France considers internet advertising tax
8 January 2010 16:47
President Nicolas Sarkozy is considering plans to place a tax on internet search providers, such as Google, Yahoo! and Microsoft, in a move that could have far-reaching consequences if adopted in other territories.
The proposals for a system of taxation on these internet companies every time a user clicks on a banner advert or sponsored link were outlined in a new government paper.
It suggested that revenue created could help finance schemes to support the country's creative industries.
However, the plans have met a decidedly mixed reaction among those involved in online advertising.
Brand Republic reports that Olivier Esper, senior policy manager at Google France, said the proposed internet advertising tax could actually hurt innovation.
He urged the French government to support creation within the media industry by encouraging "new business models that help consumers find great content and reward artists and publishers for their work".
Posted by Stanley Jack
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