by OECD WORKING PARTY ON THE INFORMATION ECONOMYDIGITAL BROADBAND CONTENT PANEL AND GOVERNMENT SESSION, 3 JUNE 2004 SUMMARY AND CONCLUSIONS The panel was designed to analyse and discuss changing digital broadband content value chains and business models and help identify new challenges and issues facing the development and delivery of digital content. Three sectors presenting different dynamic characteristics of digital content development and delivery were presented and discussed in detail: scientific, technical and medical publishing, music, and online computer and video games [see document DSTI/ICCP/IE(2004)7, Table 1 for a list of these characteristics]. The summary and conclusions draw out the generic themes coming from the panel and afternoon government presentations. Summaries from the individual sector panel sessions are at the beginning of each section below at pages 9, 13, 17 and 22. The government session was designed to provide an initial overview of policy issues and developments in OECD countries. Short versions of the six government presentations are presented in the subsequent section. Broadband content: Changing value chains and business models Rapid change and high potential. The generic themes of the panel were: Network convergence and rapid diffusion of high-speed broadband has shifted attention towards broadband content and applications (new demand for the digital economy) that promise new business opportunities, growth and employment. The potential for digital content growth is very high and growth is only just beginning. Technologies to assure the diffusion of content and content products are increasingly R&D-intensive (faster networks, new platforms, softwareintensive products, virtual reality applications, data-base management, etc.). Demand for content from consumers and intermediaries exploiting the potential of multiple content delivery channels is extending and supplanting infrastructure push as a major driver. Disruptive technologies, and broadband in particular, are challenging established business models while creating important development opportunities in all three sectors. Mobile content and applications received particular attention and are potentially major drivers of mobile telecommunication service and content industry revenues in OECD countries. The relationships between content originators and final users are changing, intermediaries are being created or replaced, and attitudes to content ownership and acquisition are changing. However complete disintermediation and direct contact between content creators and content users has not so far developed to a significant extent in the three sectors. Early impacts.These developments are being felt by the digital content industry in five ways: Users are challenging established ownership and distribution arrangements, whether through P2P networks or open access/open archive publishing conventions, or through new mass distribution and inter-community trading. Network availability and broadband applications create possibilities for new forms of expression by users (“users as content creators”). Each of the sectors is restructuring value chains and developing different business models to meet these challenges. Responses differ in the different sectors, with digitisation and digital delivery very high in scientific and technical publishing and business models developing in the brand new on-line games sector which satisfactorily deals with intellectual property and copying issues. New pricing models and segmentation of value chains has put pressure on the digital content industry, but the currently successful models continue to be new versions of subscription, pay per view and access charges. Positive revenue feedback cycles are generated when growing numbers of paying users foster the development and distribution of online content and services, which in turn draw more paying users. Challenges for the digital content industries include: development of innovative content adapted to broadband; co-operation and changing roles among value chain players (in particular between content owners, network operators, Internet service providers, hardware and consumer electronics suppliers); extending broadband access; digital piracy and the role of file-sharing; digital rights management and customer authentication; and efficient payment methods (especially for micro-payments); content standards (e.g. digital object identifier and metadata standards in scientific publishing) and interoperability. Major concerns are the role of intellectual property in protecting ownership in both products and services, the future development of copyright in a digital world, enforcing these rights, defining fair use and the boundaries of legitimate use, and the interaction between competition law and copyright. There are important issues in providing content for new platforms; licensing negotiations can be lengthy and complicated due to differing legal regimes across platforms and countries. Compatibility and interoperability issues, oligopolistic content markets with a strong role of publishers, exclusive access to content or networks (network access gatekeepers) that could slow deployment of broadband applications and content, are all issues meriting further attention. Challenges. In each of the sectors it was clear that existing and new commercial players can overcome perceived difficulties and migrate to being network content providers. Some sectors have successfully launched new business models (online games) while others are still experimenting with new approaches. In all cases the required levels of innovation are high. In particular, participants noted that: Access points, mobility, portability and delivery media are all changing. There are no readily established business models to simply pick up and use. Old business models do not automatically apply to emerging markets. On the other hand, investment in digital content and digital delivery has to be sustained by margins derived from traditional market models until successful new models emerge, are tested by commercial operators and accepted by users. Productivity gains are vital to reduce prices for users, but in many cases these gains require structural change in content creation and delivery industries. On the supply side the new generations of ICTs are leading to changes in the market structure of telecommunications, information services and content firms. Essentially, all the players must reinvent themselves. Network operators need to generate revenue to support investment in next-generation networks and replace loss of traditional business. For intermediaries, existing players are reinventing themselves, some are superseded and new ones emerge. New content value chains are creating new sets of activities which