For U.K.-based international broadcasters like Discovery Communications and Walt Disney Co. concerned about the consequences of Brexit, the European Union has some rather unhelpful advice: look to the 1980s. If broadcasting isn’t covered by a negotiated free-trade deal between Britain and the EU, the fallback is the 1989 European Convention on Transfrontier Television, the European Commission said in a notice on March 19.
The Brexit tremors are already being felt in London, long Europe’s tech and media capital. Because no one knows what the terms of trade are going to be between companies in the U.K. and the EU, a number of firms are apprehensive about remaining in London, and Berlin is already being discussed as a more reliable alternative.
The lasting impact of the U.K.’s vote to break with the European Union won’t be known for years, but the shift has immediate ramifications for the global technology industry. There are a few issues to be particularly mindful of, including IPOs, data sharing, financial tech and immigration.
Monday began with more falling European stocks and a plummeting British pound as markets struggled to process the implications of the U.K.’s departure from the European Union. Here’s a look at the accumulating losses and aftershocks from Friday’s surprise decision.
Thursday’s vote by U.K. voters to leave the European Union has important implications for the advertising industry and was the hot-button issue for attendees at Cannes Friday.
Investors rushed to dump European shares as soon as markets opened this morning, following earlier drops in Asia, and Wall Street was set to fall sharply amid concerns about the economic consequences of the vote. The move could drain confidence among companies and business across the EU, which some fear could even face more defections.
U.K. media stocks crashed Friday morning in the wake of the shocking Brexit victory in the EU referendum. Shares in pan-Euro pay TV giant Sky were down almost 8% by noon, while ITV was down by almost 19%. The stock market woes extended to Europe as well, with French media titan Vivendi down 6% by noon London time and Italy’s Mediaset down more than 8%.