The TV version of the video website has been suspended. Can the license holder take over to meet user needs?

[Editor's Note]: The State Administration of Press, Publication, Radio, Film and Television (hereinafter referred to as the "Administration") previously had terminal restrictions when issuing licenses for video services. The "Internet Audiovisual License" obtained by ordinary video websites was restricted to PC, Phone, and Pad terminals. For television terminals, the Administration considered managing them in accordance with traditional televisions, so it only issued TV-based integration and content licenses to state-owned traditional media.

The radio and television regulatory storm based on Document No. 181 has started with the suspension of the time-shift and playback functions of TV boxes and strict investigation of cooperation with licensees. Now, the scope of rectification has been expanded to the TV version of video websites. On the afternoon of August 23, the TV version of Tencent Video was urgently suspended and taken offline. Tencent Video officially announced that it will shut down the TV version application service on the 27th of this month. As for TV version video applications similar to the TV version of Tencent Video, there are also Youku TV, iQiyi TV, Sohu Video, LeTV TV version, etc. in the market. In response to the increasingly stringent supervision of the General Administration, the TV version of Tencent Video may be just the first shot fired by the regulatory authorities.

After the initial stage of development of the smart TV industry, the competition among various manufacturers for the large screen of TV is no longer a simple hardware competition. The comprehensive strength of hardware terminals + services is the key for smart TV products to win the favor of users in the market. Among them, video services undoubtedly occupy the largest proportion, which has directly led to almost all Internet online video service providers scrambling to launch TV version services to enter the TV market.

An internal source previously stated, "In response to the current smart TV market and product development situation, the General Administration will also formulate more stringent regulatory measures based on industry conditions." And after the TV function of the TV box was "hit," what video websites did on the TV screen naturally became the focus of investigation by the General Administration's regulatory department.

Luo Jianhui, Director of the Network Audiovisual Program Management Department of the State Administration of Press, Publication, Radio, Film and Television, said at the "Third China Internet TV Industry Forum" on August 25 that Internet TV integrated service licenses will no longer be issued, and content service licenses are encouraged to be applied for by radio and television institutions at or above the provincial level. Luo Jianhui emphasized that equipment manufacturers and Internet sites are not allowed to set up integrated platforms and content platforms, and content services in Internet TV can only accept legal content. Commercial websites can participate in content and provide copyrighted programs to independent content platforms. It can be seen that the advantages of licenses are increasing with policy support.

Industry insiders analyzed that the Internet TV integrated service license will no longer be issued, and the voice of CNTV, Mango TV, BesTV, and Wasu Media, which have both content and licenses, will be further strengthened. The strengthening of Internet TV content policy supervision will eliminate the previous in-depth cooperation between TV companies and video websites, such as TCL iQiyi and Hisense’s alliance with 11 video companies. It is reported that the General Administration is accelerating the release of the No. 292 policy, which is expected to be issued before the end of this year. This is a supplement to the previous Internet TV No. 181 document.

From a market perspective, CNTV, Mango TV, BesTV, and Wasu Media are currently the most powerful Internet TV integrated license holders. Under the current General Administration's regulation of Internet TV development policies, they are the most capable and can truly take on the responsibility of serving users of the suspended "Video TV version".

CNTV is undoubtedly the industry leader. China's national network television broadcasting organization is a global, multi-language, multi-terminal public service platform with audio-visual interaction as its core, integrating the characteristics of the Internet and television. It is a benchmark in the industry.

Mango TV, full-platform efforts, Mango's exclusive broadcast advantage. According to official data, Mango TV currently has more than one million hours of genuine videos, providing 11 channels such as TV series, movies, TV programs, news documentaries, music, etc. The number of updated videos per month is only 4,000 hours, and new films on multiple channels account for more than 50%. Since April this year, after Mango TV's full platform was opened, it has integrated four ports: PC, TV, Phone, and Pad. Its advantage of relying on Hunan Radio and Television's high-quality program content resources has been strengthened and amplified. With the active support of Hunan Radio and Television for Mango TV's full-platform development strategy, not only will Hunan Satellite TV's self-made variety shows be broadcasted exclusively, but many S-level TV series broadcast by Hunan Satellite TV will also be broadcasted exclusively through Hunan Satellite TV and Mango TV. The core content advantage will be further strengthened and amplified, and the market valuation of Mango TV will be further raised. It is reported that many TV hardware manufacturers have extended olive branches to Mango TV, and it is expected that orders for Internet TV boxes will begin to increase in the second half of the year.

BesTV and Wasu were named by the General Administration and have actively rectified their problems. Their service equivalents are still there. BesTV and Wasu, the two licensees, also started early, have a large user base, and have a complete platform. Although they are relatively inferior in terms of exclusive and distinctive content, they have strong support from radio and television media and rich video resources. They are still in the first echelon among the existing seven integrated licensees.

We have reason to believe that the sanction imposed by the General Administration on Tencent Video TV is like returning the content service mission of Internet TV to Internet TV content licensees, so that licensees based on genuine content and stable resources can truly begin to take on the service of Internet TV users. The General Administration's thinking on regulating OTT business has become increasingly clear. Internet TV is a fusion product that combines traditional TV with the Internet. The regulation policy is also to promote the integration and development of traditional media and emerging media, and to explore new ways to establish new mainstream media.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.