different or new players in the value chain can assume: content production, marketing of publishing offers, rights acquisition / management, packaging and distributing content, content protection, management of emerging publishing services, sale of advertisement space, profiling users, billing management, payment management, customer relation management, security/control, access management and other activities. Single suppliers or providers manage few of these multiple roles; they are often joint or separate activities of content providers, network operators, intermediaries, etc. There are new roles for content providers and content aggregators, network operators and intermediaries (including revenue sharing among them), which involve a high degree of co-ordination as well as competition along value chains, all of which have impacts on market structures. Policy issues. Broadband provides the potential to accelerate developments and capitalise on new market opportunities that have impacts on growth and employment. Government roles include: Public policy needs to acknowledge these changes and adjust policy and the regulatory environment to dovetail with them (adapting existing frameworks to take account of digital content development and new digital transactions and related policy issues described below). Recognition that the speed and structure of change has to be measured and economic consequences for networked and traditional businesses in content sectors analysed. Recognition of the role of governments as content creators and users, and the role of government procurement and the establishment of best practice guidelines. Some industries have been able to deal with the emerging challenges more rapidly and there are many lessons to be learnt through horizontal analysis and international dialogue. Many of these issues were also covered in the government presentations in the afternoon session (see below). Issues related to digital content development and delivery identified from the government presentations and initial case study analysis Innovation and technology R&D and innovation in content, networks, software and hardware. An environment conducive to content production. Venture capital and other financing. Skills and human resources development. Value chain and business model issues Framework conditions for creation of new business models and spread of best practices. Convergence issues and associated regulatory challenges across different value chains and industries (content, communications, and electronic equipment industries). Technology neutrality. Digital content treatment consistent across different platforms. Competition and co-ordination issues along value chains. New distribution and revenue sharing models (network services, content providers, intermediaries etc.). Infrastructure Broadband policies to ensure coverage and access to infrastructure and applications. Technological issues related to digital content delivery – standards, interoperability (including DRM), etc. Technical protection issues including digital rights management and watermarking. Infrastructure for payment and micro-payment systems, electronic signatures, authentication. Business and regulatory environment Adapting established regulatory frameworks to digital content value chains and business models. Protection of intellectual property rights: Counteracting piracy, DRM as enabler of business models, clarification of use rights along content creation and delivery value chains, digital rights clearing systems. Taxation issues specific to digital content – tax neutrality for digital content. Public / government content (public sector information) and applications Government as model user in putting government content online. Digitising public content (meteorological data, archives, etc.) and providing access to education, cultural and public information resources. Availability, access and pricing questions. Public demand: Digital content in education, health, etc. Multi-device access (e.g. mobiles, PDA, TV, PC, consoles) to education and cultural public resources. OECD work is focusing on the following activities: Sector analysis, benchmarking, and review of analytical and policy issues. Policy forum on specific issues. Organisation of panels, workshops and ad hoc activities to address specific policy issues. You can download the full report as *.pdf file: click here
by Milverton Wallace The kid enters the coffee shop and is greeted excitedly by her friends. They jostle to exchange high fives, knuckle greetings and finger snaps with her. What is the cause of their admiration? Her Rocaway jeans? Her high tan Jimmy Choo boots? Her Armani sun-glasses? Her Karl Lagerfeld jacket? Nah! It is the gleaming silver object dangling from a pair of white wires plugged into her ears. It is an iPod, the must-have digital gadget of today’s young people. With this tiny digital audio player Apple stole Napster’s thunder and replaced the CD player as the cutting-edge portable music player of choice. But if you think this is just another device for playing pre-recorded music, think again. Within two years of the iPod’s debut, developers had created software to allow anyone to produce audio content — words and music — for it and other portable digital players. This technology, known as podcasting, turns consumers into producers, and every wannabe DJ and talk-show host into broadcasters. It is a distribution channel that plugs directly into the hippest, hottest communication network on the planet. In advanced industrial countries, and increasingly in less-developed regions, social life is being digitised. Cheap camera phones and videocams allow everyday activities to be recorded and stored on personal computers or online services; more and more conversations are conducted via email, IM and SMS; private thoughts, opinions and reflections on public affairs or private passions are instantly posted on weblogs. Because they are in digital form, all these different types of record — moving images, photographs, sounds and texts — can be stored on computers. And the Internet makes it possible for all of this to be shared with family, friends and strangers. Welcome to the agora of the 21st century, a space where a diverse array of digital modes of communication intersect in cyberspace — email, instant messaging, text messaging, multimedia messaging, weblogging, audioblogging, moblogging, mobcasting, podcasting. Like it or not, this is the new cultural landscape for learning, entertainment, and communicating with each other. And it is being constructed without consultation with, or permission from, regulatory authorities or self-appointed gatekeepers. All well and good, but what is the point of all this digital g-soup when school-leavers cannot spell and do sums, or