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WTO Information Technology Symposium: Convergence and the impact of Globalization Ulf Pehrsson VP Government & Industry Relations History of mobile phone New Network Service 1987 1992 1G Ericsson Internal 2 2000 Multi Functions 2004 2G 2.5G SMS MMS Game WAP BluetoothCamera Music Symbian 3G 2007 The ”Digital Swiss Army Knife” - Everything Connected Increase in functionality and capacity of consumer devices Credit cards TV receiver Video camera Game console GPS Digital camera MP3 player/Walkman Memory stick Color Screens Portable radio PDA Fax Pager Fixed phone Ericsson Internal 3 Keeping up with Convergence Fulfilling the Ministerial Declaration of 1996 “Each party's trade regime should evolve in a manner that enhances market access opportunities for information technology products" (Ministerial Declaration on Trade in Information Technology Products, Singapore 13 December, 1996) • Maintenance of ITA requires Periodical Review • Need to focus also on non-tariff barriers Ericsson Internal 4 An all-communicating world 500 million new mobile users 2006 3 billion mobile users world wide 2007 Close to 1.4 m new mobile users a day A remarkable development that is changing the world! Ericsson Internal 5 Global Industry needs Global Response Globalized Supply Chains & True Global Markets • Economies of Scale – 1 billion mobile phones sold 2006 • Time to Market (TTM) benefits reduced by trade barriers Ericsson Internal 6 Global Industry needs Global Response Globalized Supply Chains & True Global Markets • Undisputed societal benefits (e-health, egovernment etc) • Driving economic growth - 10% increase in mobile phone penetration increases annual GDP growth by 1.2 % - customs duties and taxes slow down uptake of technology • Supporting sustainable development Ericsson Internal 7 Global Industry needs Global Response Globalized Supply Chains & True Global Markets • 97 % of world trade is covered, still majority of WTO members outside ITA • Emerging markets experiencing fastest growth, including low-income African and Asian countries • ITA membership natural element in Development Agenda Ericsson Internal 8 Thank you!