VZCZCXYZ0041
RR RUEHWEB

DE RUEHIN #1468/01 3451137
ZNR UUUUU ZZH
R 111137Z DEC 09
FM AIT TAIPEI
TO RUEHC/SECSTATE WASHDC 2934
INFO RUEHBJ/AMEMBASSY BEIJING 9573
RUEHHK/AMCONSUL HONG KONG 0961

UNCLAS AIT TAIPEI 001468 
 
DEPARTMENT FOR INR/R, EAP/TC, EAP/P, EAP/PD 
 
DEPARTMENT PASS AIT/WASHINGTON 
 
SENSITIVE 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PREL PGOV SOCI KPAO TW
SUBJECT: CONTROVERSIAL COMPUTER-ANIMATED NEWS SERVICE LAUNCHED BY 
TAIWAN NEWSPAPER 
 
¶1. (SBU) SUMMARY:  Taiwan's mass-circulation "Apple Daily" newspaper 
has come under fire following the launch of its computer-generated 
graphic motion news service in mid-November.  The sensational and 
make-believe content and graphic animation have been criticized more 
for depicting violence and sex than for any ethical lapses.  Yet, 
some young people see the new service as a novelty, and there have 
been more than 1.7 million hits on YouTube for the animated news 
clips.  Graphic news clips could be a harbinger of the future for 
news in Taiwan.  END SUMMARY. 
 
News in Motion 
-------------- 
 
¶2. (SBU) The "Apple Daily," a sensationalist Hong Kong transplant 
newspaper founded by Hong Kong media mogul Jimmy Lai's Next Media, 
Ltd. in 2003, rolled out its online animated graphic news, or "news 
in motion" feature, on November 16, 2009.  The computer-generated, 
video game-like "news in motion" combines real footage and 
simulations made with animated video clips showing details of news 
events.  The clips are accompanied by background music and a 
voice-over recounting what happened or what the newspaper thinks 
happened.  People with high-end cell phones can watch the news clips 
on their cell phones, and the clips are also accessible on YouTube. 
The animated news service is free during its promotional stage.  But 
"Apple Daily" said it will charge cell phone users NT$0.5 (US$0.016) 
dollars for one "news in motion" story starting in early 2010. 
 
Sex and Violence 
---------------- 
 
¶3. (SBU) "Apple Daily's" animated news, like the paper itself, 
sparked an immediate public outcry among the public, academics, as 
well as other media outlets.  While some viewers found the animated 
news service novel and unique, calling it a future trend that uses 
graphics and animation techniques to "show" news rather than "tell" 
it, various civic groups and media watchdog organizations in Taiwan 
criticized the sensational service for concentrating on sexual abuse 
and violence.  On November 19, these civic groups and media 
watchdogs staged protests outside the headquarters of Next Media and 
Taiwan's National Communications Commission (NCC), an independent 
policy-making and regulatory body for Taiwan's telecommunications 
market and electronic media. 
 
Mayor Hau Fines the Paper 
------------------------- 
 
¶4. (SBU) While the NCC was scrambling to find existing laws to 
regulate the service, Taipei Mayor Hau Lung-bin jumped in and fined 
the company NT$1 million (US$31,000), accusing the paper of 
violating the Children and Juvenile Welfare Act.  The Taipei City 
Government also barred public schools in the city from subscribing 
to the paper, and banned teenagers under 18 years old from borrowing 
the paper in public libraries.  The newspaper initially condemned 
the city government for "exercising martial law" and said it might 
sue the city government for "trampling on the freedom of the press." 
 But, a day later, the paper apologized to the public and said it 
had set up a rating system for its online news.  Mayor Hau's actions 
earned him a "worst person in the world" award on MSNBC, which can 
be seen at: http://www.youtube.com/watch?v=4tO7NWuUUPw. 
 
Thwarted TV Ambitions 
--------------------- 
 
¶5. (SBU) Since establishing his conglomerate in Taiwan, Next Media 
Chairman Jimmy Lai has always shown great interest in expanding his 
media realm by setting up TV stations.  Lai attempted to acquire the 
venerable China Times Group in early November, 2008, which owned two 
newspapers, two TV stations and one magazine, and was having serious 
financial difficulties.  At the last minute, the Want Want Group 
stepped in with a bigger offer to buy the China Times Group out from 
under him.  Lai is still trying to set up his own TV channels, but 
the NCC announced on December 9 that it rejected Next Media's 
applications to set up news and information TV channels.  The NCC 
said the news content Next intended to show went against the core 
values upheld by the commission and violated regulations on TV 
program ratings.  Next said it felt it was "misunderstood."  It has 
also argued that "news in motion" was not a harbinger of clips to 
come on is TV channels. 
 
A Bleak Future for Newspapers? 
------------------------------ 
 
¶6. (SBU) Taiwan has a highly competitive media environment, which is 
prone to sensationalism and unbalanced reporting.  At the same time, 
growing internet use has hurt the newspaper industry.  Nevertheless, 
 
Jimmy Lai, a master of marketing, has made "Apple Daily" Taiwan's 
most talked-about newspaper, as well as turning a profit.  Lai has 
reportedly spent two years and more than NT1 billion (US$30 million) 
on the "news in motion" project.  An "Apple Daily" journalist told 
AIT that Lai believes such animated news clips, mostly drawn from 
crime stories, including sexual assaults and murders, appeal to 
young people, who favor novelty and prefer graphics to words.  What 
Lai sees is the future of the media business, in which he wants to 
create a climate of "micropayments," the journalist added.  With the 
controversy the service caused by its computer-generated news report 
on U.S. golfer Tiger Woods S.U.V. crash, Apple Daily's animated news 
service Has garnered more than 1.7 million views on YouTube alone 
and become a top global online video.  The Tiger Woods clip can be 
seen at: http://www.youtube.com/watch?v=7i5FlC1MpkE. 
 
Journalistic Ethics 
------------------- 
 
¶7. (SBU) While discussing future media trends, a local social critic 
said in her blog that the emergence of "news in motion" is not 
simply a matter of how a media outlet decides to "present" its news 
stories; instead, it is clearly a result of the fierce competition 
for viewership and advertising income.  "The emergence of the 
Internet has created an unprecedented challenge to the news 
business.  How else will the news 'presentation' methods evolve just 
so that the media industry can survive?  And will professionalism 
and ethics remain the essential factors in journalism?" she wrote. 
 
Comment 
------- 
 
¶8. (SBU) Rapid advancements in information technologies have created 
sweeping changes in the global and Taiwan news landscape and left 
news outlets scrambling for a new business model.  Jimmy Lai has 
proven his ability to break the mold in the past, and his animated 
news clips at "Apple Daily" are an innovative attempt to entice 
people to pay for "news" content over the internet.  Graphic news 
clips could be a harbinger of the future for news in Taiwan ... and 
elsewhere. 
 
STANTON