believe Winston Churchill was an insurance salesman? Relax. This is not the end of literacy, just a groping towards a new kind of literacy, which is capable of fulfilling the knowledge acquisition, informational and cultural needs of the digital age. There is nothing immutable about the mental and manual competences that constitute literacy. What it means to be literate has constantly changed throughout the ages as economic, social and cultural necessities impose new demands on the population. In addition, the number and classes of people, who needed to possess these competences have changed. In ancient Egypt, the ability to read and write, and therefore to manage the state, was a monopoly of the priestly caste and court officials. On the other hand, the assembly, the council and the court, the key institutions of the first democracy in Athens, championed by the literate Pericles, were made up primarily of ordinary people [1] (James 1956) who were mostly educated in the oral, not the literate, culture of 5th century BC Greece. In both cases the vast majority of the people did not need to be literate; you did not need reading, writing and arithmetic to be a farmer, an artisan or a soldier [2]. The same was true in the ancient Chinese, Persian, Babylonian and Roman empires. The industrial age changed everything. The mass manufacturing of goods, the introduction of machine tools and the technologizing of ancient craft skills required a work force, which could read, write, and do sums. The ceaseless need to innovate in order to remain competitive forced workers to think critically and creatively about the industrial processes in which they were engaged. This led them to invent new goods and technologies to feed the insatiable engine of industrial capitalism. For the first time in human history, education, both literary and technical, became a job requirement. Thus the invention of printing was a pre-requisite of the industrial age [3] (Eisenstein 1982). Mechanical reproduction of texts was superseded by mass production of books and newspapers to satisfy the growing need for widespread diffusion of the elements of literacy required for industrial production and social advancement. Mass production of information and knowledge produced the mass media, which by the end of the 19th century became a monolith that controlled access to information about everyday life. Other information monopolies arose during the period, most based on close and exclusive control of specialized knowledge: trade guilds, which regulated the transmission of craft skills; learned societies and associations, which regulated access to scientific information and entry into the professions. These and other institutions were important in codifying and regulating the competences, which powered industrial production and commerce. However, the mass media occupy a special place because of their central role in the organization and control of social communications, and hence the structure of cultural, political and economic life [4] (Innis 1964, 1972). The trouble with monopolies is not only that they tend to centralize power, but they also wield this power to enforce their definitions of reality on the world. So the scientific establishment decrees that a particular body of knowledge is “science”, and everything else is hocus-pocus; the medical authorities declare that a favoured corpus of practices is “medicine”, and all others are quackery; and the teaching profession holds that literacy is the three “Rs”, and evermore shall it be. But these edicts are losing their force and authority as people first challenge the information/knowledge monopolies and then develop their own communication media to find things out for themselves and explore truths other than received wisdom or the official version. Rather than the established media talking to them, people are talking to one another in their own self-created space, their own time and at their own speed [5] (Gillmor 2004). To participate in creating this autonomous space, you must possess not only the print literacy of the industrial age but also the competences required to engage in online conversations and be at ease with using 21st century digital products and services. What are the competencies that should be included in any model of literacy for the digital age? First, you should get used to interacting with screen-based devices for sending, receiving and viewing digital information because this is the way one interacts with the interface — the collection of words, icons, buttons, menus, and other symbols — connecting the user to the database which stores the data and the network which transmits it. To interact with your computers, mobile phones, PDAs, media players etc requires that you have the knowledge to understand these symbols and the tactile skills to manipulate them to achieve a desired purpose e.g., open a document, save a file, view a picture, play a song, send a message. Second, you must be able to create a document, store it and retrieve it at a later date. By “document” is meant any information element or object in digital form — words, pictures, sounds, still and moving images. Third, you need to acquire some knowledge of the theory and practice of hypermedia [6], (Nielsen 1995) because it is in this space that information is communicated on the screens of computers and digital media devices. A paper document allows only text and two-dimensional images, while radio and television have been completely linear media. The hypermedia document, now the standard form in which information is displayed and communicated, is changing all that. By allowing interaction with non-linear, multi-dimensional documents to take place, it has radically altered the practice of reading and writing. Hypermedia is the electronic palette on which diverse information objects — texts, still and moving images and sound — combine. Cross-referencing devices called hyperlinks allow us to create a non-linear mode of information production and consumption, which follows more closely the patterns of thought. Hyperlinks are gateways to other “objects” — click on one and the desired object is retrieved and played. This is the typical organization of a Web document. But some features of a hypermedia document are counter-intuitive (or, at least, contrary to the processes we have learned through paper-age education) and so require new literacies in order to make sense of the message. For example, a key feature of a hypermedia composition is that all objects have equal status. They can therefore be read — and possibly understood — in any order, so you can enter the hypermedia space at any point, and structure your reading of the story in any manner you choose. As a result, each individual reading experience is different, as are the