SK Broadband sues Netflix again over network usage fees

News Video Korea, Republic of 30 SEP 2021
SK Broadband sues Netflix again over network usage fees

South Korean operator SK Broadband has filed a lawsuit against Netflix to demand network usage fees after a local court ruled against the video streaming company on the dispute earlier this year, Yonhap News Agency reports. Back in June, the Seoul Central District Court dismissed a request from Netflix to confirm it is not liable for the payment of network fees to SK Broadband after the internet service provider demanded the payments from the streaming company for causing heavy traffic on its network.

SK Broadband said it filed a counterclaim to retrieve the fees, and claims Netflix has not returned to negotiations following the court ruling.

Netflix argues that it has no obligation to pay the fees, as internet service providers are responsible for managing their networks. Netflix filed an appeal against the court decision in July.

The dispute between the two companies has escalated in the past few years after SK Broadband requested the Korea Communications Commission mediate the dispute with Netflix in 2019. SK Broadband claims traffic from Netflix on its network has increased exponentially in recent years, from 50 Gbps in May 2018 to 1,200 Gbps in September 2021.

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