New German 'Content Tax' Requires Streamers to Invest In European Productions

Germany is advancing a law that will force streaming services and broadcasters to invest 8% of their local revenue into European productions. The move, effectively a "content tax," is designed to mobilize private capital and strengthen the country's creative industry.

• Public and private purse: The government claims the mandate will provide "planning certainty" and is pairing it with an increase in federal film funding to €250 million. The law includes an off-ramp, allowing companies to deviate from some rules if they voluntarily invest more than 12% of their turnover.

• Praise and pushback: Producer associations are championing the legislation as a "breakthrough" that will unlock €120 million in blocked funds. But the platform association VAUNET slammed the proposal as an inflexible mandate, maintaining it ignores existing voluntary investments and raises serious legal questions under EU law.

Germany's move follows a playbook written by the EU's Audiovisual Media Services Directive (AVMSD), which has paved the way for similar mandates in France and Italy. The continent's message is clear: global streamers must contribute to the local creative economy.