this post was submitted on 02 Nov 2026
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At least that's what VLC thinks when protesting the new French law.

France's National Assembly has voted in favour of a new "internet tax" that would charge companies for every gigabyte of data they send to users in France.

The idea is to make Netflix, Google, Meta and the rest of Big Tech pay more.

That sounds like a dream come true for many of us who prefer taking ownership of data in our own hands but unfortunately things are not that simple.

The way this law is written, it doesn't stop at Big Tech. Even VLC, a free and open source media player maintained by a non-profit, could end up paying this new tax. What the new French internet tax says New French Internet Tax law

The measure is amendment I-1358 to France's 2027 finance bill, tabled by Laurent Lhardit. It creates a tax on "producers of digital data" at €0.055 (5.5 euro cents) for every gigabyte delivered to subscribers of French internet providers.

Internet providers would measure how much data each sender pushes to their customers, with the collection supervised by telecom regulator Arcep and the tax administration DGFiP. Only the volume is counted, not the content or where it goes.

The amount is capped at 15% of the company's revenue in France or 2% of its total revenue, as per the amendment. Note that it's 15% of French revenue, not of total network traffic. And the text joins the two caps with an "or" without saying which one applies when they differ. How much money are we talking about?

The amendment cites an Arcep estimate of 200 billion GB a year flowing to French internet subscribers. It expects the tax to bring in €10 billion a year. It also names Google, Meta (Facebook, Instagram), Amazon, Netflix and Akamai (cloud server provider) as the senders of about half of that traffic.

You'd think the money goes to the telecom operators who build and maintain the networks. That's the "fair share" argument European telcos have pushed for years.

But that's not the case. The revenue goes straight into the state budget, and the amendment's own justification talks about tax fairness between local businesses and digital multinationals, plus the ecological benefit of compressing data.

Why VLC is angry

A gigabyte of open source software counts the same as a gigabyte of Netflix. VideoLAN, the French non-profit behind VLC, posted on X that the tax would cost it over €1 million a year.

Lhardit replied that the cap would protect VideoLAN. He also said he didn't see how the tax could be passed on to users of Facebook, Instagram or TikTok since those services are free.

VideoLAN didn't take that well:

You have no idea what you are talking about. What you said about Facebook and Insta and other social networks are not targeted because they are free, means you don't understand the basics of economy. You don't understand the difference between Revenue and Profit.

VideoLAN (@videolan), October 30, 2026

The cap may limit what a low-revenue non-profit owes. But there is no explicit exemption for associations, free software or free content anywhere in the text. VideoLAN's €1 million is the possible figure before the cap, and right now nobody can tell the exact figure for certain because of all the ambiguity.

VLC isn't alone. OVHcloud founder Octave Klaba put his company's gross exposure at around €70 million a year, and Free's (Teleccom) Xavier Niel called the authors "ignares incompétents", roughly "incompetent ignoramuses". Those are French companies, by the way. Not exactly the US giants this internet tax bill was meant to tame. At the end, the consumer pays the bill

See, a "war on Big Tech" sounds great in a headline, and European governments are fond of laws that squeeze extra money out of American tech companies. But I don't buy the idea that Netflix will pay them out of their pocket.

Netflix will do what it always does and raise subscription prices. And Facebook is "free" only because advertisers pay for it, which is exactly the revenue versus profit point VideoLAN was making.

So the government gets extra money, Big Tech protects its margins, and you end up paying. Meanwhile, non-profit projects like VLC, which never had a price to raise in the first place, are left wondering how big their bill will be.

Let's just hope that this doesn't take the form of law. Because this will set a precedence. I wouldn't be surprised to see other European countries try their own version. No government will say no to extra tax revenue.

Like GDPR, this has all the ingredients of another mess. If a law is going to tax "internet companies", it needs to say in black and white which ones. Right now, it doesn't.

What do you think? A fair way to make Big Tech pay, or a blunt instrument that hits everyone else? Let me know in the comments.

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[–] skisnow@lemmy.ca 7 points 14 hours ago

I was broadly with them until the penultimate paragraph; the only "mess" GDPR has made has been one that was deliberately self-inflicted by petulant advertisers trying to make things difficult for users in an attempt to get it neutered, because it actually requires companies to treat your personal data with a basic level of care and respect.

[–] Spite_By_Design_LLC@lemmy.dbzer0.com 13 points 20 hours ago* (last edited 20 hours ago) (2 children)

I don't understand. So, if VLC was downloaded from Tucows or GitHub...who pays? Surely not VLC, because as I read it, this taxes "producers of digital data" but the measurement mechanism is ISPs counting bytes by sender IP.

So if a French user downloads VLC from Tucows, Sourceforge, or Akamai's CDN, the bytes come from Tucows/Akamai's IP, not VideoLAN's. Under a strict sender-IP reading, Tucows pays, not VideoLAN.

Wat?

