Similar forces are driving massive changes to traditional TV, which is now facing challenges from competitors such as Netflix, clever sports codes and online news streaming.

We need to change the rule book so that the new digital era can flourish and at the same time make sure we don't go too far.

The Broadcasting Services Act (1992) is from a pre-internet era.

It restricts broadcasters to a reach of less than 75 per cent of the population (the "reach rule").

Yet now, any broadcaster can reach the entire population through the internet.

As a regional MP I despair at the impact of the reach rule. It is squeezing the life out of our regional TV networks. As the metropolitan networks sell them content at high prices, they cut local news content to the bone, and cut new investment in transmission towers. They have no choice.

TV towers might seem unnecessary in the modern era, but free-to-air will remain important for older viewers and for high-profile national TV events. To make things worse, large parts of regional Australia lost TV reception in the recent switchover from analogue to digital.

Broadcasters also face restrictions in merging with radio and newspapers. The "two out of three" rule prevents ownership of TV, radio and newspapers in any one licence area. Again, in a modern era the obvious answer is to combine written content with TV and radio, just as the ABC does. In practice, this rule means that a newspaper company like Fairfax can't add both radio and TV to its network.

Media deregulation has been waiting in the wings for far too long. If we don't act quickly to ensure a smooth transition, large parts of our media sector are at risk in the same way the traditional music industry, bookstores and taxis are at risk.

Local news content, TV transmission and access to major sporting events are also at risk.

Angus Taylor,

Hume MP