Google, Netflix Under Scrutiny in South Korea Over Network Fees
South Korea’s parliament saw warmed argument on Friday over recommended regulations to make worldwide web content service providers such as Netflix and also Alphabet’s Google pay South Korean network costs.
The considerations mirror efforts in Europe by some nations that desire the European Commission ahead up with regulations that guarantees Big Tech companies partially money telecommunications facilities, as video clip streaming and also various other information use rises.
Various variations of regulations have actually been recommended in South Korea in the hope of making the firms pay what fans of the reform call a reasonable rate.
The hearing is anticipated to be ended late on Friday however the proposition is still viewed as some method far from progressing to the following phase of the legal procedure.
“ Google and also Netflix represent greater than a 3rd of residential web traffic … It suits worldwide firms to examine the problem much more proactively,” legislator Hong Suk-joon claimed throughout the hearing.
Others differed, claiming enforcing costs on the huge technology firms might imply they might elevate their very own costs and also threaten South Korean web content designers.
” It runs the risk of the collapse of residential web content service providers while attempting to safeguard a handful of residential access provider,” claimed Jung Chung-rae, head of the parliament board managing the problem.
Google’s YouTube has actually wared the expense and also greater than 259,824 individuals have actually authorized an application opposing the regulations, according to activist team Opennet.
” It will certainly be required to deeply examine the method business is run,” Google South Korea’s nation supervisor Kyoung Hoon Kim informed legislators, describing what would certainly take place if such regulations was presented.
Liz Chung, a supervisor at Netflix’s South Korean device, claimed her firm was trying to find methods to manage rising web traffic.
” We are creating a variety of technological procedures to successfully make use of networks and also react suitably to web traffic development,” Chung claimed.
In Europe, a regulatory authorities’ strategy to make Google, Meta and also Netflix birth some telecommunications network prices has actually rated by huge telecommunications drivers, however smaller sized ones advised it would certainly misshape the telecommunications market and also injury competitors.
It sets you back cash to develop and also preserve subsea wires and also facilities that bring information from one location to one more and also the blowing up appeal of worldwide video clip web content has actually elevated the prices of bringing information kept overseas, specialists claimed.
YouTube has 41.8 million energetic South Korean customers, out of a populace of 51.6 million. They utilized YouTube for a consolidated 1.38 billion hrs in September, according to information carrier Mobile Index.
Global mobile information web traffic got to 67 exabytes each month by the end of 2021, forecasted to get to 282 exabytes in 2027, Sweden’s Ericsson claimed in a June record. Video clip web traffic represent concerning 69% of the web traffic, and also is anticipated to increase to 79% in 2027.
South Korean network carrier SK Broadband has actually litigated in the hope of making Big Tech pay costs.
SK decreased to comment.
“( Legislation) might have effects consisting of web content service providers handing down prices to end-users,” claimed Kim Hyun-kyung, teacher at Seoul National University of Science and also Technology.
© Thomson Reuters 2022
