Cloudflare Hit With €14M Fine for Anti-Piracy Violation
Cloudflare has been fined €14 million by Italy’s competition authority, AGCOM, after failing to block IP addresses linked to pirated content. The fine follows a February 2025 order requiring the company to prevent access to websites distributing copyrighted material. Cloudflare’s refusal has sparked debate over the balance between internet freedom and anti-piracy enforcement.
AGCOM Orders Cloudflare to Block Piracy-Linked IPs
In early 2025, AGCOM instructed Cloudflare to block a series of websites notorious for hosting pirated content via its public 1.1.1.1 DNS resolver. The regulator emphasized that compliance was mandatory to protect copyright holders and uphold Italy’s anti-piracy laws. This marked one of the first major enforcement actions against a global DNS provider under the country’s Privacy Shield framework.
Cloudflare Calls Requests Unreasonable
Cloudflare defended its decision, labeling the request as “unreasonable, disproportionate, and impractical.” The company argued that building a filter to block all DNS requests linked to piracy would slow internet traffic and risk global censorship. Cloudflare stressed that enforcing such measures could disrupt legitimate internet usage worldwide, raising concerns about overreach.
Privacy Shield Rules Expand Anti-Piracy Enforcement
The Privacy Shield regulation, adopted in February 2024, allows users to report websites distributing copyrighted material without permission. Reported companies must comply with blocking requests within 30 minutes. AGCOM cited Cloudflare’s noncompliance as a direct violation of these rules, highlighting the country’s strengthened approach to tackling online piracy.
Fines Calculated Based on Global Turnover
Under Italian law, regulators may fine up to 2% of a company’s annual global turnover for Privacy Shield violations. AGCOM imposed a 1% penalty, resulting in the €14.2 million ($17 million) fine. This decision reflects the authority’s intention to enforce anti-piracy measures while accounting for the company’s broader business impact.
Regulator Highlights Broad Anti-Piracy Obligations
AGCOM emphasized that all public service providers, including VPN and DNS services, must follow orders to curb illegal websites. The press release underlined that companies, regardless of location, are accountable if they enable access to pirated content. This action sets a precedent for future anti-piracy enforcement across Europe.
Impact on Internet Providers and the Industry
The fine signals increased regulatory scrutiny on global internet infrastructure providers. Experts suggest companies like Cloudflare will face mounting pressure to balance user privacy with compliance requirements. This ruling may also influence similar actions in other European nations seeking to enforce copyright laws more aggressively.
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