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 When Orban won a second consecutive term in 2014, with a
two-thirds parliamentary majority intact, he owed much of that
success to leading TV and radio stations either swinging behind his
right-wing Fidesz party or largely refraining from criticism.
As well as state media, he enjoyed the support of several private
news outlets - bolstered by his long-time friend and supporter Lajos
Simicska, a media tycoon whose empire includes news channel Hir TV,
national and local radio stations and advertising companies.
But Orban can no longer bank on this backing.
Relations have soured with Simicska, who publicly turned against the
prime minister after the election over changes to Hungary's
advertising tax that hit his sprawling holdings.
"We have lost our media, the right-wing media that helped the
supporters of Fidesz," Orban said last year. "There is a conflict
between the government and the owners of the dominant right-wing
media. That is the truth."
And as he looks to extend his premiership once again in 2018, he
faces a formidable task to regain the level of influence over the
media offered by Simicska.
 Three of the premier's close allies are leading efforts to do so,
according to several media sources. They are former Hollywood
producer Andrew G. Vajna, now the government's film commissioner,
Orban's head of communications Antal Rogan, and Arpad Habony, the
premier's long-time adviser, the sources said.
Vajna, Habony and Rogan did not respond to requests for comment.
Orban's spokesman said the prime minister had nothing to add to his
comments last year, when he called for "right-wing civilians" to
create supportive media outlets.
BATTLE FOR TV2
A crucial battleground is TV2 Group. It includes TV2 - the country's
second-largest privately-owned television station after German-owned
RTL <RRTL.DE> - as well as three other smaller cable channels,
representing a big slice of the Hungarian media market.
Simicska has never owned the company, but a close business partner
of his had a contract that gave him the option to buy it at any time
he chose - in practice giving the tycoon significant influence over
decisions at the group.
Vajna bought TV2 in October from two executives of the group, only
for the agreement to be contested immediately by Simicska's partner,
who said he had exercised his option to buy the company two days
before the deal was announced.
The resulting legal battle has yet to yield a clear outcome. But
industry players say loss-making and debt-laden TV2 badly needs
extra revenue from state advertising and also the long-anticipated
introduction of a cable distribution fee - both of which they say
are more likely if Vajna owns the firm and not a competitor.
"Acquiring TV2 now is hardly good business without the proper
government connections," an executive at a leading TV station said
on condition of anonymity.
 TV2 and its senior executives declined to comment.
Hungary's government denies exerting pressure on the media and says
it meets EU standards on media freedom.
Vajna, who made his name producing movie franchises like Terminator
and Rambo and now owns four of five Hungarian casino concessions,
told the daily Nepszabadsag this week that TV2 was one of several
media projects he was involved with, and denied he was doing Orban's
bidding.
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"Of course I mentioned this undertaking to him but it would be a
stretch to say we discussed it," the 71-year-old said.
Vajna has also said he would put up the investment needed to make
TV2 successful and profitable, without giving details.
NEW MEDIA GROUP
Meanwhile 48-year-old Habony - who has helped orchestrate several
Fidesz election victories as an unofficial spin doctor for Orban -
has launched a new media company, Modern Media Group (MMG).
The group has denied it will be a mouthpiece for Orban, but its
launch last year came shortly before the premier publicly appealed
to his supporters to create new outlets through which the government
can get its message across.
MMG so far consists of two news websites, 888.hu and Lokal.hu, which
often carry state advertising, and a free weekly magazine that
prints 500,000 copies in Budapest.
The group's CEO is Peter Keresztesi, also communications chief at
the government-affiliated think-tank Szazadveg. He said the owners
had seen a gap in the media market - he did not elaborate on that,
and declined to discuss the group's plans.
Asked whether MMG would support the government, he said: "The
company is organized on a market basis. Any subject that goes down
well with media consumers could be interesting."
Rogan's role in the trio's media drive is on the advertising side,
according to the industry sources.
As part of his job as the government's communications chief, he
oversees a 25 billion forint ($85.5 million) advertising budget -
making him the biggest player in Hungary's 189 billion forint
advertising market.
The executive at a leading TV station said the large state
advertising budget served as a big attraction for investors in the
media industry.
"But it takes knowing when to shut up, and 25 billion will influence
that too. If you shut up you can proceed to the cash desk," said the
executive, adding: "There is no independent media in Hungary."
While Habony, Vajna and Rogan are pursuing separate paths, industry
sources say they have worked have closely together for years and are
now co-ordinating their efforts. The three are friends and are often
seen and photographed together.
"That these three people move in concert is beyond doubt," said
Gabor Polyak, a media analyst at think-tank Mertek. "Rogan doles out
the money, while Habony and Vajna build a media network, using their
connections and capital."
Rogan and government spokesmen did not respond to repeated requests
for comment about the allocation of the state advertising budget.
(Editing by Pravin Char)
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After
split from ally, Hungary's Orban strives to muster media muscle
