Google Isn't The Only Company In The EU Firing Line

While Google Inc (NASDAQ: GOOG)(NASDAQ: GOOGL) has taken much of the regulatory heat over the past few days due to antitrust charges from the European Commission, the Internet giant isn't the only company that should be worried about the bloc's tightening regulations.

EU Telecoms is pushing for stricter rules governing services that offer messaging and voice calls, and it looks like they might get it.

Abusing Networks

Reuters reported that the Commission has drafted a framework for a more unified digital market, and it includes a call for further regulation on services like Facebook Inc (NASDAQ: FB)'s WhatsApp and Microsoft Corporation (NASDAQ: MSFT)'s Skype.

Those apps use the mobile network provided by telecoms like Orange SA (ADR) (NYSE: ORAN) and Deutsche Telekom AG (ADR) (OTC: DTEGY), but are not required to invest in maintaining the network, something the region's providers say is an unfair advantage.

Fair Play

In an effort to level the playing field, the Commission may consider subjecting voice-over-IP applications like Skype to tougher regulations that classify the service much like a traditional phone-line operator.

That would mean they would be required to offer emergency calls and could possibly be subjected to higher taxes.

Not All Bad News

While the EU's new framework may not make avid WhatsApp and Skype users happy, the plan is expected to make creating a tech startup in Europe much easier.

Because the bloc's current digital market is governed by fractured laws that depend on each individual country's government, growth in the tech space has been anemic. The Commission's unified regulatory oversight is expected to change all of that and bring the entire region together under one set of rules governing the digital marketplace, allowing the tech sector to grow and thrive. Image Credit: Public Domain