Will the European Union’s New “Data Tax” Gain Traction?
A new “data tax” that is about to be proposed in the European Union has companies like Amazon (NASDAQ:AMZN), Apple (NASDAQ:AAPL), Facebook (NASDAQ:FB), and Google (NASDAQ:GOOG) wondering what the future of their operations will look like in Europe.
France is looking to impose a data transmission tax on those specific four tech companies because of the way they dominate European Internet usage and are non-European — or American. According to the logic of the proposal, the dominance of these four companies prevent European start-ups from being able to rise up and compete with the larger, American giants.
Of course, as USA Today points out, the proposal doesn’t exactly make it clear how a new tax levied at these companies will steer users toward European alternatives.
The Wall Street Journal reported that a French member of the European Parliament explained the need for the data tax by saying that European nations have become ”just the puppets of financiers and multinationals.” And on the other side, Forbes put out the headline: ”Gibbering Nonsense From France About Apple, Google, Facebook and Amazon.”