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It depends on whose definitions of those terms are being used, but generally the distinction is about whether a media outlet depends on a state for funding (and has a strong incentive to make sure its editorial judgment aligns with the state’s interests), or whether funding comes from the public in such a way as to incentivize content that serves the public’s interests.
In the United States there is legislation that forbids the U.S. government from directly broadcasting its own propaganda to the U.S. public. The Corporation for Public Broadcasting exists in large part to make sure that any financial support originating from the federal government has as little editorial influence as possible on PBS and NPR, which both rely largely on private donors and audience member support.
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