Netflix appeals against demand for pay by South Korean firm over Squid Game

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SK Broadband is suing Netflix to claim fees for using its network

The Netflix series ‘Squid Game’ is played on a mobile phone in this picture illustration taken September 30 2021. Picture: REUTERS/KIM HONG-JI

SK Broadband estimates Netflix needs to pay 27.2-billion won for using its networks in 2020 alone, local media including the Korea Times reported in June, citing a local court. That would amount to more than 6% of the firm’s revenue in the country in 2020. Network usage fees would create “an unfair, anticompetitive environment” where internet providers could charge companies whatever they wanted, Garfield said. That could “potentially limit the ability of Korean customers to get exactly what they want if the price becomes so prohibitive that services like us are just unable to afford it,” he said.“There is no doubt the risk that network operators will see what happen in Korea and will try to replicate it because it serves their interest,” he said.

SK Broadband filed a countersuit late in September to obtain payment for bandwidth the streaming platform used over the past three years, TechCrunch reported, in which it said Netflix had generated 24 times more network traffic as of September 2021, from May 2018. The move came weeks after “Squid Game” debuted and became a surprise international sensation.

 

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