connections and associations made. We have to learn how to use this space, to make sense of it. How do we critically evaluate what we see and hear? How do we assign weight and significance to the objects? Clearly, we need to learn to use a range of tools to help us evaluate the accuracy, authority, completeness, bias and timeliness of the information. This goes against much that we know about written communication since the invention of the codex, the form of the book that succeeded the scroll as the repository of written knowledge and culture. The codex transformed the way texts were written — introducing page numbers, chapters, indexing — and therefore the way authors constructed their work. It also changed the reading process: readers could now navigate from one page to another with ease, quickly find specific items, mark passages for future reference, and write while reading. The codex introduced a linear order and sequence in which texts are to be read and understood and a hierarchy of elements — title page, imprint, contents page, preface, introduction, main body, references, bibliography, appendices. To be literate meant understanding these elements and what they signify. The book is both receptacle and transmitter of knowledge. The change in its material form, from scroll to codex, engendered a revolution in writing and reading. People had to learn new skills in order to produce and consume information and knowledge in the new form. The same is the case with the change to a screen-based, hypertext form of information and knowledge creation and dissemination, with one big difference. The move from an oral to a literary culture was a drastic change from social, collective learning to private, individual learning; from the primacy of the voice to the primacy of the text; from understanding of the world through public performances and storytelling to understanding through private reading and personal reflection. Now these two modes are united in cyberspace as hypermedia combines almost all aspects of oral and literary cultures. Every minute of every day the Internet buzzes with the sound of music and of voices in many tongues; with animations and videos in glorious technicolor: with words and pictures; with the colour of magic, to paraphrase Arthur C. Clarke [7]. Here is the genius of cyberspace: it has created a world of endless possibilities by refusing to be constrained by what went before. In most cosmologies, the world begins with the Word. In the pre-industrial and industrial eras, two expressions of the Word, reading and writing, have been central to people’s notion of literacy. Digital technology does not abolish literacy; what it augurs is a radical re-definition of it. This is nothing new — we have been there before. Think of the momentous, world-changing shift from oral to print culture; think also of the changes in writing instruments (stone, stick, pen), writing materials (bark, leaf, clay tablet, parchment, paper), text production processes (from handwriting to hot-metal printing, from lithography to laser printing) and the intellectual and technical adjustments required to deal with them. As the digitization of economic, social and cultural life gathers pace, those who embrace and internalize the literacy of the digital age will be so much better off than those who do not. So if you are an educator, desperate to interest our iPod kid and her friends in your remedial classes; a health information officer anxious to get the message of safe sex to her and her cohorts; a training instructor eager to recruit them on a job skills programme; get familiar with their world. You will not be able to communicate with them if you do not. Notes1) See JAMES, C.L.R. 1956. Every Cook Can Govern: A Study of Democracy in Ancient Greece. Correspondence, 2 (12) June. Available from: http://marxists.org/archive/james-clr/works/1956/06/every-cook.htm2) Even if they wanted to acquire literacy, they couldn’t. Only rich individuals and families could afford to buy books. Papyrus and parchment, the materials on which most books in Europe were written until the introduction of paper from China (via Korea, Japan, India, Baghdad and Damascus) in the 12th century AD, were scarce and expensive commodities. Moreover, several ingredients’ the technique of papermaking, the invention of printing, the spread of religion, public education and libraries, the development of the scientific method, the Industrial Revolution etc–had to come together before mass literacy became possible, desirable and necessary for societies. And it took more than two thousand years after the first flowering of Athenian democracy for these conditions to become a reality. (Note that the fabled ancient libraries at Nineveh, Alexandria, Pergamum and Herculaneum were for the use of clerics, scholars and rulers, not the masses).3) See Elizabeth Eisenstein, The Printing Press as an Agent of Change (Cambridge University Press, 1982) for an excellent treatment of the way the spread of printing contributed to the Protestant Reformation, the Renaissance and the scientific revolution, and, therefore, modern liberal democracies and the industrial society.4) See Harold Innis, Empire and Communication (University of Toronto Press, 1972) and The Bias of Communication (University of Toronto Press, 1964) for a discussion of the relationship between the dominant mode and technical properties of communication and the social, political and economic organisation of society. Innis argues that fundamental changes in social structures come about when the old, dominant form of communication is challenged and replaced by new forms.5) Dan Gillmor, former technology columnist on the San Jose Mercury News, describes this movement in the arena of news gathering and dissemination as “citizen journalism”. See his book, We the Media: Grassroots Journalism by the People, for the People (O’Reilly Media, 2004).6) See NIELSEN, J., 1995. Multimedia and Hypertext: The Internet and Beyond. AP Professional.7) “Any sufficiently advanced technology is indistinguishable from magic”. Quoted in Profiles of the Future by Arthur C. Clarke (Victor Gollancz, 1999). BibliographyEISENSTEIN, E., 1982. The Printing Press as an Agent of Change. Cambridge: Cambridge University Press.GILLMOR, D., 2004. We the Media: Grassroots Journalism by the People, for the People. O’Reilly Media.INNIS, H., 1972. Empire and Communication Toronto: University of Toronto Press.INNIS, H., 1964. The Bias of Communication Toronto: University of Toronto Press.JAMES, C.L.R. 1956. Every Cook Can Govern: A Study of Democracy in Ancient Greece. Correspondence, 2 (12) June. Available from: http://marxists.org/archive/james-clr/works/1956/06/every-cook.htmNIELSEN, J., 1995. Multimedia and Hypertext: The Internet and Beyond. AP Professional.
