{"id":142931,"date":"2020-03-26T10:20:05","date_gmt":"2020-03-26T10:20:05","guid":{"rendered":"https:\/\/www.bnreport.com\/eu-industry-chief-coronavirus-crisis-could-be-turning-point-for-big-tech\/"},"modified":"2020-03-26T10:20:05","modified_gmt":"2020-03-26T10:20:05","slug":"eu-industry-chief-coronavirus-crisis-could-be-turning-point-for-big-tech","status":"publish","type":"post","link":"https:\/\/www.bnreport.com\/en\/eu-industry-chief-coronavirus-crisis-could-be-turning-point-for-big-tech\/","title":{"rendered":"EU industry chief: Coronavirus crisis could be turning point for Big Tech"},"content":{"rendered":"<p>PARIS \u2014 Only a few weeks ago, policymakers in Brussels, Washington, Paris and Berlin were spending a lot of energy trying to police Big Tech.<\/p>\n<p>Not anymore.<\/p>\n<p>The coronavirus crisis could have an unexpected consequence: A truce between Big Tech and politicians in Brussels, Paris and Berlin.<\/p>\n<p>Last week, Netflix, Google, Facebook and others agreed to reduce the quality of their videos to avoid internet congestion in Europe. According to Internal Market Commissioner Thierry Breton, this could be a turning point in how big platforms behave in the future.<\/p>\n<p>\u201cIts the first time tech companies act in such a strong way. They reacted immediately, and made very important, practically spontaneous, decisions,\u201d he told POLITICO in a phone interview. \u201cThe crisis will without doubt accelerate this [kind of behavior].\u201d<\/p>\n<blockquote><p> \u201cContent providers understood very well the situation and the role they have to play in this crisis\u201d <em>\u2014 European Commissioner Thierry Breton<\/em><\/p>\n<\/blockquote>\n<p>As priorities dramatically shifted, governments scrambling to deal with the coronavirus crisis called Silicon Valley to the rescue. And powerhouses such as Google, Facebook and Netflix \u2014 most of which very much need wins with policymakers \u2014 are more than happy to lend a helping hand.<\/p>\n<p>\u201cContent providers understood very well the situation and the role they have to play in this crisis,\u201d Breton said.<\/p>\n<p>The Frenchman also addressed criticism that the companies moves sought to resolve a problem that did not exist. \u201cWere not saying European networks are saturated. But its our role to anticipate in this unprecedented situation where one billion people all over the world are working from home and to assess whether, collectively, we can give ourselves margins for maneuver,\u201d he said. <\/p>\n<p>While airlines and hotels are asking for government bailouts, <a href=\"https:\/\/www.facebook.com\/sheryl\/posts\/10163077279845177\" rel=\"noreferrer noopener\" target=\"_blank\">Facebook<\/a> and <a href=\"https:\/\/media.netflix.com\/en\/company-blog\/emergency-support-for-workers-in-the-creative-community\" rel=\"noreferrer noopener\" target=\"_blank\">Netflix<\/a> both announced they will provide $100 million in funding to help small businesses and the creative community. Google has <a href=\"https:\/\/twitter.com\/sundarpichai\/status\/1241047612607696896?s=20\" rel=\"noreferrer noopener\" target=\"_blank\">rolled out<\/a> online tools for teachers.<!--more--><\/p>\n<p>Facebook, once criticized for gathering too much EU personal data, is <a href=\"https:\/\/www.politico.eu\/pro\/thierry-breton-wants-data-from-facebook-telecoms-to-anticipate-coronavirus-peak\/\" rel=\"noreferrer noopener\" target=\"_blank\">now asked<\/a> to share anonymized metadata with the Commission to help predict the peak of the coronavirus outbreak.<\/p>\n<h3>Domino effect<\/h3>\n<p>Tech companies are aware that more than their image is at stake in this crisis.