If in some crazy world this actually goes ahead as written, one of two things happen

  1. Everyone on earth geoblocks French IPs
  2. Everyone dumps everything onto mirrors and washes their hands of it.
[–] tazeycrazy@feddit.uk 9 points 17 hours ago (1 children)

What if I carry a pen drive of software across the border and give it to a frenchman. will that incur a fee.

[–] Spite_By_Design_LLC@lemmy.dbzer0.com 10 points 16 hours ago (1 children)

High treason, I'm afraid. You'll swing for that.

[–] tazeycrazy@feddit.uk 4 points 8 hours ago (1 children)

This is France. To the guillotine.

[–] rumba@lemmy.zip 6 points 16 hours ago* (last edited 16 hours ago)

producers of digital data

They have an interesting take. What if they tax Sony for HBO streaming Spider-Man? What if it's EMG for spotify tracks? almost impossible to track.

I think they're more concerned about Github... but that follows.

[–] carpelbridgesyndrome@sh.itjust.works 11 points 22 hours ago (1 children)

This is like fucking link taxes again. What this will do is make it harder for new companies to complete with established players

[–] copingwithelmons@lemmy.world 1 points 14 hours ago

Yeah that makes sense. Populist policies with easy loop holes, nothing substantial. They'll just pass the cost to customers in one way or another.

Maybe they should have policies to support and incentivize competition as well with it?

[–] brax@sh.itjust.works 10 points 22 hours ago

Anything to avoid making the actual problems pay their share of taxes. Now they can write the whole thing off as a failure and allow these other companies to continue paying the bare minimum.

Why not just charge a subscription tax? 🤔

[–] TrackenDaKracken@lemmy.world 10 points 22 hours ago

They'll do a 180 once the riots start.

[–] danielfm123@lemmy.zip 9 points 23 hours ago

Because VAT on internet service and subscription is not enough...

[–] teri@discuss.tchncs.de 46 points 1 day ago (4 children)

WTF Why can't they simply make companies pay proper taxes instead?

[–] matlag@sh.itjust.works 6 points 21 hours ago

They currently dodge taxes by transferring all benefits to the country with the lowest tax rate within the EU: Ireland. It's easy, you just have the Irish branch charging bullshit fees to other entities that match their revenues.

Besides that

https://www.cnbc.com/2019/07/11/france-passes-digital-tax-on-us-tech-firms-despite-trade-threat.html

But this previous tax was largely criticized for being ineffective against big tech also. Given it didn't work that well, this one is the next attempt.

One day, one can hope, they'll ask a tax expert instead of their guts… or asses…

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[–] MaxLemminist@lemmy.ml 27 points 1 day ago

I see comments here calling these decisions dumb or stupid.
Plenty of cases everywhere of politicians passing laws claiming they have a certain purpose but will never work as intended.

They already know this!
The so-called reason is a cover for their actions.
Like they use reasons of terrorism or child protection to impose more spying.
If you are giving them the excuse of stupidity it is you who is stupid.

[–] lorty@lemmy.ml 6 points 22 hours ago

From what I understand, this still needs to pass another round of voting and presidential sanction and is likely to be rejected.

Still a stupid idea.

[–] danielfm123@lemmy.zip 5 points 23 hours ago

I god a self hosted blog, I'll have to block french IP....

[–] VAK@lemmy.world 23 points 1 day ago

Wtf France! That's a stinking pole of shit. Just tax wealth. Maybe at EU level.

[–] 16mhz@lemmy.ml 26 points 1 day ago

Having such incompetent officials passing such stupid laws explains why French people riot so often.

[–] Majestic@lemmy.ml 31 points 1 day ago* (last edited 1 day ago) (2 children)

This is an attack on the open web and small players.

Big businesses like Netflix, Microsoft, Google, Ubisoft can afford to pay this and will simply pass the costs onto consumers in many cases. They won't entirely like it but they will like how it will totally destroy free software, small business competition, online file sharing/torrenting (they'll inevitably amend this if it doesn't already cover foreign websites to block those that don't pay the fees for all that data you're using for videos that don't result in the big media companies getting paid).

Big corporate entities have used measures in a similar vein in the past to gatekeep a market and keep out competitors. By raising the burden for entering or remaining in a market it creates pressures forcing out all but the biggest entities who can afford to pay it, thus allowing them a monopoly position from which they may better abuse consumers with lower quality, worse service, higher prices, etc.

It will coerce video game distributors like Steam to charge customers in France to re-download a game for example. Some companies would be very interested in this kind of exploitation of every click and move you make.

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[–] njm1314@lemmy.world 116 points 1 day ago (3 children)

Absolute madness that this isn't limited to commercial operations, business trying to make a profit.

[–] giant_smeeg@feddit.uk 45 points 1 day ago (1 children)

Also - Queue netflix sending 1mbps 4k streams to save data.

[–] klankin@piefed.ca 8 points 23 hours ago

Imagine the ecological benefit of having to reencode a couple of petabytes.

