By Sam Schechner 

PARIS--French Prime Minister Manuel Valls called Saturday for the European Union to update regulation of the Internet and digital economy, as France begins work on a new package of "digital" legislation aimed for next year.

Speaking at a startup incubator in central Paris, Mr. Valls said that only at a European level can French policy makers hope to "influence the functioning of a transnational network like the Internet," adding that if the continent isn't up to the task, "then it will drop out of history."

The French premier spoke at the opening of a public consultation the government says will serve as the basis for new digital laws in France, as well as informing France's position under the new leadership at the European Union.

"We can no longer be satisfied with legislation in small brush strokes, and sometimes conflicting ones," Mr. Valls said.

The call for updated digital rules at a European level is the latest from France, which has been pushing forms of regulation for large Internet "platforms" such as Google Inc. or Facebook Inc. for more than a year. It echoes similar appeals from countries such as Germany, and comes as European officials have been putting unprecedented pressure on big tech firms such as Google Inc. and Apple Inc. over questions ranging from competition and privacy to taxes.

The consultation launched on Saturday includes a website for individuals or groups to weigh in, and includes topics such as of how to digitize the French government and help boost economic growth by broadening Internet use by French small businesses, where usage lags behind European averages.

It also delves into thornier issues such as guaranteeing personal privacy, and how the government should regulate Internet firms.

One idea developed by France's advisory digital council is to create rules that require a new concept of "loyalty" by large firms, for instance to determine how they use personal data, or establish contracts with small companies.

"We have been completely passive on the European level when it comes to the big Internet platforms," said Axelle Lemaire, France's minister for digital affairs at Saturday's event. "Facebook today is bigger than the entire Internet a decade ago. We have to make adjustments," she said.

Write to Sam Schechner at sam.schechner@wsj.com

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