- South Korean Internet service provider SK Broadband is suing Netflix.
- The company claims that the popularity of Netflix’s show “Squid Game” has resulted in increased network traffic, and that it is asking Netflix to pay related maintenance costs.
- A South Korean court recently said that Netflix must pay SK Broadband something for network usage, and lawmakers have criticized content providers who do not pay network usage fees.
South Korean Internet service provider SK Broadband is suing Netflix after the platform’s popular show “Squid Game” reportedly increased network traffic, Reuters first reported on Friday.
The internet provider is asking Netflix to pay related maintenance costs as a result of a spike in network traffic for the dystopian thriller, which Netflix co-CEO Ted Sarandos said on Monday is the streaming giant’s “biggest show ever”. is on pace to become.
Netflix shares were slightly negative on Friday afternoon. Shares of SK Broadband’s parent company SK Telecom were up over 1%.
“We will review the claim that SK Broadband has filed against us,” a Netflix spokesperson said in an emailed statement to Businesshala. “In the meantime, we continue to seek open dialogue and explore ways to work with SK Broadband to ensure a seamless streaming experience for our shared customers.”
The news comes after a South Korean court said Netflix must pay SK Broadband “reasonably” for use of the network. In recent months, lawmakers in the country have also called for content providers like Netflix not to pay network usage fees.
Netflix said earlier this week that it had helped create 16,000 jobs in South Korea. SK Broadband did not respond to Businesshala’s request for comment.