[Asia Economy Reporter Seungjin Lee] YouTube has expressed concerns about the 'Mandatory Network Usage Fee Law' currently being discussed in the National Assembly and warned of the possibility of halting investment in the Korean market.
On the 20th, Gautam Anand, Vice President and Head of YouTube Asia-Pacific, revealed YouTube's official stance on the Korean network usage fee bill through the YouTube Korea blog. This is the first time YouTube has publicly commented on the domestic network usage fee law and stated its official position.
Vice President Gautam Anand stated, "If the amendment to the Telecommunications Business Act currently being discussed in the Korean National Assembly is enacted, it will affect the Korean creator community and may hinder YouTube's opportunity to continue investing in the success of Korean creators, which is regrettable."
The mandatory network usage fee bill submitted to the National Assembly requires global content providers (CPs) such as Netflix and YouTube, who cause excessive traffic, to be responsible and mandatorily enter into network usage fee contracts with domestic network service providers (ISPs).
Regarding this, Anand argued, "The bill essentially requires internet service providers to charge users and video platform companies like YouTube twice for providing the same service," and added, "If the amendment passes, YouTube will bear enormous additional costs."
He also emphasized that content platform services like YouTube are an important factor that adds value to the internet services provided by network operators. He explained, "The additional costs that may arise from the proposed legal amendment will directly impact YouTube's business in Korea, which means YouTube may find it difficult to continue investing in the Korean creator ecosystem as it rightfully should."
He reiterated his intention to continue explaining the network usage fee bill through meetings with lawmakers. Anand said, "I will strive to explain what results the re-discussed bill could bring to YouTube's business in Korea and how it could affect the Korean creator community," adding, "I believe lawmakers have the intention to nurture Korea's creative talents and will listen to the concerns of creators."
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