by Franz Tessun Decision Making in Complex and Uncertain Business Environments This paper shows the need of a totally different thinking. There are three sectors of thinking: a) network thinkingb) future open thinkingc) strategic thinking. t will be shown that only the combination of these three parts of thinking is able to deal in an efficient and economic way with the future and that the combination is necessary for making decisions in a complex and uncertain environment (Navigating in a Rough Sea). More, the markets and customers are changing so fast and a lot of trends tell us that the markets and demands will change quicker and quicker so that we cannot work anymore with our old traditional decision making instruments. Some examples will be shown where you can see how to handle with complexity and uncertainty in different decisive situations. One of the most difficult and challenging questions is to recognize the risks and crisis earlier than the competitors. An even difficult question is to find the opportunities in the markets and how to use them. These questions will be answered with an early warning system. This early warning system will help to think in alternatives. You can “fore think” a lot of opportunities and risks in the markets using a strategic early warning system. The systematic approach can be supported by the Future Scorecard which is explained in detail in this paper. Why should we deal with future?Although the mankind has been interested in the future for centuries and has in- vented countless methods and procedures for purportedly forecasting the future, to the present day it has not succeeded in making the future predictable. You cannot know the future and it remains unforeseeable, which is demonstrated by all the (wrong) forecasts of recent years. Nevertheless, the managers are forced to shape the future here and now to prepare actively their enterprise for the uncertain future. How can this dilemma be solved? How can an enterprise react on the increasing complexity of its environment shortly described with keywords like globalization, market saturation, short product life cycles? How can an enterprise control the consequences of an increased complexity of markets, of product and technology development and of socio-cultural and political environment? The complexity deposits in an accelerating dynamic, in short following trends and in a high intensity of change. The answer to these questions is: we can and must create the prerequisites for preventive actions through preventive thinking. The strategic future oriented business management plays a more and more important role in a world which is labeled by turbulences and disruptive structures, because the experiences of the past and the presence play a totally unimportant role. The change cycles of business success potentials and established brands are becoming shorter and shorter. The enterprise will loose the competition, if its managers are not able to identify the essential change drivers very early and if they are not able to influence positively these drivers for its own interest.You can download the full article as *.pdf file: Click here
by PricewaterhouseCoopers Ten ICT-breakthroughs for reaching Lisbon goals The Hague, August 2004 Management summaryEurope has set itself the highest target, it wants to become the most competitive and dynamic knowledge-based economy, to have sustained and accelerated economic growth with full employment and a modernised social protection system. But everyone agrees that the Lisbon targets are still far away. Structurally, the economic growth rate and worker productivity are lower than in many comparable countries such as the USA. The key technology to stimulate growth in Europe is ICT. Although the ICT developments in the last decade have been spectacular, the potential contribution of ICT to economic growth and the quality of life is still enormous. However, it is necessary to take account of the ICT paradigm of today and proven best practices in an international setting to achieve the best results in the future. There are several countries that are very successful with their creation and implementation of ICT. The few that were investigated in this study: Korea, India, China, USA and Japan all outperform the EU in many respects. These countries have bold initiatives and dare to improve their position in the field of ICT with proactive industrial policies. Europe too can be successful. Present policies are very useful but not instrumental enough to enable Europe to catch up with other economic powers. We have to reconsider the present policies to identify the issues that are obstructing further progress and consider further the breakthroughs that could be achieved. In this study we have identified ten of such potential breakthroughs. Breakthrough 1: Shift the e-Business and e-Government policy from the connectivity to taking up complex ICT applications A crucial condition for more economic growth is a broad deployment and use of ICT by enterprises and public institutions. Therefore the EU needs national strategies that focus on flanking investments in skills and organizational transformation. Special attention is needed for small and medium-sized enterprises Breakthrough 2: Standardize ICT environments in Europe to trigger and enable new business Standardization is a prerequisite for a broad deployment and use of ICT, and will trigger and enable new business. Pan-European interoperable solutions for electronic authentication and electronic payments are needed to boost innovation and economic growth significantly. Breakthrough 3: Accelerate the introduction of disruptive technologies The speed with which new technologies are accepted and put to work has a serious impact on economic growth. The EU needs to play a key role by accelerating the introduction of new (disruptive) technologies like smart tags and Voice-over IP. Breakthrough 4: Realize the vision of ‘any content, anytime, anywhere, any platform’ Content is considered an important engine for future economic growth and employment. The EU needs to fuel this engine by realizing the vision of ‘any content, anytime, anywhere, any platform’ by e.g. introducting multiplatform access for content producers and new digital rights management regimes. Breakthrough 5: Go for global platform leadership in the ICT industry An excellent and competitive European ICT industry is a crucial condition for economic growth and employment. The EU needs to define a strategy towards global leadership in specific areas, for example by stimulating a (new) European standards policy (in cooperation with the market) and making an explicit choice for e.g. the future of 3G mobile telecom in Europe. Breakthrough 6: Develop a strategic response to job migration to low-wage countries Economic growth and employment can be seriously affected by the accelerated job migration to low-wage countries. The EU needs to develop a strategic response. Breakthrough 7: Remove barriers for the development of an innovating European electronic communications sector The electronic communications sector is a