Tech giants such as Apple and Google could be subject to new taxes in France if President Francois Hollande acts on recommendations from a report written by former Canal Plus CEO Pierre Lescure.

The report was commissioned by the President to find new ways of funding culture during an economic downturn, in line with France's "cultural exception" argument that such projects must be shielded from market forces.

According to Lescure, taxes on sales of smart-phones and tablets, namely Apple's iPhone ...