it would retain the cross-media regs that prevent proprietors from owning a daily newspaper and a TV station in the same metropolitan market, but it would scrap restrictions on foreign investment in Oz media.

It would defer decisions on a fourth web and on allowing the terrestrial webs to launch extra digital channels until next year when a government review of digital TV is complete.

Labor is running neck-and-neck in the opinion polls with the conservative Liberal/National Party coalition.


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