Cloudflare CEO Matthew Prince is threatening to pull the company out of Italy and skip providing cybersecurity for the 2026 Winter Olympics after regulators hit the networking firm with a €14.2 million fine for failing to block access to pirated content.
At a Glance
- Italy fined Cloudflare €14.2 million under its Piracy Shield anti-piracy program
- CEO Matthew Prince calls the 30-minute takedown requirement “insane” and refuses to comply
- Cloudflare may yank servers from Italian cities and skip the 2026 Milano Cortina Winter Olympics
- Why it matters: The dispute could leave Italy without a key cybersecurity partner for the Olympics and set a precedent for how global tech firms handle national content-blocking demands
The clash erupted after Italy’s telecommunications regulator AGCOM announced the penalty on Jan. 8, claiming Cloudflare had not done enough to stop illegal sports streams. Prince fired back on X, branding the country’s Piracy Shield rules as censorship and vowing to fight the order.
Italy’s Piracy Shield program
Piracy Shield lets rights holders report suspected piracy through an automated system. Internet providers then have 30 minutes to block the flagged content. Critics say the window is too short for proper review, leading to legitimate sites being caught in the dragnet.
Prince argued that complying would force Cloudflare to remove content globally at the whim of what he labeled a “shadowy, European media cabal.”
“We block pirate streams every time we find one,” he wrote. “We hate them.” But, he added, “we can’t put in place a system where a shadowy cabal can require us to remove GLOBALLY anything they don’t like on the internet within 30 minutes. That’s insane.”
Potential fallout
Prince listed possible retaliation:
- Withdrawing Cloudflare’s cybersecurity services from the Feb. 6-22, 2026 Milano Cortina Winter Olympics
- Removing local servers from Italian cities
- Halting future investment plans in the country
- Involving U.S. government leaders, tagging Vice President JD Vance in his posts
The Olympics are a sensitive target; many viewers are expected to use VPN tools to access broadcasts, raising cybersecurity stakes.
Door still open
Despite the public brawl, Cloudflare isn’t slamming the door shut. Speaking to News Of Losangeles, Alyssa Starzak, the firm’s deputy chief legal officer and global head of policy, said the fine exceeds Cloudflare’s total Italian revenue but stressed that negotiations remain possible.
“We’re still evaluating, and we’re still open to working something out,” Starzak said. “That would be a better solution. The hope is we can have some discussions for a more reasonable result.”
Starzak noted the company has already briefed Italian stakeholders on its anti-piracy efforts, yet characterized the government stance as a blunt “You must do what we say” demand with no room for nuance.
Key Takeaways
- Italy’s 30-minute takedown rule is at the center of the dispute
- Cloudflare contends the requirement leads to global censorship
- The company’s threat to skip Olympic cybersecurity could leave event organizers scrambling
- Both sides say they prefer a negotiated settlement, but no talks are scheduled
