Brussels, 24/09/2010 (Agence Europe) - On Friday 24 September, the European Commission announced the launch of a new strategy to help European operators of cinemas to make the move to the digital medium. They will be encouraged to show films made in Europe, thus ensuring a wider choice for cinema-goers. The Commission sets out various forms of financial aid, such as the use of State aid, the European Regional Development Fund and the MEDIA programme of the European Union. “The digital revolution (…) creates great opportunities for European cinema. Digital technology can reduce distribution costs and potentially increase the number and diversity of European films being screened worldwide”, said the Commissioner for Education, Culture, Multilingualism and Youth, Androulla Vassiliou. The Commissioner believes that it is important to encourage independent cinemas and art-house cinemas to take part in the process, to allow European cinema to preserve its uniqueness.
In Europe, digital take-up is being held back because of the cost of conversion and the varying needs of cinemas. The technical equipment used for the digitalisation of films is very expensive (75,000 euros), representing a considerable investment for operators of small theatres. Since 2007, the Commission, via its MEDIA programme, has provided financial support of 25 million euros to initiatives in the field of digital cinema. In 2010, it is to launch a new programme on digitalisation, with a budget of an additional 4 million euros, which will be particularly targeted at cinemas which prioritise European cinema. In addition to the financial support, the new strategy also seeks to: 1) seize the opportunities offered by standardisation; 2) make the digital transition as short as possible to avoid the cost of producing both celluloid and digital versions of films and a dual distribution/exhibition system; 3) preserve and enhance the diversity of European programming in digitised cinemas; 4) invest in research, equipment and professional training to boost the preservation of film heritage. The envelope allocated by MEDIA to the European cinema industry for the period 2007-2013 is 755 million euros. The new guarantee fund for production will earmark 8 million euros in loan guarantees to support European film companies and to help them with access to bank loans over the period 2010-2013. In future, it may become one of the tools to speed up digitalisation, the Commission stresses. (I.L./trans.fl)