Telecoms ministers from 18 EU countries have either rejected the proposed fee tax or called for a study into the measure’s potential effects. According to those in the know, a majority of EU member states have rejected a drive by Europe’s main telecoms operators to compel major internet corporations like Google to assist in funding the implementation of 5G and broadband in the region.
On Thursday, telecoms ministers from 18 nations met with industry chief Thierry Breton in Luxembourg, where they reportedly either rejected the planned network fee levy on digital corporations or sought a study into the need and impact of such a policy.
That’s in line with what the European Union’s telecoms regulators group, BEREC, said last month.
Since their data and content account for a sizable portion of network traffic, Deutsche Telekom, Orange, Telefonica, and Telecom Italia would like Big Tech to cover some of the associated expenses.
Breton, the European Commission’s industry chief and a former CEO of France Telecom and French IT consultancy firm Atos, has been attentive to their concerns.
However, Alphabet Inc.’s Google, Apple Inc., Meta Platforms Inc. (Facebook’s parent company), Netflix Inc., Amazon.com Inc., and Microsoft Corp. have all spoken out against the proposed fee, citing their own investments in the digital ecosystem as reasons for their opposition.
The European telecom ministers reportedly expressed concerns about Big Tech passing the extra cost on to customers, the lack of an analysis on the impacts of a network fee, and the absence of an investment gap.
They also voiced concerns over potential hurdles to innovation and a decline in product quality, as well as the potential violation of EU “net neutrality” rules that demand all users be treated equally.
Different EU telecom ministries have different opinions
Austria, Belgium, the Czech Republic, Denmark, Finland, Germany, Ireland, Lithuania, Malta, and the Netherlands were named as opponents of a network levy.
However, one of the sources indicated that ten countries supported the concept, including France, Greece, Hungary, Italy, Spain, and Cyprus.
It was reported that Poland, Portugal, and Romania either did not take a position or were neutral, but another source claimed that these countries actually supported a network tax.
Breton will use the comments he receives from Big Tech, telecom providers, and others to inform his next moves, which will be detailed in a report due by the end of June.
Before a bill can become law, it must go through lengthy negotiations between EU member states and EU legislators.
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