Download Lessons from the Conference. Regional Cooperation

Lessons from the Conference. Regional
cooperation: the success formula for
digitalization of the region
Conclusions
 Broadband and superfast broadband connectivity for ALL by 2020
 Ms. Neelie Kroes: “10% increase in broadband penetration could lead to 11.5% growth in the economy”
 As mentioned by Mr. Giancarlo Di Bernardo the doubling of broadband
speed could lead to a 0.3% increase in GDP
 Broadband – eGovernment enabler – Romania, Albania already have 100%
eProcurement. Romanian Health Ministry saved USD 200 mln in 2002
alone thanks to eProcurement.
 Ericsson Networked City Index - there is a strong correlation between ICT
maturity in cities and their triple bottom line (i.e. long-term social equity,
economic prosperity and environmental performance) development.
 Mobile Broadband - Ericsson estimates there will be 50 billion connected
devices by 2020
The Impact of Broadband on the Economy
Dr. Raúl L. Katz, Adjunct Professor, Division of Finance and Economics, and Director, Business Strategy Research, Columbia Institute of Teleinformation at the 10th Global Symposium for Regulators “Enabling Tomorrow’s Digital World” Dakar, Senegal, 10 November 2010.
INCREASING BROADBAND IMPACT ON GDP GROWTH
The Impact of Broadband on the Economy. ITU, 2012
Broadband impact on job creation
Dr. Raúl L. Katz, Adjunct Professor, Division of Finance and Economics, and Director, Business Strategy Research, Columbia Institute of Teleinformation at the 10th Global Symposium for Regulators “Enabling Tomorrow’s Digital World” Dakar, Senegal, 10 November 2010.
These effects result in different output and employment impact depending
on broadband penetration
Dr. Raúl L. Katz, Adjunct Professor, Division of Finance and Economics, and Director, Business Strategy Research, Columbia Institute of Teleinformation at the 10th Global Symposium for Regulators “Enabling Tomorrow’s Digital World” Dakar, Senegal, 10 November 2010.
IT and Education
• Across the OECD countries, 83.6% of people between 25 and 64 with
tertiary education were in employment, compared to 56% of those without
an upper secondary education. (OECD Report Education Indicators in Focus, 2012)
• By 2015 it is expected that 90% of jobs across all sectors will require tech
skills (IDC White Paper Post Crisis: e-Skills are needed to drive Europe’s innovation society, 2009)
• e-Skills are needed across the full spectrum of economic sectors: Already
in 2007 the majority of ICT practitioners in Europe worked in industries other
than ICT: less than half (46%) were employed in the core ICT industry. (IDC –
Empirica GmbH, Monitoring e-Skills Demand and Supply in Europe, 2009)
• 58% of employers believed the education sector is not doing enough to
prepare young people for the modern workplace. (IDC White Paper Post Crisis: e-Skills are
needed to drive Europe’s innovation society, 2009)
Education and Economic Growth
• With high labor costs and advanced industry structures, OECD countries
need a steady supply of skills to move their economies forward. Education
plays a key role in providing the labor market with those skills. The supply of
highly-educated workers has increased rapidly in most OECD countries over
the past several decades. Other indicators in Education at a Glance suggest
that there is little evidence that this expansion has led to an excess supply; on
the contrary, most indicators suggest that the expansion of higher education
has not kept pace with the demand for those skills.
• Labor income growth among tertiary graduates has contributed over one
percentage point in annual GDP growth over the past decade. Even during the
recent economic downturn, labor income growth among this group generated
a positive impact on GDP of more than a half percentage point per year
(between 2008 and 2010). While GDP shrank by almost 4% across OECD
countries in 2009, labor income growth among tertiary graduates still made a
positive contribution to GDP of 0.4%. (OECD Report Education Indicators in Focus, 2012)
Perspectives
 Horizon 2020 - Commission proposal for an 80 billion euro R&I funding
programme (2014-20). Innovation and capacity building
 Cross boarder and EU cooperation is key to success.
 Decision would be taken by project impact on the community level
 Collaboration on regional level – neighboring and other EU countries. Start
preparation for 2020 targets
 Start working on the program ASAP as it will begin in 2014
 Growing professional ICT shortage in Europe will generate a shortfall of as
many as 700,000 professionals by 2015 (Vice President of the European
Commission responsible for the Digital Agenda for Europe, Neelie Kroes.)
 Broadband and education each individually has significant impact on
economic growth – combined – even stronger
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