Database

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HUNGARY

Since March 2010, entry into force in May 2010, last amended in 2018
Since December 2010, as amended in July 2019

Pillar Quantitative trade restrictions for ICT goods and online services  |  Indicator Local content requirements (LCRs) on ICT goods for the commercial market
EU Directive on Audiovisual Media Services (AVMS)

Act CLXXXV of 2010 on Media Services and Mass Communication (2010. évi CLXXXV. Törvény a médiaszolgáltatásokról és a tömegkommunikációról)
The EU Directive on Audiovisual Media Services (AVMS) covers traditional broadcasting services as well as audiovisual media services provided on-demand, including via the Internet. Art. 13.1 provides for Member States to secure a minimum 30% share of European works in the catalogues as well as "ensuring prominence" of those works. "Prominence" involves promoting European works by facilitating access to such works using any appropriate means to ensure their prominence. The Directive has been implemented by Member States in different ways, ranging from very extensive and detailed measures to a mere reference to the general obligation to promote European works.
In Hungary, the EU Directive was transposed into domestic law through the amendment of Act CLXXXV on Media Services and Mass Communication of July 2021 (LXIII of 2019 law on the amendment of certain laws related to media services). According to Art. 20 of the Act, at least 30% of the total aggregated length of programmes made available in a given calendar year in the programme schedule of on-demand audiovisual media services must consist of European works, with a minimum of 10% comprising Hungarian works.
Furthermore, pursuant to Art. 136, a media service provider with significant influence that offers a linear audiovisual media service is obligated to allocate 2.5% of its annual advertising revenue to the promotion of new Hungarian cinematographic works. This obligation can be satisfied either through a payment to the Fund or by providing financial support for a new film production, as mutually agreed upon between the Fund and the media service provider.
Coverage On-demand audiovisual service

HUNGARY

Reported in 2022, last reported in 2024

Pillar Telecom infrastructure & competition  |  Indicator Presence of shares owned by the government in telecom companies
Presence of shares owned by the government in the telecom sector
The Hungarian Government holds shares in certain telecommunications companies. Historically, the State has held shares in Antenna Hungária Zrt., which, as of 2024, is owned by 4iG Plc. (78.76%) and the Hungarian State (23.22%). Furthermore, in January 2023, Antenna Hungária Zrt, together with Corvinus International Investment Zrt. (representing the Hungarian State) and Vodafone Europe B.V., signed a binding agreement for the acquisition of 100% of the shares in Vodafone Magyarország Zrt. (‘Vodafone Hungary’). Following the financial closing, Antenna Hungária Zrt. acquired an indirect controlling stake of 51%, while the Hungarian State retained an indirect stake of 49%.
Coverage Telecommunications sector

HUNGARY

N/A

Pillar Telecom infrastructure & competition  |  Indicator Functional/accounting separation for operators with significant market power
Lack of mandatory functional separation for dominant network operators
It is reported that Hungary does not mandate functional separation for operators with significant market power (SMP) in the telecom market. However, accounting separation is required by law. According to Sections 68 and 105 of Act C of 2003 on Electronic Communications, the National Media and Communications Authority (NMHH) may, by decision, impose detailed obligations of accounting separation in relation to specific activities concerning interconnection or access for service providers with significant market power in wholesale service markets. A service provider subject to accounting separation obligations is required to submit an accounting separation statement, prepared in accordance with the requirements set out in this Act, the NMHH Decree on the detailed rules for keeping separate accounting records, and the President’s resolution. This statement must be submitted to the President for approval within 45 days of the adoption of the annual report pursuant to the Accounting Act.
Coverage Telecommunications sector

HUNGARY

Since December 2003, last amended in December 2024

Pillar Telecom infrastructure & competition  |  Indicator Presence of an independent telecom authority
Act C of 2003 on Electronic Communications (2003. Évi C. Törvény az Elektronikus Hírközlésről)
The National Media and Infocommunications Authority (NMHH), established under Art. 10 of Act C of 2003 on Electronic Communications, serves as the competent executive authority for the supervision and regulation of telecommunications services in Hungary. The NMHH operates as an independent regulatory body, formally separated from direct government influence in its decision-making processes.
Coverage Telecommunications sector

