The European Commission wants to create a single market for online media by encouraging multi-territory licensing and increasing the transparency of digital rights management.

Clearer regulation regarding piracy and the protection of intellectual property will help content producers to make films, music and computer games available online, according to the Commission.

And simplified copyright rules and pan-European distribution licences will encourage consumers to download online media, said Viviane Reding, commissioner for the Information Society.

"We have to make a choice in Europe: do we want to have a strong music, film and games industry?" said Reding.

"Then we should give the industry legal certainty, give the content creators a fair remuneration and give consumers broad access to a rich diversity of content online."

The Commission has launched a public consultation, ahead of recommendations to be made to the EU Council and Parliament next year. And a stakeholder forum, called the Content Online Platform, will be set up later this year to promote collaborative work and discussion of relevant issues.