Providers call on EU to let tech giants contribute to network costs – IT Pro – News

Sixteen European telecom suppliers, together with KPN, Vodafone and Deutsche Telekom, have referred to as on the EU to let tech giants pay for community prices. The EU is at the moment accumulating suggestions on that potential obligation and can come ahead with a proposal subsequent 12 months.

CEOs of 16 main telecom suppliers say that the telecom sector invests 50 billion euros yearly in infrastructure and that there’s an ‘pressing want’ for extra financing. writes Reuters information company. The businesses state that planning and development prices are rising. Rising vitality costs and ‘costs of different inputs’ additionally have an effect on the telecom sector. The suppliers due to this fact state that the EU should intervene as rapidly as doable.

There have been rumors for a while about the opportunity of having tech giants pay for community prices. The European Fee is at the moment getting ready a session interval, by which tech giants, suppliers and different events can present suggestions on the proposal to let giant tech firms contribute to community prices. For instance, a doable proposal would drive tech firms comparable to Google and Meta to partially finance the development of 5G and fiber optic infrastructure.

A concrete legislative proposal from the European Fee will in all probability not observe till 2023 on the earliest. That proposal then nonetheless must be mentioned by the European Parliament and the Member States earlier than it may be adopted.

Foyer teams of European telecom firms additionally said earlier this 12 months that half of all European web visitors may be attributed to 6 giant tech firms: Amazon, Apple. Fb, Google, Microsoft and Netflix. These firms, in flip, declare that the proposal endangers ‘internet neutrality’. google instructed on Monday for instance that sharing community prices can have ‘destructive penalties’ for customers, ‘definitely in instances of worth will increase’. “Introducing the ‘sender pays’ precept shouldn’t be a brand new thought and would undermine lots of the ideas of the open web.”