proven source for economic growth and employment. The EU needs to anticipate in an early stage the barriers for investments in next generation networks. Breakthrough 8: Move to a new and flexible model of spectrum allocation The spectrum is one of the major battlefields for innovation and new business. Modernization of spectrum policies will have a large economic impact. Therefore the EU urgently needs to make its rigid spectrum allocation model flexible. Breakthrough 9: Enforce real solutions for consumer confidence and security A crucial condition for a broad deployment and use of ICT by business and consumers is user confidence. Therefore the EU needs to enforce structural solutions for viruses and spam by creating liabilities, give priority to cybercrime within law enforcement and ensure the availability of critical infrastructures. Breakthrough 10: Shift e-Inclusion policy from ‘access for all’ to ‘skills for all’ A crucial step for a broad deployment and use of ICT by consumers is that Europe’s e-Inclusion policy does not only focus on broadband access, but also on the skills Europeans need to participate in the information society. Therefore the EU needs to redefine the current universal service obligation and adopt strategies for improving ICT skills. The full report is available: click here
by Rocky Rawstern, Nanotechnology Now Please talk about NanoWater, the reasons behind it, and the goals and timeframe. Why water, as opposed to food or shelter, or other basic needs? NanoWater is a very simple idea that grew out of a meeting with Former Israeli Prime Minister Shimon Peres at the World NanoEconomic Congress in Washington DC last year. He made the only speech I have ever seen that got a standing ovation at a nanotech conference, with the simple message that perhaps technology could do something positive. We followed this up with a visit to Israel just before Christmas last year to understand at first-hand the problems facing countries with scarce water resources. I agree that food and shelter are important global issues, as are energy and disease. Although water issues affect most of the world’s population, I wouldn’t claim that water is any more important or urgent than any of the other issues. However, there are two compelling reasons for the nanowater initiative. Firstly, lack of clean, affordable water is not a problem confined to the developing world. Southern Europe, Israel, the Western United States, the Middle East and areas of South-East Asia such as Singapore all suffer from increasing pressure on scarce water resources. While any number of programs are looking at ameliorating the situation in the developing world, the real solutions to addressing water issues will come from the countries above. These are all rich countries whose economies and future prosperity could be damaged by lack of access to water. If there is a solution to be found, it will be driven by economics, not charity. Secondly, water remediation is already available in the form of filters, desalination technologies, and water recovery systems. The reason we have a water problem is because these technologies are not yet cheap enough, either in terms of efficiency, maintenance, or the energy required to operate them. Nanotechnology is already being applied across a wide range of areas that can be either be used directly, or adapted for use in the water industry. In addition, almost every application of nanotechnology in industry is being driven by the economics of the bottom line. So the question becomes, can we use nanotechnology to make water remediation more efficient, and ultimately more economically viable? Preliminary results indicate that we can. Why now? Who is behind it? Who is participating? Well here’s an odd thing. Everyone agrees that the application of nanotechnology to water is a good thing, but no one has any money to fund a project, so many of the projects that have been discussed over the past year are still sitting on the launch pad. One of the reasons for this is that governments and companies around the world have not yet made the connection between nanotechnology and water, and as such there are no funds being made available specifically for this area. NanoWater is an initiative designed to bring together the nanotechnology community with the water industry, to find common ground. This is something that the European NanoBusiness Association did with the Textiles industry at EuroNanoTex, and a number of fruitful collaborations have already emerged. We are not demanding government handouts before we start to do anything; we are starting by determining whether the water industry can benefit from nanotechnology. As with any other technology, if there is a Dollar, a Euro or a Yen to made, then we’ll see widespread adoption. By bringing nanotechnology to Europe’s largest water industry trade show, we hope to find out where the economic sweet spot is. If we can drive down the cost of water treatment or desalination by a just few percent, the effects will be widespread and global. We are very close to the tipping point, and NanoWater is designed to give the industry the nudge it needs. How does our understanding of nanoscale phenomena relate to more and cleaner drinking water? Nanofiltration technologies are well-established, and in recent years have seen a large number of developments offering improved systems. Improvements in filtration technologies, especially with regard to increasing throughput, improving selectivity and reducing clogging, could have a major impact on the economics of existing filtration applications for both liquids and gases, and create new capabilities with enormous value for major industries such as the pharmaceutical sector, or even the power generation industry (sequestration of CO2, for example). The fundamental capabilities being developed along the way are applicable to a wide variety of industries. Examples of this are capabilities in self-assembly and hierarchical self-assembly, which offer potential for novel and cheap manufacturer of a wide variety of materials, or improvements in electrospinning of fibbers, which can be applied in areas ranging from textiles to biomaterials. Thus, though filtration itself may seem rather prosaic, the spin-offs from the capabilities developed can be expected to be very broad. Meanwhile, contamination of groundwater from both industrial and natural sources is a huge and growing problem around the world. Arsenic contamination, for example, has recently been shown by Australian researchers to be much more widespread than previously thought, with people at serious risk in 17 countries around the world. This situation is not helped by the standard kit for testing arsenic, which is proving less than reliable at the concentration levels where health starts to be at risk (cheaper and more sensitive detection is another area where nanotechnology will have significant impact). Recent years have seen great advances in macromolecular chemistry and active surfaces with applicability to decontamination; switchable chemical specificity is the key here. The physical substrates