HUNGARY

Since April 2013, as amended in 2018, until January 2025

Pillar Cross-border data policies  |  Indicator Ban to transfer and local processing requirement
Act L of 2013 on the Information Security of State and Municipal Bodies (2013. évi L. törvény az állami és önkormányzati szervek elektronikus információbiztonságáról)
Section 3 of "Act L of 2013 on the Information Security of State and Municipal Bodies" imposes local processing requirements on state and local government entities as well as organisations providing essential services. Under this provision, data within the scope of the Act must be processed in electronic information systems that are operated and stored in Hungary. Exceptions are narrowly defined: data may be processed outside Hungary only within the territory of an EEA State and only where the supervisory authority for the security of electronic information systems grants approval or an applicable international treaty provides for such processing. For entities delivering services classified as critical, such as those in the energy, transport, agriculture and healthcare sectors, electronic information systems may only be hosted within EU Member States.
The Cybersecurity Act adopted in December 2024 repeals Act L of 2013 with effect from 1 January 2025.
Coverage Public sector

HUNGARY

Since April 2016, entry into force in May 2018
Since July 2011

Pillar Domestic data policies  |  Indicator Framework for data protection
General Data Protection Regulation (Regulation 2016/679)

Act CXII of 2011 on the Right to Informational Self-determination and on the Freedom of Information (2011. évi CXII. Törvény az információs önrendelkezési jogról és az információszabadságról)
The European Union General Data Protection Regulation (GDPR) provides a comprehensive framework for data protection that applies to all EU Member States. Hungary implemented the GDPR by amending the Act CXII of 2011 on the Right to Informational Self-determination and on the Freedom of Information.
Coverage Horizontal

HUNGARY

Since May 2006
In April 2014
Since January 2004, last amended in December 2024

Pillar Domestic data policies  |  Indicator Minimum period for data retention
Data Retention Directive 2006/24/EC

Judgment European Court of Justice in Joined Cases C-293/12 and C-594/12 Digital Rights Ireland and Seitlinger and Others

Act C of 2003 on Electronic Communications (2003. Évi C. Törvény az Elektronikus Hírközlésről)
Under the EU Directive on Data Retention, operators were required to retain certain categories of traffic and location data (excluding the content of those communications) for a period between six months and two years and to make them available, on request, to law enforcement authorities for the purposes of investigating, detecting and prosecuting serious crime and terrorism. On 8 April 2014, the Court of Justice of the European Union declared the Directive invalid. However, not all national laws that implemented the Directive have been overturned. This is the case in Hungary. Under Art. 159/A of Act C of 2003 on Electronic Communications, internet service providers have to store connection data for 12 months at least.
Coverage Telecommunications sector

HUNGARY

Since January 2004, last amended in December 2024

Pillar Domestic data policies  |  Indicator Requirement to allow the government to access personal data collected
Act C of 2003 on Electronic Communications (2003. évi C. törvény az elektronikus hírközlésről)
Art. 159/A of Act C of 2003 provides that mobile service providers and ISPs must provide user data to the authorities upon request. The Constitutional Court found this law unconstitutional in 2022 and called on parliament to amend the legislation by the end of the year, but it is reported that parliament failed to comply.
Coverage Mobile service providers and ISPs

HUNGARY

Since July 2000
Since December 2001

Pillar Intermediary liability  |  Indicator Safe harbour for intermediaries for copyright infringement
Directive 2000/31/EC (E-Commerce Directive)

Act CVIII of 2001 on Electronic Commerce and on Information Society Services (Törvény az Elektronikus Kereskedelmi Szolgáltatások, Valamint az Információs Társadalommal Összefüggő Szolgáltatások Egyes Kérdéseiről)
The Directive 2000/31/EC (E-Commerce Directive) is the legal basis governing the liability of Internet Services Providers (ISPs) in the EU Member States and includes a conditional safe harbour. Not all Member States have transposed the relevant articles consistently, leading to divergent national case law that could cause legal insecurity on an EU level.
Under Section 7/3 of the Act CVIII on Electronic Commerce, which transposes Directive 2000/31/EC, service providers and intermediaries are protected from liability for third-party content. However, this exemption does not cover disguised advertising, as regulated in Section 14/A.
Coverage Horizontal

HUNGARY

Since July 2000
Since December 2001

Pillar Intermediary liability  |  Indicator Safe harbour for intermediaries for any activity other than copyright infringement
Directive 2000/31/EC (E-Commerce Directive)

Act CVIII of 2001 on Electronic Commerce and on Information Society Services (Törvény az Elektronikus Kereskedelmi Szolgáltatások, Valamint az Információs Társadalommal Összefüggő Szolgáltatások Egyes Kérdéseiről)
The Directive 2000/31/EC (E-Commerce Directive) is the legal basis governing the liability of Internet Services Providers (ISPs) in the EU Member States and includes a conditional safe harbour. Not all Member States have transposed the relevant articles consistently, leading to divergent national case law that could cause legal insecurity on an EU level.
Under Section 7/3 of the Act CVIII on Electronic Commerce, which transposes Directive 2000/31/EC, service providers and intermediaries are protected from liability for third-party content. However, this exemption does not cover disguised advertising, as regulated in Section 14/A.
Coverage Horizontal

