Broadcasters Collaborate to Compete in the TV Drama Market: Navigating the Streaming Revolution
The rise of streaming platforms has significantly impacted the television industry, with the release of House of Cards in 2013 being a pivotal moment. This political drama, centered around the American presidency, demonstrated the potential for high-quality, prestige television to be produced and commissioned by streaming services. It also popularized binge-watching, disrupting traditional appointment viewing and reshaping budget expectations for broadcasters.
With an increasing number of households accessing video streaming services (approximately 74% in Ireland), public service broadcasters like RTÉ face the challenge of competing for audiences with original drama. David Crean, Head of Drama at RTÉ, highlights the different starting points of streamers and broadcasters in terms of subscription goals and audience engagement.
RTÉ's approach to funding productions involves finding the best Irish writing, directing, and talent, as explained by Crean. The route from page to screen has become complex, raising cost questions. While budgets vary, an hour of TV drama typically costs at least €1 million. Long-form series remain crucial for broadcasters, offering stable employment and loyal audiences in a fragmented content landscape.
Shorter-form series, however, can be more costly, with budgets running into the millions. The development process, from concept to screen, takes several years and involves securing interest from broadcasters or streamers. Streamers, with their deep pockets, can fully finance projects with the original creative team, aiming for a global audience.
For broadcasters, early script commissioning marks the beginning of a collaborative process, focusing on the domestic audience. Dermot Horan, RTÉ Director of Acquisitions and Co-Productions, explains that early support allows for modest development funding, enabling the release of a small amount of money to commission a script and deck.
The pressure on indigenous TV industries is intensifying due to rising production costs, higher pay expectations, and fragmented audiences. Last year, Peter Kosminsky, director of Wolf Hall, revealed the challenges of securing a second series due to pay cuts and the lack of streamer co-funding.
Rebecca O'Flanagan, Producer and Joint CEO of Treasure Entertainment, emphasizes the collaborative nature of bringing projects to screen, both creatively and financially. The budget includes broadcaster investment, sales agents, tax incentives, and co-funding partners.
RTÉ's funding approach has evolved, with international partnerships becoming crucial to reach certain budget levels. Ireland's Section 481 tax credit is central to the financing landscape, with overall payments in 2025 reaching a record €177 million, a 46% increase from 2024. Both domestic and international series have availed of this credit.
Screen Ireland and Coimisiún na Meán's Sound & Vision fund also support TV drama, with investments in projects since 2020. Production companies highlight the positive economic impact of their shows, such as RTÉ's 'Smother', which brought a large cast and crew to Lahinch, Co. Clare.
The collaborative nature of modern drama production is evident in the end credits, with multiple partners credited. Crean cites 'Kin' as an example of a successful international export, backed by RTÉ and various production companies. Treasure Entertainment's 'These Sacred Vows' showcases the importance of location and tax incentives, with filming in Tenerife and post-production in Ireland.
Broadcasters also innovate by airing episodes exclusively on their streaming service, as Crean mentions with 'These Sacred Vows'. Talent development is another crucial aspect, with initiatives like Virgin Media's Discovers and TG4's Céim Eile and Tús schemes supporting emerging Irish talent.
RTÉ's Storyland initiative, produced with Screen Ireland, has launched emerging Irish creative talent, with alumni progressing to larger-budget productions. Sustainable public funding is essential, according to Screen Producers Ireland, to ensure that public service media can invest in Irish stories that resonate internationally.
Long-standing industry relationships are vital for broadcasters, as Crean and Horan emphasize, with a 'secret sauce' of alliances and financial arrangements. The industry aims to foster growth and talent development, creating a robust ecosystem for TV drama production.