used for such developments can vary from plain surfaces (often nanostructured) to nanoporous materials (as described in the previous section) to nanoparticles. Similar physical configurations are also benefiting catalysis, and this area has also seen great improvements from the use of nanoparticles. The increase in surface area is the obvious improvement here, but there is more to it than that – some groups (e.g. Hydrocarbon Technologies Inc.) have development particles that always present the same crystalline face to the reactants, which can improve yield considerably, and some materials have been found to become catalytic as nanoparticles when they weren’t previously. This applies especially to photocatalysts, a vibrant and promising area of R&D. The value of detection technology for water purification is clear – knowing what the contaminants are. Special value can be seen in defense against biowarfare through contamination of water supplies. The key factors are price and sensitivity, both of which are going to be improved considerably by nanotechnology. Is anyone using nanotechnology in water remediation and filtration now? Is it cost-effective? Is it scalable? We are just seeing the first products emerging from companies such as Inframat, Argonide and Fluxxion. Much of filtration tends to be a materials issue – how do we produce materials that can remove contaminants, how do we keep them from clogging, and how can we control the pore size? Nanotechnology is enabling us to do just that. On the detection front, NanoSight in the UK has a system that can detect waterborne nanoparticles and viruses in real time. While these companies are the vanguard of water related nanotechnology applications, this is just the tip of the iceberg. The billions of dollars of government funding that has been going into academic establishments around the world is on the verge of releasing a flood of new technologies, some of which will find applications in the water industry. As for whether these technologies are scalable, we’ll soon find out. In studying and perfecting methods for water remediation and filtration, what spin-offs are possible? What’s in it for big business? As we have discussed, if there is a buck to be made, business will be interested. Another way to look at this question is to ask what spin-offs are there for companies developing nanotechnology for other applications? Our research indicates that there are a wide variety of nanotechnologies being developed, very few of them specifically for water, which will find applications in the water industry. What do you expect to come out of the NanoWater 2004 conference? It is a start. We don’t expect to see safe, affordable water across the globe in the timescales that some nanotech pundits have claimed we will see for a cure for cancer. We have to be realistic. By bringing the water industry into contact with the nanotechnology community, in the presence of policy and decision-makers, we can define where the technologies intersect. After that, it is up to industry and governments to fund the research and deploy the technologies. Let’s take this one step at a time. The bottom line should be to use (nano)technology to achieve something positive. If there is money to be made at the same time, then we have a better chance of success.
by European Environment Agency Foreword Progress is being made in improving the quality and quantity of Europe ’s water resources, particularly in the European Union. Much of this improvement has been made through measures aimed at reducing the pressures on Europe’s water from households and industry, often introduced through European policy initiatives. However, many of Europe’s groundwater bodies, rivers, lakes, estuaries, and coastal and marine waters are still significantly impacted by human activities. For example, pollutant concentrations remain above, and water levels below, natural or sustainable levels. In many parts of Europe this leads to a degradation of aquatic ecosystems and dependent terrestrial ecosystems such as wetlands, and to drinking and bathing water that sometimes fail human health standards. The EU water framework directive represents a major advance in European policy with the concepts of ecological status and water management at the river basin level being included in a legislative framework for the first time. Ecological status must include an assessment of the biological communities, habitat and hydrological characteristics of water bodies as well as the traditional physico-chemical determinands. For the first time, measures will have to be targeted at maintaining sustainable water levels and flows and at maintaining and restoring riparian habitats. The success of the water framework directive in achieving its objectives will be dependent on proper implementation by countries.The European Commission is therefore developing a common implementation strategy for the new directive with EU Member States and accession countries. The achievement of good ecological status for surface waters and good groundwater status will require Foreword measures aimed at the agricultural sector in particular. Agriculture has a significant, and in many areas the most significant, impact on Europe ’s waters. This is reflected, for example, in the continued high concentrations of nitrates and pesticides in surface and groundwaters and in the over-abstraction of water resources for irrigation. It is now recognised that environmental protection needs to be integrated into sectoral policies and legislation (such as the common agriculture policy). Another area of concern is the lack of appropriate and adequate information on the effects of many chemical substances on aquatic life and human health. Thousands of chemicals are being produced in, and used by, modern society. Many end up in the aquatic environment. Most have not had formal risk assessments, as progress has been very slow in assessing existing chemicals, which is required by legislation. In particular, there is a growing awareness of the issue of chemicals with endocrine mimicking effects. The EU will incorporate the 10 acceding countries in 2004. Water quality in the acceding countries is often different from that in current 15 EU Member States, reflecting differences in the socio-economic structures and development of the regions. For example, there is less polluting agriculture but poorer wastewater treatment in the acceding countries than in EU Member States. Industry and agriculture has generally been in decline in the acceding countries during the transition to market-oriented economies. Agricultural practices are not so intensive in these countries as in current EU Member States. If acceding countries aim to achieve EU levels of agricultural production then, potentially, water quality and quantity will deteriorate, e.g. nitrate concentrations in surface and groundwaters will increase, as will the nitrate load on Europe’s seas. It is, therefore, essential that the development of the economies of acceding countries within the EU is accompanied by the appropriate development and implementation of measures that safeguard the future quality and quantity of water in these countries. It is my hope that this report provides an overview of the current issues affecting Europe’s water and some insights into how it can be better protected and restored in future. Gordon McInnesInterim Executive Director The full report is available: click here
