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France’s Sarkozy Proposes Tax On Internet, Mobile, TV Ad Revenues To Fund Public TV

French President Nicolas Sarkozy would tax mobile phone operators and internet service providers as well as the advertising revenues of private television channels in his radical new proposal to fund a BBC-style public broadcaster in France. As part of a wider plan he calls a “policy of civilization,” the country’s two public television stations would be able to ditch advertising. The FT reports that in return for the funding from the tax revenues, they would have to ensure high quality programming and promote French production. Apparently, Sarkozy likes the cultural and linguistic influence he believes the BBC gives Britain.

How serious is this proposal? The IHT reports that Sarkozy is “determined” to put it in place by the end of the year. This isn’t the first time that France has tried to tax the internet. In December, the French Senate rejected a proposed law that would have levied a two percent tax on all French-based websites disseminating video content. In the past, French politicians have proposed a levy on Internet users that would be used to compensate the music industry for revenues lost to digital piracy. A similar levy was proposed in Canada a few days ago.

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Jan 9, 2008 6:15 AM ET

Posted In: Legal, Regulatory, Countries, Europe

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