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ITU looking to tax large Internet content providers like Facebook

A leaked document from WCITLeaks.org sheds light on how the UN’s International Telecommunications Union (ITU) plans to go about implementing a tax on content heavy websites including YouTube and Facebook at the inaugural World Conference on International Telecommunications (WCIT).

The conference, scheduled for December in Dubai, United Arab Emirates, will be the first of its kind in the history of the ITU.

The WCIT will consider a review of the International Telecommunication Regulations (ITRs), which defines the general principles for the provision and operation of international telecommunications.

Signed by 178 countries, ITRs are a global treaty applied around the world.

The leaked document explains how Operating Agencies should look to provide sufficient telecommunications facilities to meet requirements of and demand for international telecommunication services.

“For this purpose, and to ensure an adequate return on investment in high bandwidth infrastructures, infrastructures, operating agencies shall negotiate commercial agreements to achieve a sustainable system of fair compensation for telecommunications services and, where appropriate, respecting the principle of sending party network pays,” states the document.

This is perceived as a direct move to possibly institute a tax on websites such as Facebook for any traffic they generate outside the USA.

This could have negative effects if implemented as it could see the websites blocking access from users outside the USA.

Also, how this would affect the Internet economy remains to be seen as it would require revision of various Internet business models to take this possible extra charge into effect.

It would also have a great impact on developing countries and their use of the Internet.

This year’s WCIT is set to take place from December 3 to 14.

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