iTunes and Google Play are subject of foreign ownership law

They will be forced to ask the commission on foreign investment to make an exclusion.
Developed by Media and Communication Union (ISS) bill limiting foreign ownership operating in the Russian video service Apple may affect the project and Google - iTunes content stores, and Google Play, as well as support Apple TV. This follows from the ISS and comments from the text of the bill, introduced last week, the State Duma deputy Andrei Lugovoi and Shamsailom Saraliev. Previously, ISS representative confirmed that the deputy project - authorship of the ISS.

According to a representative of the ISS, the effect of the project extends to all services that provide access to the content for a fee, on a subscription or per-view advertising, whose attendance for three months is more than 100 000 people a day. In these projects the share of foreign participation may not exceed 20%.

Video service Google Play, iTunes and Apple TV directly covered by the project, as sold to Russian users including video content - movies, series and shows. It turns out that the state if the bill will take the ISS, forcing foreign companies either fully localize their video projects in Russia, or to leave the country.

ISS spokesman said that the introduction of bills in video sharing for Apple and Google do not provide exceptions. But the question with integrated services can be resolved through an appeal to the government commission on foreign investment, he added.

The representative of Roskomnadzor (the service will monitor compliance with the law) declined to comment.

Indeed, in entering the State Duma document states that limit foreign ownership of the video service, there are exceptions: for example, it does not fall under the strategic enterprises (foreign investments are regulated by other law); In addition, exceptions to this rule may arise due to the international agreement or decision of the Government Commission on control over foreign investments.

However, it is unclear how it will be calculated attendance Apple and Google services they offer users streaming video, and purchase individual pieces of content. Data on the number of users of these services in Russia. But only one audience Google Web projects, according to TNS, was in October, more than 50 million users. In addition, Google sells content through mobile Android device, whose share in Russia in the smartphone market exceeding 85%.

Apple spokesman did not respond to the call, Google spokesman declined to comment. A source familiar with the managers of one of these companies, says that foreign companies are concerned about this issue and lead the discussion "at the sector level."

ISS representative added that the video service Youtube for limiting foreign ownership did not fall: it is located mainly user-generated content, and for such services in the bill made an exception.

Previously, market participants actively criticized the bill ISS. Against it spoke owners as online cinemas and Internet companies, it criticized the Expert Council under the Government. Association "Internet Video," believes that the objective of the project - to force the independent online cinema (like Ivi.ru and Megogo) to sell on unfavorable terms, or large media holdings operators, which has not yet managed to take a significant share of the online video market.

Under the effect of the bill is also subject to video services Russian Internet companies - "Yandex" and Mail.ru. The document made for the restriction of the search engines that provide a link to the video content, but there is an exception for projects like "Yandeks.Video" and "Afisha.Mail.ru" that show movies and videos directly in the search results.