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Dutch Government: Save Newspaper Industry With Internet Access Tax

Dutch Government: Save Newspaper Industry With Internet Access TaxSounds insane? Well, that seems to be the advice a special committee is going to give the Dutch government today.

The so called ‘Brinkman committee’ was recently assigned with the task of coming up with course of action for the Dutch newspaper industry. Today, they will present their report (download it here, in Dutch). The most important advice will be to put a special tax on ALL internet access subscriptions.

Every family would pay a 2 euro yearly tax resulting in an extra 12 million a year.

The resulting funds will be used on innovative projects. These innovative projects might help find a solution for the seemingly unavoidable demise of the news industry.

As you would expect there are thousands of angry comments on the online articles who reported on the issue this morning. They compare it to paying a ‘car tax’ to save the Horse-Drawn Carriage Industry. Or taxing email to fund the post office because people are sending less paper around.

I can’t say I’m to eager to pay a tax and see that money end up at newspapers to spend on projects. I don’t have a lot of confidence in the ability of ‘old media’ to come up with innovative stuff. If history is any lesson we don’t have a reason to expect anything to come from that.

But lets ignore the ‘not with my money’ sentiment for a minute and think about the ”newspaper industry” definition.

If you would regard newspaper as simple commercial products that have outlasted their demand then I guess we shouldn’t spend another dime on them. If they can’t survive as independent companies they shouldn’t. Survival of the fittest, free market economy and all that.

You could also regard them as essential services that guard democracy and report on issues we would never hear about unless there was investigative reporting by professional journalists. You could image wanting to save that, right? An independent press that receives its money from a government just like some independent movies, museums and other projects that are an important part of our culture.

Would a government supplied tax be the solution then to save newspapers? Should we start calling it ‘the newspaper movement’ instead of ‘industry’? Maybe. But if these same newspapers would become government funded wouldn’t that void the classic ‘guardians of democracy’ argument? There wouldn’t be a free press if that same press would be owned, funded or even subsidized by the government.

No matter which way you seem to slice this, it comes out feeling all wrong.

UPDATED: Dutch parliament will ignore the commission’s advice and has decided against an Internet tax. I’m sure that is a huge relief for a LOT of people.

UPDATED 2: the UK has a similar Internet Tax plan. That plan is not meant to save a struggling industry however but keep the UK “at the leading edge of the global digital economy”.

 

  • This is a profound fallacy. Baby boomers are raping the world of tomorrow.
  • My sentiment Renato, but I don't know if I'd have put it like that.
  • It's all about versatility, Alper ;)
  • Erik Visser
    If it's essential to our society why only an online tax? Because online is killing paper? The advise is stupid from whatever agle you try to look at it. And that's a pitty. This committee couldn't think out of the box. And I should think that was one of their assignments. #FAIL
  • If they're going to tax internet connections in favor of the already dead newspaper industry, I think it is time to pack our stuff and move to a different country.

    The tax would feel like a signal that the Dutch government (my governement) is not taking tech as a serious sector, just only one they can tax to save jobs in other old fashioned sectors. Worst of all, this would probably be just the beginning and more taxes will be added.

    STAY AWAY FROM OUR WEB! NO INTERNET TAXES!
  • @Patrick you should make a banner and walk over to protest on de barricade ;)
  • Another fine tax to enjoy. Bleh...I think that the government involvement in mass media should be forbidden by law to protect the freedom of speech. Any direct financial support from the government will be detrimental to the public perception of such freedom if not to the freedom itself. The level of trust in politics is already abysmally low. Why make it even worse?
  • Oppose the Internet Tax? Digg this post: http://digg.com/world_news/Dutch_Government_wan...
  • Wow!
    Thats all I can say.

    Hope the USA doesn't think this wise...
  • Matthijd
    Or you keep up to speed with the news:
    http://www.villamedia.nl/archief-vaknieuws/beri...
  • Thanks, updated the post.
  • I like this business model. You just demands money from companies with a more sustainable business model, so you do not have to innovate yourself. Although I not think that this parasite business model is not something sustainable itself.
  • The outcome of this commission is mostly predictable if you look at how it was constituted. Each member is a journalist and it has only one member http://twitter.com/pmolenaar who has had some contact with the internet.

    No surprise that the turkey would elect himself not to be eaten on Thanksgiving.
  • Ron Verheijen
    Also - it's not like they did not have 15 years to figure out what works in the way of monetization models for what used to be called newspapers. I guess if you do not know how to tackle profound changes, you have no use being in the business....

    Maybe have a look at the Guardain's business model - they decided a couple of years ago that they were going to be "Web first", paper later, and they are working hard to stick to this.

    BTW if newspapers (as news organizations) are funded through taxpayers' money, I assume that Google will also be funded for such activities? They also gather news, and make it accesible for people....
  • Rick
    The biggest fallacy here is the presumption that newspapers are of critical importance to news gathering and truth finding. Independent journalists are, but not the newspapers. The companies creating the papers seem to be married to their own form factor, and therefore not the best companies to deal with our news going forward.

    Besides, they want to save companies with a polluting business model compared to a cleaner alternative???
  • Namdnal Siroj
    The mission of this commity was to advice on the weakening position of journalism. Budgets for journalism are for a great part generated by selling printed media.
    The government worries that journalism, as an important actor in democracy, will slowly degrade, as sales go down.
    Quite a few major players in the industry have spoken out against this advice. They argue that government-funded journalism is (perceived to be) dependent + that "the newspaper industry" does not equal "journalism" therefore these funding plans are not constructive on the long term.
  • Namdnal Siroj
    FYI, two of these major players that are against the plans are the Editor in Chief of NRC (regarded as the most intellectual newspaper) and the Director of TMG (probably the largest Dutch media group and newspaper publisher).
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