In defense of a consultation on whether Big Tech companies should help pay for renovations, a top European Union official claimed Monday that Europe’s current telecom networks aren’t equipped to handle the surge in internet data traffic.
The telecom sector is undergoing a “radical shift,” driven by a new wave of innovation, including immersive, data-hungry technologies like the metaverse, said Thierry Breton, the European Commission official in charge of digital policy, at the MWC, or Mobile World Congress, a significant industry expo in Barcelona.
Breton made his comments a few days after announcing a consultation on whether or not tech giants should contribute to the billions needed to build the 27-nation bloc’s future communications infrastructure, including fifth-generation (5G) wireless and fiber-optic cable connections, to keep up with the surging demand for digital data.
Breton stated in a transcript of a keynote address at the MWC conference, “Well, of sure, we will need to establish a financing strategy for the large investments needed.
Telecommunications businesses lament having to bear the high expenses of setting up and maintaining network infrastructure in order for major digital streaming services like Netflix and Facebook to profit from the growing demand for online services from consumers.
According to Breton, “the consultation has been compared to the fight over fair share between Big Telecom and Big Tech.” “A binary decision between those who supply networks today and those who offer the traffic that fuels them. I do not view things that way.
According to major tech businesses, consumers may suffer if they end up paying twice for their online subscriptions.
Breton rejected claims that the consultation was a dig at Big Tech or that he was supporting telecom firms.
He later told reporters, “I’m recommending a fresh strategy.” He noted that the issues open for consideration include the amount of investment required and whether regulations need to be altered.
“There will be no taboos here.” Do we have to change it? Do we really need to get into who pays for what? The consultation today is specifically about this, according to Breton.
