France proposed a 5.5 euro-cent per gigabyte tax for tech giants

France’s National Assembly in a first reading backed an amendment to the 2027 budget that would charge 5.5 euro cents for each gigabyte of data sent to users in the country.

Rate and payers of the levy

Companies that send data to users in France would have to pay; the rate is proposed at 5.5 euro cents per 1 GB. The levy is capped at 15% of a company’s French turnover or 2% of its global turnover.

The authors of the amendment expect to raise €10 billion in revenue each year. According to the regulator Arcep’s estimate, subscribers of French providers receive about 200 billion GB of traffic annually.

The building of France's National Assembly and an internet traffic chart

How traffic will be measured and who will provide the data

Traffic volumes will be measured by internet service providers Orange, SFR, Bouygues Telecom and Free: they will transmit anonymised data to the tax authority on a quarterly basis showing how much traffic each supplier sent. The content of the transmitted data will not be analysed, only the number of gigabytes.

Arcep estimates that half of the annual flow, about 100 billion GB, is generated by five companies: Google, Meta, Amazon, Netflix and Akamai.

Fibre-optic cables and digital data on a screen

Criticism, examples of cost and the adoption procedure

Budget Minister David Amiel voiced reservations that such measurement would require special sensors in operators’ networks or measurements on users’ devices, and that half the tax could fall on smaller content providers, in particular French ones. The general rapporteur of the finance committee, Philippe Juvin, warned that platforms would pass the costs on to advertisers.

The non-profit organisation VideoLAN wrote on X that deputies “voted for a tax they do not understand”, and it will cost them more than €1 million a year. An example given: downloading a 200 GB game would cost a provider approximately €11.

The provision has not been finally adopted: the budget must pass the full first reading, then the document will be considered by the Senate, where the centre-right holds the majority. The government could also invoke Article 49.3 and remove the amendment during final adoption.

Oleksii Liubatskyi

Oleksii Liubatskyi

Editor-in-Chief

Editor-in-Chief of Concord Fintech, responsible for editorial policy, technical development and publication quality. With experience in web development, server administration and SEO, he makes sure financial news, exchange rates and bank directories update quickly and read well on any device.

All author's materials (943)

Leave a reply