Telecommunications ministers from EU Member States have chosen the middle ground between those who want more regulation and those who want less. At their meeting in Luxembourg on Friday 7 June, they adopted conclusions on the future of the digital policy which mandate the European Commission to assess existing legislation in order to identify weaknesses.
Controversy on the taxation of digital technology
The text, of around ten pages, is sufficiently vague to satisfy all Member States, although some have indicated that they are not at all satisfied that a reference to digital taxation is included (see EUROPE 12269/15).
In the round table, Luxembourg, Malta, the United Kingdom and Ireland considered that the Telecommunications Ministers are not competent to deal with this issue, which they believe should be discussed at the level of the Organisation for Economic Cooperation and Development (OECD).
The conclusions only highlight the need, already repeatedly identified by the European Council, “to adapt tax systems to the digital age, while ensuring fair and efficient taxation”.
“I don't want other countries around the table tomorrow to become more attractive places than we are for business and digital. Today, we have competitors who are on the right and left of Europe. Tomorrow, London will have its own rules”, commented Luxembourg Prime Minister and Minister of Telecommunications Xavier Bettel.
In contrast, France, Spain and Portugal called for transparent taxation of online platforms. “Any common document that addresses the digital future cannot leave this question aside”, said Spanish Secretary of State Francisco de Paula Polo Llavata.
Three other key messages in the conclusions
But the conclusions are not limited to this reference. They also recognise the importance of transparency, equity and accountability in the use of algorithms, a concern raised in the debate by Germany and the Netherlands.
They also call on the European Commission to review and, if necessary, update the ‘EU Guidelines for the Application of State Aid Rules for the Rapid Deployment of Broadband Networks’, in order to support the achievement of the Gigabit Society's objectives and to allow the processing of notifications and pre-notifications within a reasonable timeframe. During the debate, Malta denounced “the rules on state aid that do not apply to non-Member States”.
The conclusions also mention the need to further open up access to and reuse of data held in the private sector for the general interest and in accordance with business confidentiality.
Speaking engagements
During the round table, some Member States did not hesitate to go further in their requests. For example, Luxembourg called for a review of the e-commerce directive, “which would target concrete obstacles by strengthening key principles, such as home country control” (which Slovakia opposed). It also called for an end to the geographical blockage in the audiovisual sector, directly criticising the French side. “I am told again that it is ‘copyright, copyright’, but for citizens it is difficult, and I think we have to move forward on that”, said Mr Bettel.
On the contrary, Lithuania, Greece, Sweden, Hungary, Malta and Slovakia argued not to over-regulate in order not to undermine the competitiveness of companies. Poland, like Austria, called for competition policy to be adapted to the digital age by specifically proposing the establishment of an ‘independent office against monopolies’, which could launch accelerated procedures in digital cases. It also proposed to reduce the number of European Commissioners and the number of EU Council configurations working on digital issues.
Finally, Slovenia called on other States to support its request to UNESCO for an artificial intelligence centre based in Ljubljana, but at the service of all Member States.
Read the EU Council's conclusions on page: https://bit.ly/2MBVhpQ (Original version in French by Sophie Petitjean)