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Majority of EU Member States Oppose Network Fees for Big Tech, Sources Say

Majority of EU Member States Oppose Network Fees for Big Tech, Sources Say

 


BRUSSELS (Reuters) – The majority of European Union member states will force big tech companies to fund 5G and broadband rollouts in the region, according to people familiar with the matter, with Europe’s major telecom operators rejected the pressure of

Telecommunications ministers from 18 countries rejected or criticized proposed network tariffs on tech companies at a meeting with EU industry chief Thierry Breton in Luxembourg on Thursday, according to sources familiar with the matter.

This echoes comments made last month by the EU telecommunications regulator BEREC.

Deutsche Telekom (DTEGn.DE), Orange (ORAN.PA), Telefónica (TEF.MC) and Telecom Italia want big tech companies to cover some of the network costs, and the European Commission’s industry Responsible, ex-European Commissioner Breton listens favorably. CEO of France Telecom and French IT consulting company Atos.

Google of Alphabet Inc (GOOGL.O), Apple Inc (AAPL.O), Meta Platforms Inc (META.O), Netflix Inc (NFLX.O), Amazon.com Inc (AMZN.O), Microsoft Corp (MSFT.O) O)) rejected the idea of ​​taxation, saying it invested in the digital ecosystem.

Ministers said there was a lack of analysis on the impact of network levies, a lack of investment disparity, and the risk that big tech companies would pass on additional costs to consumers in the form of higher prices, according to people familiar with the matter. mentioned.

It also warned of potential violations of EU net neutrality rules, which mandate equal treatment of all users, barriers to innovation and diminished product quality.

Critics also included Austria, Belgium, the Czech Republic, Denmark, Finland, Germany, Ireland, Lithuania, Malta and the Netherlands, according to people familiar with the matter.

Cyprus, France, Greece, Hungary and Italy supported the idea, while Poland, Portugal and Romania either took a neutral stance or did not.

Bretton plans to publish a report by the end of June outlining the feedback provided by big techs, telecom providers and others, outlining next steps.

Any legislative proposal must be negotiated with EU member states and EU parliamentarians before it becomes law.

Reporting by Foo Yun Chee, Editing by Rosalba O’Brien

Our standards: Thomson Reuters Trust Principles.

Sources

1/ https://Google.com/

2/ https://www.reuters.com/business/media-telecom/majority-eu-countries-against-network-fee-levy-big-tech-sources-say-2023-06-02/

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