senderpays

Paying twice? The persistent proposal that could upend the Internet and increase startup costs

Paying twice? The persistent proposal that could upend the Internet and increase startup costs

Last month, a majority of the European Parliament voted in favor of a resolution contemplating a policy framework that could diminish startup competitiveness and endanger the open Internet. The vote is the latest in a long-running effort by telecom companies to force websites and apps to pay them based on the traffic they generate. That model, sometimes called “sender pays,” is gaining popularity with policymakers throughout the world—including in the U.S.—threatening net neutrality principles and the competitiveness of U.S. startups.