<\/p>\n<p>\u201cIf a large OTT [over-the-top platform] becomes responsible for the collapse of the network and people can no longer work because of that, it can create a massive controversy,\u201d said S\u00e9bastien Soriano, the head of the French telecom regulator Arcep. \u201cThere is a willingness to be seen as good students to avoid being the straw that broke the camels back.\u201d <\/p>\n<p><a href=\"https:\/\/www.politico.eu\/article\/brussels-in-talks-with-netflix-about-reducing-internet-congestion\/\" rel=\"noreferrer noopener\" target=\"_blank\">Last Wednesday<\/a>, Breton arranged a call with Netflix CEO Reed Hastings \u2014 who was confined in his California home \u2014 to discuss options to help reduce internet congestion. During the hour-long conversation, Hastings said he would look into it and reconvene the following day.<\/p>\n<p>Less than 24 hours later, the U.S. streaming giant <a href=\"https:\/\/www.politico.eu\/article\/netflix-moves-to-reduce-traffic-on-european-networks\/\" rel=\"noreferrer noopener\" target=\"_blank\">announced<\/a> it would move to reduce traffic on European networks by around 25 percent.<\/p>\n<p>The EU commissioner then called Google CEO Sundar Pichai and YouTube CEO Susan Wojcicki with a similar request. The two executives said yes.<\/p>\n<p>Over the following days, Disney, Facebook, Amazon Prime Video and <a href=\"https:\/\/blog.twitch.tv\/en\/2020\/03\/23\/how-were-addressing-internet-bandwidth-load-in-the-eu\/\" rel=\"noreferrer noopener\" target=\"_blank\">Amazons Twitch<\/a> also said they would reduce the quality of their videos.<\/p>\n<p> <img decoding=\"async\" src=\"https:\/\/www.politico.eu\/wp-content\/uploads\/2020\/03\/GettyImages-646731478-714x476.jpg\"\/><\/p>\n<p>Amazon Prime has decreased its video quality within the EU to avoid network congestion | Josep Lago\/AFP via Getty Images<\/p>\n<p>According to Breton, this episode reflects how tech regulation should be in the future.<\/p>\n<p>\u201cWe need to build a new rationale: Regulators need to work with hard law, but also with soft law, by appealing to those companies sense of responsibility to be able to act quickly,\u201d he said, arguing that reaching out directly to CEOs ensures decisions are made and implemented quickly.<\/p>\n<p>\u201cThis does not mean we wont have to set very clear rules,\u201d Breton added.<\/p>\n<p>Of course, for Silicon Valley, helping with the crisis could also backfire.<\/p>\n<p>\u201cIts a double-edge sword,\u201d said Soriano. \u201cBy collaborating, tech companies are also showing the paramount importance they have taken in our lives, that they are a public service. Can a public service be guaranteed only by goodwill?\u201d <\/p>\n<h3>French focus<\/h3>\n<p>In France, the enemies of yesterday have scored much-needed points with the government and the local ecosystem. Netflix and Disney, who until recently were at odds with pol<a href=\"https:\/\/www.politico.eu\/article\/eu-industry-chief-coronavirus-crisis-could-be-turning-point-for-big-tech-google-netflix-facebook\/?utm_source=RSS_Feed&amp;utm_medium=RSS&amp;utm_campaign=RSS_Syndication\" rel=\"noreferrer noopener\" target=\"_blank\">Read More \u2013 Source<\/a><\/p>\n<p>[contf] [contfnew]         <img decoding=\"async\" src=\"https:\/\/snap.md\/wp-content\/uploads\/2018\/03\/politico-logo.jpg\"\/><\/p>\n<h5><a href=\"https:\/\/www.politico.eu\/\" rel=\"noreferrer noopener\" target=\"_blank\">politico<\/a><\/h5>\n<p>[contfnewc] [contfnewc]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>PARIS \u2014 Only a few weeks ago, policymakers in Brussels, Wash..<\/p>\n","protected":false},"author":1,"featured_media":142932,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[50],"tags":[],"class_list":["post-142931","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tech"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - 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