Australia Sets New Rule Requiring Netflix, Disney+ and Amazon Prime Video to Allocate 7.5 Percent of Revenue to Local Content

Australia is reshaping the streaming landscape with a policy that forces Netflix, Disney Plus and Amazon Prime Video to invest directly in Australian storytelling. Platforms with more than one million Australian subscribers must now spend at least 7.5 percent of their Australian revenue or 10 percent of local expenditure on new Australian productions. For Netflix alone, analysts estimate an annual obligation near 100 million dollars.

Key components of the policy

• Streamers must invest 7.5 percent of Australian revenue or 10 percent of local expenditure in new qualifying Australian productions.
• Projects must meet federal criteria for Australian creative leadership, production activity and cultural relevance.
• Streamers must file detailed compliance reports that document spending, local engagement and qualifying content.

The intent is direct. If global platforms dominate Australian viewing habits, they should contribute to the development of national creative capacity. The mandate is designed to expand domestic production pipelines, support jobs, energize regional economies and increase the visibility of Australian stories on both national and global platforms.

The policy creates real commercial openings for companies that understand how streaming markets operate. The new requirement establishes a dependable demand floor for production services across the country. Studios, crews, equipment vendors, post facilities and VFX houses now have a clearer view of future market volume. Firms that operate with global streaming standards in mind will capture the most advantage, especially as streamers diversify their slates with more mid tier projects.

Creative IP owners gain a significant position as well. Streamers must now purchase stories that originate in Australia and reflect Australian perspectives. This increases the value of concepts developed by Australian writers, directors and producers. Companies and creators with strong development discipline can negotiate for rights positions rather than accepting work for hire arrangements that offer no long term benefit.

Regional communities also stand to benefit. Productions tend to cluster where vendors, permitting and logistics align. Cities and towns that organize supplier networks for lodging, catering, transportation, construction and specialty services can position themselves as preferred filming hubs. Regional governments that support training programs and coordinated incentive packages can secure a larger share of the mandated spending.

A powerful but less visible opportunity emerges in compliance. Streamers must verify that their investments satisfy federal content definitions. This increases demand for advisory firms, auditors, technology platforms and certification systems that track local business participation, job creation and community benefit metrics. Verified compliance reduces regulatory exposure for global companies operating in a tightly monitored environment.

Australia has shifted local content from cultural preference to financial obligation. The companies and communities that benefit will be the ones that recognize the mandate as a catalyst for strategic positioning, stronger creative ecosystems and long term industry growth.