TLDRs;
- South Korean lawmaker Choi Soo-jin accuses Google of skipping up to $244 million in local network fees for 2024.
- Proposed legislation would make global content providers like Google and Netflix pay to use Korean internet infrastructure.
- Big Tech firms oppose the bill, citing double billing and net neutrality concerns.
- The outcome could shape global standards for how digital platforms contribute to national internet ecosystems.
A South Korean lawmaker has accused Google of failing to pay hundreds of billions of won in local network usage fees, sparking renewed debate over whether global tech giants should contribute to the nation’s digital infrastructure costs.
Choi Soo-jin, a member of the National Assembly’s Science, ICT, Broadcasting, and Communications Committee, claims Google Korea may have avoided paying between 214.7 billion won (US$150.7 million) and 347.9 billion won (US$244 million) in 2024 alone. The figure is based on Google’s estimated revenue in South Korea and its reported 31.2% share of national internet traffic.
Choi urged the government to move forward with legislation that would require major foreign content providers such as Google, Netflix, and Meta, to pay fair compensation for their heavy use of South Korea’s networks.
Lawmakers Renew Push for Network Fee Legislation
The renewed push echoes similar debates held in 2022, when lawmakers discussed a bill to make global content providers contribute to local internet infrastructure costs. At the time, Google and Netflix accounted for more than a third of South Korea’s total internet traffic, prompting lawmakers to argue that such companies should “review the issue more proactively.”
While proponents believe the legislation ensures a “fair share” of payment for maintaining high-speed infrastructure, others warn it could lead to unintended consequences, such as higher subscription prices or reduced support for smaller local creators.
Opposition lawmakers, including Jung Chung-rae, previously cautioned that the proposal could “risk the collapse of domestic content providers” while primarily benefiting a small number of local internet service providers (ISPs).
Big Tech Pushes Back Against Mandatory Fees
Google and other major tech firms have strongly opposed the idea of mandatory network fees. Their main argument centers on “double billing”, the idea that users already pay ISPs for internet access, meaning content providers should not be charged again for delivering data.
Google South Korea’s country director, Kyoung Hoon Kim, previously stated that any new fee system would require a “deep review” of how global digital platforms operate. Similarly, Netflix South Korea’s director Liz Chung noted that the company is investing in “technical measures” to manage growing traffic more efficiently.
Tech companies also raise concerns about net neutrality, arguing that forcing payments for bandwidth could allow telecom companies to prioritize or throttle certain content, undermining the open nature of the internet.
The Global Ripple Effect
The debate over network fees is not confined to South Korea. In Europe, regulators have explored similar measures to make platforms like Google, Meta, and Netflix bear part of the cost of expanding telecom infrastructure. Large telecom operators have welcomed such proposals, while smaller ones warn they could distort competition and entrench Big Tech dominance.
For South Korea, the issue carries both economic and cultural weight. The nation boasts one of the world’s fastest internet networks, with YouTube alone attracting over 41 million active users, nearly 80% of the population. These users collectively logged 1.38 billion viewing hours in September, underlining the scale of foreign data traffic funneled through local infrastructure.
As lawmakers prepare to revisit the debate, observers say the outcome could set a precedent for how countries worldwide balance digital innovation, infrastructure sustainability, and fair corporate contribution.