Network contribution debate extends worldwide 23 December 24 Javier Morales Fhon

The network contribution debate is polarising stakeholders globally. Supporters of a network contribution, often telecoms operators, argue that large content and applications providers (CAPs) should help fund network infrastructure to meet growing traffic demands. Opponents, including digital platforms, civil society organizations, and some regulators, claim that existing consumer payments already cover network costs and that imposing additional fees could breach net neutrality principles.

While Korea has implemented a “sending party network pays” (SPNP) model, other jurisdictions, such as the EU and Brazil, are still debating possible frameworks. A bill previously introduced in the US proposed expanding its universal service fund to include CAPs.

The issue is far from resolved. Policymakers are examining models of direct payments from CAPs to operators, indirect contributions via central funds, or hybrid approaches. More developments are expected in 2025 as consultations mature in several jurisdictions.

Our new Global Trends Report discusses the ongoing debate on whether CAPs with high traffic volumes should contribute to the costs of deploying or upgrading telecoms operators’ networks. The report covers developments in Brazil, the EU, India, Korea, Peru, the UK, and the US.

The research addresses:

  • the status and timeline of network contribution consultations;
  • a summary of the main arguments for and against the introduction of a network contribution;
  • key stakeholders involved and their positions on the matter; and
  • an overview of potential models for network contribution and their practical implications.

For more information and access to the research, please click on “Access the full content” - or on “Request Access”, in case you are not subscribed to the Global Trends service.

   

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