Twitch Exit From S. Korea Is Latest Fallout From “Sending-Party-Pays” Model

Broadband providers in many countries have been pushing for payments from large online platforms. In Korea, the "sending-party-pays" model "has caused less-efficient traffic flows, higher prices, and lower content quality," the Information Technology & Innovation Foundation wrote in a 2022 paper.

"Sending-party-pays policies—in which companies such as Netflix pay mandated prices to have their services delivered the last mile to customers—distort prices in the complex peering and transit services market, resulting in inefficient traffic management," the paper said.