• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
Copyright

European Copyright Law Changes Could Require YouTube to Pay Billions in Fees

By
Renae Reints
Renae Reints
Down Arrow Button Icon
By
Renae Reints
Renae Reints
Down Arrow Button Icon
June 20, 2018, 2:14 PM ET
Youtube Website Homepage
Getty ImagesGetty Images

New European Union copyright rules, passed Wednesday by the European Parliament’s legal affairs committee, will require platforms such as YouTube to actively prevent copyrighted material from appearing without a license from rights holders. The new rules, if they become law, will also give greater power to the rights holders to seek compensation for use of their material. Parliament hopes these changes will bring European copyright laws “in line with the digital age.”

The last laws to address copyright in the information society date back 17 years. Parliament's legal committee adopted today its position on bringing EU-wide copyright rules in line with the digital age.

Find out more → https://t.co/NtnXEFtjY6 pic.twitter.com/j76PYdsrbt

— European Parliament (@Europarl_EN) June 20, 2018

The music industry has been at odds with YouTube for years over the fact that viewing music videos results in ad income for the platform, but little payment for the artists and labels. They’ve lobbied for legislation that will close this “value gap”: the difference between the worth of the music videos and what YouTube pays their creators. If these rules become law, YouTube could end up owing billions in fees for unlicensed material viewed on their platform.

Under current law, social networks and other media platforms were not responsible for checking the content users upload to their site until illegal content is flagged, meaning copyrighted material could be shared without owners’ permission until someone notices. This will not be the case if the rules become law after final discussions with the European Commission and EU member states. The rest of the European Parliament is expected to vote on the rules in July.

Tech giants and internet activists argue the copyright laws will limit freedom on the internet. Memes, for example, are a large part of internet culture, but are often based on copyrighted material. Authors and artists, on the other hand, are lobbying for a positive outcome on the final vote, claiming web companies like Google and Facebook gain profit through ads run around their copyrighted material.

“This proposal is a once-in-a-generation opportunity to create a new balance in the online world,” said Helen Smith, the executive chair of the European music association Impala, which represents a collection of music labels. “It is about copyright and making sure creators and their partners get a fair share of the value they create.”

Google’s YouTube already has technology in place that scans posts for copyrighted materials, then provides the content owners the option to either have the video removed, or include ads and share revenue. This system has led to $2.3 billion in payments to copyright holders in recent years, said Marco Pancini, director of EU public policy at Google, Tuesday.

“If we do the right things, we put in place our content ID systems and things like that, I don’t think you need to regulate,” said Richard Allan, vice president for policy solutions at Facebook, according to Bloomberg.

This legislation, which has been in the works since 2016, will require web companies to stop the protected content from appearing in the first place (if the content’s owners demand so), creating the need for licenses and a new slew of legal issues. Amendments to the rules include the length of publisher’s right to content; parliament passed a rights period of five years, down from the original duration of 20 years.

About the Author
By Renae Reints
See full bioRight Arrow Button Icon

Latest in

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in

Stock futures sink while oil spikes as the U.S. Navy looks to squeeze Iran’s economy and break its grip on the Strait of Hormuz
PoliticsOil
Stock futures sink while oil spikes as the U.S. Navy looks to squeeze Iran’s economy and break its grip on the Strait of Hormuz
By Jason MaApril 12, 2026
3 hours ago
A major U.S. gasoline production hub is in such a severe drought that its refineries may be hobbled. ‘We are actively praying for a hurricane’
Energyfossil fuels
A major U.S. gasoline production hub is in such a severe drought that its refineries may be hobbled. ‘We are actively praying for a hurricane’
By Michael Phillis and The Associated PressApril 12, 2026
5 hours ago
U.K. won’t take part in Trump’s planned blockade of Hormuz strait
PoliticsIran
U.K. won’t take part in Trump’s planned blockade of Hormuz strait
By Alex Wickham and BloombergApril 12, 2026
5 hours ago
Hungarian voters oust Viktor Orbán, a close ally of Trump and Putin, despite late campaign push from JD Vance
EuropeElections
Hungarian voters oust Viktor Orbán, a close ally of Trump and Putin, despite late campaign push from JD Vance
By Justin Spike, Sam McNeil and The Associated PressApril 12, 2026
5 hours ago
Blazing hot IPOs, an AI agent craze, and a new word for ‘token’: Here’s what’s happening in the world of Chinese AI
AsiaChina
Blazing hot IPOs, an AI agent craze, and a new word for ‘token’: Here’s what’s happening in the world of Chinese AI
By Nicholas GordonApril 12, 2026
5 hours ago
Iran’s crumbling economy is the regime’s greatest weakness with prices up 40% since the war began while authorities worry about making payroll
EconomyIran
Iran’s crumbling economy is the regime’s greatest weakness with prices up 40% since the war began while authorities worry about making payroll
By Jason MaApril 12, 2026
7 hours ago

Most Popular

'This is the last warning.' Iran threatens U.S. warships after they throw down the gauntlet for winner-take-all Strait of Hormuz
Politics
'This is the last warning.' Iran threatens U.S. warships after they throw down the gauntlet for winner-take-all Strait of Hormuz
By Fortune EditorsApril 11, 2026
1 day ago
A 93-year-old refused to sell her home to the Masters golf course that’s spent $280 million on expansion: ‘Money ain’t everything’
Real Estate
A 93-year-old refused to sell her home to the Masters golf course that’s spent $280 million on expansion: ‘Money ain’t everything’
By Fortune EditorsApril 12, 2026
14 hours ago
'People are trying to be creative': Tariff-battered American companies are so cash-starved they are using refund claims as collateral for loans
Economy
'People are trying to be creative': Tariff-battered American companies are so cash-starved they are using refund claims as collateral for loans
By Fortune EditorsApril 12, 2026
18 hours ago
Palantir CEO says AI ‘will destroy’ humanities jobs but there will be ‘more than enough jobs’ for people with vocational training
Future of Work
Palantir CEO says AI ‘will destroy’ humanities jobs but there will be ‘more than enough jobs’ for people with vocational training
By Fortune EditorsApril 11, 2026
2 days ago
The 'affordability economy' has created a housing market nobody predicted: Prices collapsing in the Sun Belt, soaring in the Rust Belt
Real Estate
The 'affordability economy' has created a housing market nobody predicted: Prices collapsing in the Sun Belt, soaring in the Rust Belt
By Fortune EditorsApril 11, 2026
2 days ago
2 years ago, Saudi Arabia quietly canceled the ‘petrodollar’ deal with America that wired the world economy for 50 years. Then war broke out in Iran
Energy
2 years ago, Saudi Arabia quietly canceled the ‘petrodollar’ deal with America that wired the world economy for 50 years. Then war broke out in Iran
By Fortune EditorsApril 7, 2026
5 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.