Icelandic Minister Criticizes Media Bill Opposition
Iceland's culture minister defends his media subsidy reforms against committee opposition. He says struggling outlets like Sýnar prove the system needs change. The debate highlights tensions between government support and media independence in Iceland.
Iceland's Minister of Culture Logi Einarsson calls minority committee opposition to his media bill unreasonable. He says the poor situation at media outlet Sýnar shows why market action is needed. The government will take these steps in November.
The minority committee opposes lowering subsidy refund ratios for private media. They claim the bill punishes outlets for criticizing the government. Einarsson's proposal would reduce maximum subsidies from 25% to 22%. This affects two companies: Sýnar and Árvakur.
"This framing is simply unreasonable and in poor taste," Einarsson said after a cabinet meeting. "I explained the rationale when I presented this in February. We were actually distributing subsidies more broadly."
He noted the amount involved is approximately 15 million Icelandic krónur for two media outlets. He called this insignificant in the broader context.
Einarsson says Icelandic media face serious challenges. Foreign streaming services now hold 50% market share in Iceland. Only 15% of Icelanders pay for news services.
"We need major action against foreign competition," he stated. "We must improve operating conditions for domestic media and address the balance between private outlets and RÚV, Iceland's public broadcaster."
The minister's frustration reflects genuine concern about media sustainability. Yet the timing raises questions about whether financial pressure could affect editorial independence. Both sides make valid points in a debate that matters for Iceland's small but vibrant media landscape.