HUNGARY

Since January 2017

Pillar Intermediary liability  |  Indicator User identity requirement
Act CXXVIII of 2016, which amends Act XXXIV of 1994 on the Police (and Act C of 2003 on Electronic Communications) (2016. évi CXXVIII. törvény a Rendőrségről szóló 1994. évi XXXIV. törvény, valamint az elektronikus hírközlésről szóló 2003. évi C. törvény módosításáról)
According to Art. 6.2 of Act CXXVIII of 2016, which amends Act XXXIV of 1994 on the Police (and Act C of 2003 on Electronic Communications), telecommunications service providers are required to verify the identity of individuals before entering into a contract for prepaid mobile telephony services (SIM cards). If the identity verification is unsuccessful, the subscription contract cannot be finalised, and the service provider is prohibited from initiating service. Additionally, for contracts exceeding one year, identity verification must be repeated annually on the contract anniversary or through third-party data matching. This identity verification can also be conducted online, either prior to the contract's conclusion or during data reconciliation processes.
Coverage Telecommunications service providers

HUNGARY

Since May 2002

Pillar Intellectual Property Rights (IPRs)  |  Indicator Adoption of the WIPO Performances and Phonograms Treaty
WIPO Performances and Phonograms Treaty
Hungary and the European Union have adopted the World Intellectual Property Organization (WIPO) Performances and Phonograms Treaty. Hungary ratified the Treaty on 27 November 1998, with its provisions coming into force on 20 May 2002. Subsequently, the European Union ratified the Treaty on 14 December 2009, and it entered into effect on 14 March 2010.
Coverage Horizontal

HUNGARY

Since June 2016
Since November 2018

Pillar Intellectual Property Rights (IPRs)  |  Indicator Effective protection covering trade secrets
Directive (EU) 2016/943 of the European Parliament and of the Council of 8 June 2016 on the protection of undisclosed know-how and business information (trade secrets)

Act LIV of 2018 on the Protection of Trade Secrets (2018. évi LIV. tTörvény az üzleti titok védelméről)
The Directive 2016/943 on the protection of undisclosed know-how and business information (trade secrets) is key in harmonising national laws concerning trade secrets. Hungary transposed the Directive through Act LIV of 2018 on the protection of trade secrets.
Coverage Horizontal

HUNGARY

Since December 2003, as amended in December 2020
Since May 2014

Pillar Telecom infrastructure & competition  |  Indicator Passive infrastructure sharing obligation
Act C of 2003 on Electronic Communications (2003. Évi C. Törvény az Elektronikus Hírközlésről)

Directive 2014/61/EU on measures to reduce the cost of deploying high-speed electronic communications networks
It is reported that passive sharing is mandated and is effective in both the mobile (based on commercial agreements) and fixed sectors. Pursuant to Art. 90 of Act C of 2003 on Electronic Communications, service providers that hold ownership or usage rights over an electronic communications facility are required to enter into contracts to ensure the shared use of network elements and related facilities. The obligation specifically covers ownership and access to structures, internal wiring, support columns, antennas, towers and other supporting constructions, substructures, cable ducts, inspection chambers, and cabinets. However, it does not extend to parts of the structure that are open to customer traffic and serve that particular function.
In addition, Directive 2014/61/EU (Art. 3.2) establishes that Member States shall ensure that, upon written request of an undertaking providing or authorised to provide public communications networks, any network operator must meet all reasonable requests for access to its physical infrastructure under fair and reasonable terms and conditions, including price, with a view to deploying elements of high-speed electronic communications networks. Such written request shall specify the elements of the project for which the access is requested, including a specific time frame.
Coverage Telecommunications sector

HUNGARY

Reported in 2018, last reported in 2024

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Lack of transparency in public procurement
It has been reported that a lack of transparency remains a significant challenge in public procurement procedures in Hungary, particularly for foreign bidders. Concerns relate to the use of overly narrow tender specifications and implicit preferences for local vendors and state-owned enterprises. These issues have been echoed by both the business community and foreign governments, which have noted persistent obstacles to fair competition. Several multinational firms have further indicated that participation in Hungarian public procurements entails unacceptably high levels of corruption and compliance risk.
Moreover, in April 2022, the European Commission launched a budget conditionality mechanism against Hungary over the “systemic irregularities, deficiencies and weaknesses” in its public procurement procedures.
Coverage Horizontal

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