The Digital Economy Act 2010 receives opposition from BT and Talk Talk.

The Digital Economy Act 2010 has been open to much contention from BT and Talk Talk, who are calling for greater clarification and repeal before the act is fully implemented.

The Digital Economy Act 2010 was brought about as a way to reduce illegal file sharing on the internet. The two service providers feel the act was rushed through before parliament was dissolved earlier this year. For this reason they believe the act was not given enough consideration and should be open to repeal/judicial review.

The Digital Economy Act gives powers to copyright holders who will be able to block access to websites who hold illegal content. Illegal file sharers can be disconnected from the internet after receiving a warning letter from the internet service providers.  Details of file sharers who persist in the illegal activity can be passed to copyright owners and blacklisted.

BT and Talk Talk feel the Digital Economy Act will have direct repercussions on their companies as the act only applies to large internet service providers who benefit from more than 400,000 subscribers.  This in theory could lead people to switch to smaller service providers to avoid being subject to disqualification.

It has also been suggested that the Digital Economy Act could be in opposition to guidelines laid down in the Privacy and Electronic Communications Directive 2003, which covers the use of cookies (files downloaded from a web server) and the rights of individuals to disclose information on purchases and downloads.

According to EU directives, internet service providers are not liable for traffic on their networks but BT and Talk Talk feel the Digital Economy Act is in contradiction to this as they are going to experience disadvantages and possible loss of customers.

BT and Talk Talk continue to campaign against the Digital Economy Act which was recently backed by the Green Party earlier this month, believing that innocent people may end up suffering from the imposed regulations.

Ofcom, the industry regulator, has been drawing up plans to implement the new legislation with a prediction of this coming into action in 2012.