by Australian Communication Authority Vision 20/20: Future Scenarios for the Communications Industry – Implications for Regulation International Road Test ReportMay–June 2004 Executive summaryTwo representatives from the Vision 20/20 team undertook an international road test of the preliminary outcomes of the project to date. It was also an opportunity to discuss strategic implications with relevant experts and agencies. OverviewThe international road test provided new insights on emerging technologies, business models and social issues, as well as feedback about the trends and drivers of change identified in the Vision 20/20 outcomes to date. The Australian Communications Authority (ACA) received broad support for the timeliness of the project and its scope and objectives. We were encouraged to promote international awareness and consultation for the Vision 20/20 preliminary report, and to facilitate international participation in the project. The ACA was invited to collaborate with international agencies and organisations that have an interest in strategic communications analysis. This consultation was also valuable for identifying gaps in our thinking, for highlighting issues that require development, and for testing the plausibility of certain aspects of our scenarios. New insights on emerging technologies, or issues that need more emphasisThere are potentially radical changes in network architecture that may develop in the period to 2020, such as cooperative radio networks that are energy and spectrum efficient, and quantum communications. New forms of communication are expected through developments in enhanced and augmented reality, and telepresence – video conferencing with more sophisticated video capture through holographics – that were suggested as being more likely than advanced forms of artificial intelligence. Social issuesGovernments are likely to be placed under more pressure by the community to design and implement effective measures to deal with the potentially harmful drivers of broadband, such as pornography, gambling, gaming and cyber crime. The potential for negative community reaction to complexity, pervasive monitoring and being ‘always online, always connected’ needs more emphasis. While trends suggest consumers may have more choice, people are often overwhelmed by it. Some of the negative reactions that could slow down the pace of change include people taking ‘information holidays’ and online avoidance. Industry structure and emerging business modelsWhile the dominance of the broadcasting model may be challenged by peer-to-peer Internet-based video-streaming, mainstream media may continue to survive through superior product quality. Decentralisation and distribution of communications systems may destroy older business models and allow innovative services to develop. However, over time, the cycle could be repeated with the more successful business models building economies of scale and scope, moving towards centralisation and market dominance. Trusted brands that manage multiple devices and applications, providing integrated customer services, could also develop. The need for flexibility and responsiveness may drive ‘de-massification’, where very large enterprises continue to set the rules but operations are transferred to fully-owned subsidiaries. Information management and data storage services are likely to be growth areas in response to the volume of information available and the need to process and control it. Regulatory challengesRegulators that have a limited knowledge of communications systems run the risk of imposing unworkable regulations, or being manipulated by those willing to exploit knowledge-based weaknesses. An understanding of the system as a whole is necessary to manage systems-wide issues. Regulatory policy should therefore be developed with the nature of the architecture in mind. For example, the development of an open source, seamless and near-ubiquitous communications system would necessitate industry cooperation. The regulatory framework should promote cooperation. The trend to Internet-based communications will continue to drive the need for international collaboration in areas such as security, law enforcement, content, digital rights and identity management. Guaranteeing continuity of supply is important now and the demand for it is likely to increase, with resulting increased pressure on the government and the market to ensure uninterrupted service. The boundaries that define the communications sector will shift over time – how must the regulatory framework also evolve? You can download the full report [*.pdf]: click here
by Dae Ryeong Kim While the history of culture might be as long as the history of human civilization, it was during the nineteenth century that the word, “culture” began to be circulated in its modern sense. Expanding the modern civilization to the world, and facing the strong resistance from traditional cultures throughout the world, the Europeans began to recognize the reality of the diversity of culture. While the Enlightenment had been the force to motivate the Westerners to expand the western civilization to the rest of the world, it was, ironically, this very process of westernalization that has trigged the reaction of the multiculturalism in the western societies in postmodernity. In order to illuminate the origin of multiculturalism, one needs to explore the post-Enlightenment world first. By the middle of the eighteenth century, Europeans were speaking of their own age as the Age of Reason, the Enlightenment. And this new confidence had explosive power. As Lesslie Newbigin vividly describes it, here was a new prospect for the whole human race. The light that had dawn in Europe now had to be spread throughout the world. The Dark Ages might have passed in Europe, but there were still dark continents where the light had not penetrated. Human reason was essentially the same everywhere, and all human beings, whatever their race or creed, could be taught to share the benefits of its unfettered use. Here was a task worthy of the supreme dedication of the peoples of Europe. In short, Europeans in this century had a motivation to westernize the rest of the world because they found their mission in civilizing the world. First, however, there was the expansion of modernism in Europe accelerated by the French Revolution. The vision of liberation of the right of every human being to justice and freedom, had to be translated into the realities of politics. “Liberty” and “equality” were the watchwords, with “fraternity” a somewhat muted third cry. France was the first place where the explosion took place, but the Napoleonic wars carried many of the new ideas into the rest of Europe. Nothing in Europe would ever be the same.