Korean Internet Service Provider Sues Netflix After Increased Traffic In ‘Squid Game’

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There is at least one player who is not particularly happy with the success of Netflix Squid game –And this is SK Broadband, the South Korean internet provider. according to ReutersThe internet service provider is suing Netflix to pay for too much bandwidth usage and maintenance costs due to the increases in traffic generated by the streaming giant.

According to SK Broadband estimates, Netflix owes 27.2 billion won ($22.9 million) in 2020 alone. The ISP was handling approximately 1,200 gigabits of Netflix data processed per second as of September, according to Reuters. This number is 24 times higher than May 2018, and popular Netflix Korea productions such as squid game And DP It is claimed that it is a big reason for this.

However, Netflix does not own it. The company has previously appealed the ruling. A few days ago, Netflix Post a blog It details its contributions to the South Korean economy, claiming it created 16,000 jobs and $4.8 billion in growth. In the blog, Netflix says it was “a platform to spread the new Hallyu culture through shows like Kingdom, Vincenzo, And even the first show recently Squid game.as it promoted it squid game It is the first Korean series to reach number one on Netflix US.

Where does all this come from? Earlier in June, a South Korean court She sided against Netflix In a case where the broadcasting company argued that SK Broadband had no grounds to claim bandwidth fees. This fee will essentially force broadcasters like Netflix to pay an extra amount to ensure that their content reaches users. At the time, Netflix argued that it was only doing its job by creating content, and the expenses were part of SK Broadband’s duty to provide internet to its subscribers. Instead, Reuters reported that the Seoul Central District Court ruled that it was “reasonable” for Netflix to be “obligated to offer something in exchange for the service.”

At the heart of this is a fine discussion about net neutrality and data caps – a battle we’ve seen before. If SK Broadband is successful, it will set a precedent that may encourage other ISPs to try to do the same. Back in 2014, Netflix and Comcast were at loggerheads over which ISP throttled Netflix. Simply put, there was too much Netflix traffic and the infrastructure wasn’t built to handle it – and Neither Netflix nor Comcast wanted to pay for it. In the end, Netflix forked out on the money and Comcast has been paid For better streaming speeds for more than seven years. But while the future of net neutrality Looks somewhat brighter (for now) under the Biden administrationClearly, it is not a done deal and is stable all over the world.


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