The Internet’s rapid pace of evolution has resulted in the need for government and policy makers to address its impact on society and to take into account the externalities generated in the cyberspace. Although the Internet has positive outcome in economic growth such as e-commerce, it may bring about undesirable negative consequences if it is not managed properly. This paper identifies some of the negative externalities and misdemeanours created and committed through the Internet and also discusses the possibility of unified regulatory effort for a reliable and healthy global Internet environment.