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[–] smiletolerantly@awful.systems 24 points 1 day ago (2 children)
  1. this is a joke of a law meant to generate headlines and nothing else; congrats on biting.

  2. how dare you imply the GDPR is bad. It might just be the best consumer protection law ever put to paper, certainly in the digital space. It has massive positive impact on the privacy of EU citizens, and even beyond. All the shitty things associated with GDPR - namely, annoying cookie banners - are not mandated by GDPR, they are malicious compliance from companies furious they can no longer steal your data without telling you. And even then: incredibly small price to pay.

[–] rumba@lemmy.zip 5 points 22 hours ago

The very system you're posting this on could be wiped out after a bad move or two in GDPR. Your admin is legally responsible.

It's not to say that GDPR is all bad, but it certainly does not give reasonable leeway to the open source and volunteer communities.

[–] boonhet@lemmy.zip 9 points 1 day ago

French companies seem to be biting though so it seems they think there's danger of it being passed? This is also the country whose courts decided to force Quad9 to block their entire country because the alternative was to start telling their French users which websites they're allowed to visit based on what private companies say should be banned.

I don't think the French know how to Internet.

[–] EvergreenGuru@lemmy.world 76 points 1 day ago (1 children)

This is the internet version of making people pay for the air they breathe.

[–] WhatAmLemmy@lemmy.world 11 points 1 day ago* (last edited 1 day ago)

It's almost like it's designed to destroy domestic non-profits and small businesses, while benefiting major incumbents?

Never attribute to stupidity what can be adequately explained by the greed and psychopathy of the profit motive.

[–] Logarrhythmia@lemmy.world 13 points 1 day ago

They tried to introduce an internet tax in Hungary. It was really a ruse. While people protested they pushed much more damaging legislation. My guess is that this might be a ruse as well.

[–] nullify3112@lemmy.world 36 points 1 day ago (1 children)

So if I get this straight, me traveling to france and streaming 1GB of movies I own on my jellyfin server in the US would make me receive a tax bill in the mail?

The french are so good at making laws without scoping out the consequences

[–] Orygin@sh.itjust.works 9 points 1 day ago (1 children)

"the french" more like capitalists trying to extort more money. Nothing exclusively french about that

[–] criscodisco@lemmy.ml 6 points 1 day ago (1 children)

More like out of touch politicians that don’t understand technology.

[–] Orygin@sh.itjust.works 2 points 19 hours ago

These laws are proposed not by the politicians themselves (they indeed don't understand technology) but by the capitalists that own them

[–] explodicle@sh.itjust.works 3 points 1 day ago (1 children)

This is actually good for mesh networks.

[–] rumba@lemmy.zip 7 points 22 hours ago (2 children)

This is actually good for mesh networks.

Ehh, kinda. Mesh and high-volume data aren't great bedfellows. Where mesh shines isn't what's being taxed.

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[–] Aria@lemmygrad.ml 7 points 1 day ago

That sounds like a dream come true for many of us who prefer taking ownership of data in our own hands but unfortunately things are not that simple.

How?? If it costs more to send data, Netflix will just send you lower quality video. You should want them to send you the same data or more data, but in a standard file type so it works with all your software and devices.

But hey, maybe companies will cut back on their node_modules folders now.

[–] 87Six@lemmy.zip 56 points 1 day ago

Sometimes I think that French hate is silly

Sometimes

[–] ouch@lemmy.world 32 points 1 day ago (1 children)

First all the idiotic DNS (over)blocking and now this. Idiots must be running France.

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[–] AeonFelis@lemmy.world 9 points 1 day ago

So... tariff on internet traffic?

[–] flamingos@feddit.uk 35 points 1 day ago (1 children)

France’s National Assembly has voted in favour of a new “internet tax” that would charge companies for every gigabyte of data they send to users in France.

Unrelated, but isn't the response to this just going to be capping video to France at 480p? And what about things like game distribution?

[–] lawks@aussie.zone 16 points 1 day ago

Caps? I'm betting they'd just block entirely, like Imgur did to the UK.

[–] swicano@programming.dev 40 points 1 day ago (1 children)

So videolan is pulling in either 50 million a year globally or 7 million in just france? That's some significant numbers. And they're also pushing at least 20 million GB of data in France? That must mean the law counts me using vlc to connect to e.g. a publicly available rtsp stream or something as vlc generating that content? $55/Tb is a pretty massive tax. This article has left me more confused than I thought possible

[–] SocialistVibes01@lemmy.ml 38 points 1 day ago (1 children)

Everyone is confused including videolan.

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[–] joeldebruijn@lemmy.ml 13 points 1 day ago

Ouch ....other applications like CoMaps and OSMand sending me 10GB maptiles a month ...

[–] dog@reddthat.com 22 points 1 day ago

France is consistently bad when it comes to making laws related to the internet.

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