France tightens on-demand audiovisual media services investment obligations

From 1 January, Decree No. 2025‑1421 has amended the SMAD Decree (No. 2021-793 of 22 June of 2021) to require on‑demand audiovisual media services to allocate at least 20% of their audiovisual investment obligations to animation, creative documentaries or live performance recordings in line with their editorial policy.

For services with annual net turnover in France above €50 million, 75% of that 20% must – for each of these genres – be devoted to unreleased works (amended article 17 of the SMAD Decree).

Additionally, the ability to count the acquisition of foreign-rights territories for animated works is now capped, in line with the regime already applicable to cinematographic works (amended article 15 of the SMAD Decree). This introduces a stricter treatment for animation than for other audiovisual genres.

Compared with the draft decree notified to the European Commission (see our October 2025 newsletter), the adopted SMAD Decree provides for a “grace period” for service providers already bound by an existing professional agreement, allowing them to defer the application of the new obligations until the end of that agreement.

These provisions apply to on‑demand audiovisual media services established in a member state other than France or in a third-party country outside the EU (including the UK), provided that they meet certain turnover and audience thresholds in France.

Why it matters: On-demand AVMS providers will need to rebalance their French‑qualifying investment strategies towards animation, documentary and live-performance recordings.