Building the Net: 6 Trends Shaping the Digital Economy www.trendsreport.net SIIA: BUILDING THE DIGITAL ECONOMY www.siia.net Building The Net: Trends Report.

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Presentation transcript:

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY Building The Net: Trends Report 2000 Trends Shaping the Digital Economy Mark Bohannon General Counsel & Vice President, Government Affairs Software & Information Industry Association

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY The Trends Report 2000  Examine the Horizon facing Companies working to close the Digital Divide  Utilize real experience of member and non- member companies to provide a micro perspective  What will be the key influences for the next 18 months?  Articulate a dynamic framework for assessing issues facing the digital economy

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY About SIIA  1000 companies in corporate, education, home, internet and online markets  Diversity of members Market leaders  Oracle, Sun, AOL, Thomson Corporation, Reuters, Bertelsmann hundreds of SMEs  Broad geographic diversity Members in 33 different countries

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY SIIA Program  Policy Advocacy International, federal and state/local Wide range of issues  Market Development Market research and analysis Best practices, standards & guidelines Business resources  Anti-Piracy Education & Enforcement

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY Six Trends the Digital Future  The Business of Policy  Customer Empowerment  Software As a Service  Digitization of Business  Education Anytime, Anywhere  The Value of Information

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY THE BUSINESS OF POLICY  The Net has fundamentally altered the relationship between industry and government … forever  Forces industry and government to work together more closely than ever before  Engagement of industry at every level of policymaking is crucial A New Paradigm for Public Policy…

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY The Dynamic Challenge of Policy  Time Dimension Policy must adapt to a constantly-evolving, technology-driven universe Balance … pressure to respond to policy imperatives … while not moving prematurely  Appropriate Roles Ability and willingness of policymakers to tackle issues they are best equipped to address Crucial: is the collective ability to recognize the difference and engage industry throughout

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY Industry Perspective  The law must respect both the potential growth and limitations of technology  Regulations must be minimal, transparent and promote fairness  Legal framework must be technology neutral and market-driven  Adopt with an eye towards other jurisdictions

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY How this Affects Government  Barriers to global business should be removed and new barriers vigorously opposed  Existing laws may need to be updated or new law may be needed  But... New laws should be approached cautiously lest growth be harmed and benefits lost Industry involvement is key

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY The Other Five Trends  Shaped by public policy framework …  Similarly, each of the trends influences the development of policy  Interconnected world=interconnected policymaking

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY #1 SOFTWARE AS A SERVICE  Technological growth creates new business models Increased bandwidth and speed are allow companies to host and manage applications Users can “rent” applications that are appropriate and cost-effective Shift in the business model of many software companies from traditional products to software as a service  New opportunities to access technology for individuals and businesses

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY #2 THE VALUE OF INFORMATION  ‘Net opened doors for more users to access more information about more topics than ever before  Online content companies struggling to meet citizen needs with viable business models Current, reliable and trustworthy information is not free or a public good greatly decentralized management of value- added information greatly increased the access of individuals and the potential for IP abuse

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY #3 EDUCATION ANY TIME, ANY WHERE  ‘Net eliminated the confines of the classroom, providing quality educational resources to the student  Technology is changing both the process, and the business, of learning  Four key benefits: Access to Content Distributed Learning Individualized Learning Improved Communication

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY # 4 CUSTOMER EMPOWERMENT  Permanently changed the relationship between buyers and sellers E-commerce provides consumers more options, alternatives and opportunities than ever before  Businesses that fail to recognize the power of the customer will fail privacy and security customer services, including personalization transparency of practices fair pricing

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY # 5 DIGITIZATION OF BUSINESS  Companies are automating systems both internally and with their partners  Key Benefits lower costs to users and consumers reduced inventory levels faster time-to-market better-informed decisions  Far-reaching macroeconomic benefits

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY Summary: From Digital “Divide” to Digital “Dividend”  6 key trends … shape and affect every business in the 18 months  The digital economy has fundamentally changed new and traditional business  The digital economy is global. The benefits can be, too.  How policymakers respond to these changes and the challenges presented will largely determine the success or failure of the digital economy

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY Next Steps  SIIA on-going analysis of the six trends through market research, webcasts and global conference, fora and other events  Close monitoring of policy developments worldwide  Resources and new data available online at  Next Trends Report: May 2001

Building the Net: 6 Trends Shaping the Digital Economy SIIA: BUILDING THE DIGITAL ECONOMY Thank you for this opportunity to present our perspectives on these important issues Mark Bohannon General Counsel & VP Government Affairs Software & Information Industry Association x325