RTÉ's online commercial revenues amount to just 3 per cent of the Irish online advertising market and the company is not abusing its position, the company told an Oireachtas Committee today.
RTÉ has been accused by the National Newspapers of Ireland (NNI) of being excessively commercial in its activities and of using its public service remit to achieve an unfair advantage in attracting online advertising.
At a previous appearance at the Joint Oireachtas Committee on Communications, Energy and Natural Resources, NNI co-ordinating director Frank Cullen said RTÉ should not be allowed to have commercial advertising on its site.
Speaking to the same committee today, RTÉ's chief financial officer, Conor Hayes, said it was "manifestly wrong" to suggest it was dominating the online advertising market and preventing newspapers from accessing a fair share of the Irish online advertising market.
He said rte.ie was funded entirely from commercial revenues and these amounted to €2.5 million last year, the equivalent of 3 per cent of the total Irish on-line advertising spend of €97 million last year.
RTÉ properly observes European policy and Irish broadcasting law by ensuring that all content produced by the broadcaster is available to the public on all media platforms. It is legally obliged to do so, he told the committee.
He said RTÉ is only the ninth biggest media company operating in Ireland companies like News International, the Daily Mail and General Trust and Trinity Mirror, which all publish newspapers in Ireland, were considered.
Mr Hayes said the allegations that the NNI made were a distraction from the challenges faced by the newspaper industry.
"Constraining RTÉ's online activities clearly will not solve the financial problems that may be faced by the shareholders of the various global and national traditional media groups who own the various British and Irish newspaper titles represented by NNI," he said.
The committee was told that RTÉ online employs 70 people including 42 journalists working in news, sport, business and entertainment.
In response to a question from Senator Joe O'Toole, RTÉ's solicitor, Eleanor Bleahene, said there was not a "problem in principle" in sharing RTÉ's content with newspapers.
However, Mr Hayes warned that RTÉ was "simply not in a position to give away its online content" and there was rights issued involved.
