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French President Nicolas Sarkozy is mulling a
recommendation to impose a tax on Internet ad revenues in France. The
proposal is aimed at helping the French culture industries survive the
new digital age. But critics say it is absurd, unworkable and will do
little more than prop up failing business models.
France has never been shy when it comes to protecting its culture
and heritage, with quotas for French-language chansons on the radio and
massive subsidizes for its home-grown film industry. Now it could be
about to take on perhaps the greatest symbol of the globalized, and
increasingly Anglophone, world: Google.
On Thursday evening French President Nicolas Sarkozy said that he would
get his Finance Ministry to look at a controversial proposal to impose
a tax on the online ad revenues that Google and other search engines
generate in France. He also said he would ask the national competition
authorities to look at whether Google had an unfair market dominance.
Sarkozy's comments, made during a speech to culture officials at the
Cite de la Musique in Paris, came the day after his government was
presented with a report commissioned to look at ways to protect French
cultural industries in the new online world. The most controversial
proposal was a tax, dubbed the "Google tax," that would take a small
percentage of the big Internet players' online ad revenues. It is the
latest rallying cry in France's war on the infringement of its cultural
identity, something the French president is keen to be seen defending.
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