Netflix and other streaming services on Thursday criticised a German plan requiring platforms to reinvest a share of locally generated revenue as part of efforts to support domestic film production.
Chancellor Friedrich Merz's cabinet approved a draft law Wednesday that would compel streamers to invest at least eight percent of earnings generated in Germany into the domestic and wider European film and TV sectors or face financial penalties.
The law, which would apply to giants such as Disney+ and Amazon Prime Video as well as domestic services, still needs to be passed by parliament, and Berlin hopes it will primarily give a boost to the faltering German film industry.
The government also announced it was nearly doubling public financing for local productions to 250 million euros.
But Netflix warned that the policy could backfire and hit growth in the German film industry.
