THE Competition Commission of Pakistan is watching, but is not as yet in a position to advise the government and stakeholders in the media industry to opt for ways that best serve the public and business interests.

“With the credibility of those involved [journalists, media barons, the government and security outfits] in the media war doubtful in the public eye, it is about time that a neutral empire assume a more active role,” suggested an expert, hinting at the CCP.

“To maintain its image of credibility and neutrality, my advice to the Competition Commission would be to keep its distance, but the matter deserves to be investigated. It can start public hearings, inviting all stakeholders for their input once it gets the basic facts straight. It can assess if the competition law is violated. If so, the body can initiate action. It can also advise the government on the matter,” said Khalid Mirza, who had set up the CCP to promote competition and make the market to work more efficiently.

It is a classic case of abuse of their dominant business position by the key players in the media market. Ideally, the Competition Commission should be in a position to advise the government, a retired administrator ,who has headed several regulatory bodies, told Dawn.

Competition Commission of Pakistan Chairman Dr Joseph Wilson conceded that there are big gaps in the pool of information available with the CCP about the media sector and the business models that are in place, particularly at the channels

“No matter how much drums they beat in the name of national interest, in the end, its all about business interests and rivalries. The free market can only deliver if a sound regulatory framework is implemented and the regulator can see through the smokescreen to identify the culprits and deal with them under the law,” he said.

“It is about the Rs50 billion media market that the media tycoons are fighting over. The size of major players, their outreach, and the inbuilt tendency of the companies to go for monetary gains, while disregarding corporate responsibility, has resulted in a virtual free-for-all situation,” commented the head of marketing of a media organisation.

Competition Commission of Pakistan Chairman Dr Joseph Wilson conceded that there are big gaps in the pool of information available about the media sector and the business models that are in place, particularly at the channels. He was reached in Islamabad over phone.

“We did take up a case involving media pricing a few years back, where we suspected and proved a violation of competition law and dealt with it. We cannot afford to act on impulses. The intention is not to scare businesses or to punish success, but to ensure discipline in the market,” he explained.

“At this point, I can only share with you that we have initiated a study to close the information gaps to be able to understand and assess the situation,” he told Dawn, but refrained from elaborating any further.

An insider, however, told this writer that the Commission intends to investigate tied deals with advertisers, as well as policies that lead to erecting barriers to free entry and exit in the market, skewed salary structures, deviation from standards of normal corporate practices, policy for granting of multimedia licences/subsidies to media houses, and their business models etc.

Some experts blamed the government for colluding with powerful media players and ignoring their excesses in exchange for support needed for their political ends.

Other saw the corporate sector acting irresponsibly as it supported programmes and channels which promote regressive ideas with little regard to standards of credible journalism.

“The business model of the electronic media is based on advertisement revenues. People get access to 100 channels for Rs300 ($3) a month. The TV channels earn nothing by selling programmes to the public. The advertisers and the corporates have not been discreet in their choice of channels and the programmes they support,” said a media practitioner frustrated with the viewership ratings that form the sole criteria for company advertising.

“I don’t see how companies advertising their ware on TV are responsible for trashy journalism. I am advertising to reach out to potential buyers and get better value for the money spent if more people are watching. What is wrong in that,” asked the Japanese CEO of a car company.

Majyd Aziz, former president of the Karachi Chamber of Commerce and Industry, told this scribe that he will campaign in his community to develop some system to look beyond advertising ratings.

“You harvest the crop you sow. The problem with these smart people at the zenith of their careers is that they get trained to apply their talents where they get better returns. Driven by greed, they are incapable of connecting dots to see the bigger picture,” a frustrated expert commented.

“As if grinding economic stress and dealing with constant fear in a shaky security situation was not enough, the people are ill-served by those pretending to be ‘crusaders.’ It is hard for the people to handle the collective failure of the media, which adds up to the stress that is already crushing them,” an expert commented.

“The somersaults by many media persons in days following the attack on an anchor person, and the mudslinging under the spotlight by supposedly respectable people representing their patrons, left people fazed. Feeling wronged and disgusted, many must have switched their TV off,” he made a point.

Published in Dawn, Economic & Business, June 2nd, 2014