S.Korea broadband company sues Netflix after visitors surge from ‘Squid Game’ – CLAPPC

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The Netflix collection “Squid Game” is performed on a cell phone on this image representation taken September 30, 2021. REUTERS/Kim Hong-Ji/Representation

SEOUL, Oct 1 (Reuters) – South Korean Web provider supplier SK Broadband has sued Netflix (NFLX.O) to pay for prices from higher workforce visitors and upkeep paintings because of a surge of target audience to the U.S. company’s content material subject matter subject material, an SK spokesperson discussed on Friday.

The transfer comes after a Seoul court docket docket docket discussed Netflix will have to “moderately” give one thing in go back to the web provider supplier for workforce utilization, and a few South Korean lawmakers have spoken out against content material subject matter subject material suppliers who don’t pay for workforce utilization without reference to producing explosive visitors.

Netflix discussed it will analysis SK Broadband’s declare, and search discussion and discover tactics throughout the duration in-between to paintings with SK Broadband to verify consumers don’t seem to be affected.

The recognition of the hit collection “Squid Game” and different possible choices have underscored Netflix’s standing as the rustic’s second-largest records visitors generator after Google’s YouTube, however the two are the one ones not to pay workforce utilization charges, which different content material subject matter subject material suppliers paying homage to Amazon, Apple and Fb are paying, SK discussed.

Netflix’s records visitors treated by means of SK jumped 24 instances from Would possibly 2018 to a minimum of one.2 trillion bits of knowledge processed consistent with moment as of September, SK discussed, using at the luck of quite a lot of Netflix productions from Korea at the side of “Squid Game” and “D.P.”

SK Broadband discussed it lodged a lawsuit against Netflix for it to pay for the use of SK’s networks since Netflix started the use of SK’s faithful line beginning 2018 to ship an increasing number of higher quantities of data-heavy, high-definition video content material subject matter subject material to focus on marketplace in Korea from servers in Japan and Hong Kong.

Final one year, Netflix had introduced its private lawsuit on whether or not or no longer or not it had any legal accountability to pay SK for workforce utilization, arguing Netflix’s accountability ends with rising content material subject matter subject material and leaving it to be had out there. It discussed SK’s bills were incurred whilst relaxing its contractual duties to Web consumers, and supply throughout the Web international is “free of charge as a concept”, in keeping with court docket docket docket paperwork.

Then again the Seoul Central District Courtroom docket docket dominated against Netflix in June, announcing that SK is noticed as offering “a provider equipped at a price” and it’s “inexpensive” for Netflix to be “obligated to offer one thing in go back for the provider”.

SK estimated the gang utilization charge Netflix had to pay was once about 27.2 billion won ($22.9 million) in 2020 by myself, the court docket docket docket record discussed.

Netflix has appealed against the ruling, court docket docket docket data confirmed, with contemporary court cases to start out in past due December.

Netflix discussed in a remark on Wednesday that it contributed to the coming of about 16,000 jobs in South Korea stemming from about 770 billion won in investments, together with an financial impact of about 5.6 trillion won.

Ruling celebration lawmaker Kim Sang-hee discussed on Wednesday that out of South Korea’s best possible 10 records visitors turbines, 78.5% of the visitors got proper right here from international content material subject matter subject material suppliers, up from 73.1% a one year previous, with “Google-YouTube and Netflix that account for almost all turning a blind eye to workforce utilization charges”.

($1 = 1,187.3400 won)

Reporting by means of Joyce Lee; Enhancing by means of Raju Gopalakrishnan

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One thought on “S.Korea broadband company sues Netflix after visitors surge from ‘Squid Game’

  1. Heya just wanted to give you a quick heads up and let you know a few of the pictures aren’t loading properly. I’m not sure why but I think its a linking issue. I’ve tried it in two different internet browsers and both show the same outcome.

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