Core Viewpoint - A German court has ruled that a Meta subsidiary must pay Deutsche Telekom approximately 30 million euros ($35.71 million) for network services used by Meta's platforms over a period of more than three years [1]. Group 1: Court Ruling and Financial Implications - The payment is for services provided by Deutsche Telekom to manage internet traffic generated by Meta platforms such as Facebook and Instagram [1]. - The court's decision emphasizes the obligation of Big Tech firms to contribute to the costs of network infrastructure due to the heavy data traffic they generate [3]. Group 2: Contractual Dispute - The central issue was whether a binding contract existed for the use of Telekom's "peering points" during the specified period [2]. - Deutsche Telekom claimed that Meta's Edge Network Services continued to use its private interconnection points after the original contract expired, constituting a new paid agreement [2]. - Edge Network Services contended that a settlement-free peering agreement was in place, which would prevent either party from demanding payment for data exchange [2]. Group 3: Future Actions and Reactions - Edge Network Services has the option to file a complaint with the federal court of justice against the lower court's decision within one month [4]. - A spokesperson for Meta expressed disagreement with the ruling and indicated that the company is reviewing its options while maintaining a commitment to high-quality access for users [4].
Meta unit must pay Deutsche Telekom $36 million over network services, German court say