After Repeatedly Rejecting Negotiations... SKB Questions Netflix's Willingness to Resolve Issues
Netflix "Hopes to Discuss with SKB"
[Asia Economy Reporter Cha Min-young] Regarding Netflix's statement on the 4th expressing hope to "meet with SK Broadband in one place to discuss resolving the network usage fee issue," SK Broadband pointed out that it is "questionable whether there is a genuine willingness to resolve the issue through negotiation."
On the same day, SK Broadband said, "It is a welcome development that Netflix has publicly expressed a willingness to negotiate," adding, "If Netflix makes a proposal, we are willing to sit at the table anytime."
However, it continued, "From the beginning, we have conveyed our willingness to negotiate with Netflix several times regarding the network usage fee issue, but Netflix refused to go through the Korea Communications Commission's mediation and chose to seek a judicial ruling."
Netflix filed a lawsuit against SK Broadband seeking a declaration of non-existence of debt, but on June 25, the first trial court ruled against Netflix. Immediately after the ruling, Netflix expressed its intention to appeal, stating that framing them as "free riders" is a distortion of facts.
SK Broadband explained, "Dean Garfield, Netflix's Vice President of Policy, during his visit to Korea, met with the government, National Assembly, and media, continuously asserting the justification of Netflix's 'free riding' on the network," adding, "For this reason, we doubt whether Netflix genuinely intends to resolve the issue through negotiation."
It further added, "SK Broadband hopes that Netflix, as a global company, will take responsible actions for Korea's content and network ecosystem."
Vice President Dean Garfield, at a press conference held at JW Marriott Dongdaemun Square in Jongno-gu, Seoul, on the morning of the same day, emphasized, "The Korean government should establish a support system that prevents Internet Service Providers (ISPs) from charging Content Providers (CPs) transmission fees," and "The government must acknowledge that CPs like Netflix play an important role in stimulating demand for broadband internet services."
Wearing the green tracksuit and name tag from the Korean original content 'Squid Game' on stage, he said, "I am very pleased to visit Korea after the great success of Squid Game," but clearly drew the line on paying network usage fees. He maintained the existing position, stating, "More than 1,000 ISPs worldwide use Open Connect (OCA), Netflix's own Content Delivery Network (CDN) created with an investment of 1 trillion won to reduce the burden on ISPs, free of charge."
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Meanwhile, Vice President Garfield has been meeting with government and National Assembly officials, starting with Vice Chairman Kim Hyun of the Korea Communications Commission on the 2nd. According to SK Broadband, as of this date, Netflix has not officially requested a meeting for negotiations.
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