ARTICLE
14 August 2009

EC Publishes Digital Competitiveness Report And Launches Consultation

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CMS Cameron McKenna Nabarro Olswang

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On 4th August 2009, the European Commission published its Digital Competitiveness Report. The report discusses the main achievements of the Commission’s i2010 strategy, which was implemented with a view to strengthening Europe’s competitiveness in the ICT sector.
United Kingdom Antitrust/Competition Law

On 4th August 2009, the European Commission published its Digital Competitiveness Report. The report discusses the main achievements of the Commission's i2010 strategy, which was implemented with a view to strengthening Europe's competitiveness in the ICT sector. The i2010 strategy sets out a number of policy objectives which were intended to promote an open and competitive digital economy across Europe and to ultimately create a single market for ICT products.
The report sets out the main achievements of the i2010 strategy between 2005 and 2009 as follows:

  • The number of regular internet user has increased from 43% in 2005 to 56% in 2008, with most regular users using the internet daily and with high speed access. The number of users in disadvantaged groups is increasing at the fastest rate.
  • There are 114 million internet subscribers in Europe. Half of all households and more than 80% of businesses have a fixed broadband connection. Broadband is available to 93% of the population, compared with 87% in 2005.
  • The market for mobile phones has exceeded 100% penetration, increasing from 85% of the EU population in 2005 to 119% in 2009. Prices for talking and texting on mobiles have decreased over the period, with a 70% drop in roaming charges since 2005.
  • EU funded ICT research has played a significant role in Europe's major industrial development in fields such as electronics and healthcare.
  • ICT policies have become increasingly commonplace, as member states begin to appreciate their ability to stimulate productivity and growth.

The report sets out these achievements against the backdrop of the policy objectives set out in 2005:

  • Boosting the single market for businesses and consumers: the Commission has actively sought to promote competition in e-communications, remove regulatory barriers, and adopt a coordinated approach to spectrum and the potential use of digital dividend across member states.
  • Stimulating ICT research and innovation in Europe: there is a plethora of ICT research being undertaken to close the gap with Europe's leading competitors. The report highlights a more coordinated focus on research and innovation is required to complement the digital momentum.
  • Ensuring benefits for citizens: the Commission refers to initiatives in relation to health services and eGovernment services which provide government services online to address Europe's demographic challenges.

However, despite these achievements, the report suggests that Europe has further progress to make in supporting everyone's access to the internet, promoting e-commerce, and boosting research and development investments in the ICT sector, which are still trailing by international standards compared to countries such as the US and Japan.

In response to these challenges, the European Commission on the 4th August launched a consultation asking for views on nine crucial areas for future ICT policies. Examples include initiatives aimed at using ICT to drive economic recovery; increasing the role of ICT in the transition to a sustainable low carbon economy and increasing Europe's performance in ICT research and development.

The consultation period on these issues runs until 9 October 2009 and the Commission intends to present a new European ICT strategy next year. The European Commission is encouraging active participation to help draft the new digital agenda allowing Europe to emerge from the current economic crisis with a more competitive and transparent digital economy, driving future European growth and innovation.

This article was written for Law-Now, CMS Cameron McKenna's free online information service. To register for Law-Now, please go to www.law-now.com/law-now/mondaq

Law-Now information is for general purposes and guidance only. The information and opinions expressed in all Law-Now articles are not necessarily comprehensive and do not purport to give professional or legal advice. All Law-Now information relates to circumstances prevailing at the date of its original publication and may not have been updated to reflect subsequent developments.

The original publication date for this article was 06/08/2009.

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