By Stefano da Empoli – Like a prism that changes according to the perspective through which it is observed, there are many possible interpretations of the concept of digital sovereignty. In the past few days, Italian Prime Minister Mario Draghi has provided some inspiration for the right way to look at it. During a joint press conference with French President Emmanuel Macron, and held after the signing of the Quirinale Treaty, Draghi referred to European sovereignty as the “ability to direct the future as we wish.”
In the digital domain, the power to be the author of one’s own destiny can be won with two tools: sound rules and technological investment. Only a balanced combination of them, however, can produce digital sovereignty to the benefit of European citizens. Much has been said in recent years about the so-called ‘Brussels effect’, the title of a successful book by Anu Bradford, the Finnish-born legal scholar based at Columbia University in New York.
Through the definition of a robust and ambitious regulatory framework, the European Union has managed to establish itself as the main global rule-maker, influencing the legislation of other countries and inducing non-European companies to take it into account not only for products and services sold in the old continent but also elsewhere.
A meaningful case study is the GDPR, the European privacy regulation, which was approved in 2016 and came into force in 2018. One of the basic principles, that of privacy by design, i.e. already built into a product or service at the time of its conception, has become the mantra of many American companies in just a few years. While it is true that the US does not yet have a federal privacy law, California, which is home to most of the large American technology companies, passed a very similar one. more>
Posted in Business, Economic development, Economy, Education, History, How to, Leadership, Net, Technology
Tagged Business improvement, Capital, EU, Government, Internet, Leadership, Skills, Super regions
How to Right-Size Your Middle-Mile Network for Rural Broadband Growth
By Mitch Simcoe – Have you ever purchased something where you didn’t plan and anticipate your future needs correctly and you ended up needing to replace it with something larger, something that can scale with greater capacity to meet your needs? Something that leaves you with a nagging feeling, that if you had just planned better from the start it would have saved you a lot of time, money and aggravation?
For example, my son recently graduated from college and the first car he went and bought was a 2-seater red convertible with a trunk that can barely hold a suitcase. Now he wants to go mountain biking and kayaking on the weekend and realized he will need to upgrade to a truck and will reluctantly have to sell the sports car.
Well, it is not hard to fall into the same trap when it comes to planning for a Middle-Mile Network for Rural Broadband. Middle-mile networks are typically fiber rings that aggregate the traffic from service provider central offices or utility substations that connect residential customers in rural areas as shown in Figure 1. Whether it’s utility co-ops, regional service providers or municipalities, all need to plan for future broadband demand on these middle-mile networks. As we have seen during the pandemic, people living in rural areas have welcomed the opportunity to work from home; they shop, consume entertainment, and access advanced education services and critical healthcare data online. The COVID-19 pandemic has only accelerated these trends: elevating high-speed reliable broadband from a “nice to have” service to an essential one, just like water or electricity. more>
Posted in Broadband, Business, Communication industry, Economy, Education, History, How to, Net, Technology
Tagged Broadband, Business improvement, Ciena, Fiber optics, Internet, Skills, Technology
The rise and rise of the global balance sheet: How productively are we using our wealth?
Net worth has tripled since 2000, but the increase mainly reflects valuation gains in real assets, especially real estate, rather than investment in productive assets that drive our economies.
By Jonathan Woetzel, Jan Mischke, Anu Madgavkar, Eckart Windhagen, Sven Smit, Michael Birshan, Szabolcs Kemeny, and Rebecca J. Anderson – We have borrowed a page from the corporate world—namely, the balance sheet—to take stock of the underlying health and resilience of the global economy as it begins to rebound from the COVID-19 pandemic. This view from the balance sheet complements more typical approaches based on GDP, capital investment levels, and other measures of economic flows that reflect changes in economic value. Our report, The rise of the global balance sheet: How productively are we using our wealth?, provides an in-depth look at the global economy after two decades of financial turbulence and more than ten years of heavy central bank intervention, punctuated by the pandemic.
Across ten countries that account for about 60 percent of global GDP—Australia, Canada, China, France, Germany, Japan, Mexico, Sweden, the United Kingdom, and the United States—the historic link between the growth of net worth and the growth of GDP no longer holds. While economic growth has been tepid over the past two decades in advanced economies, balance sheets and net worth that have long tracked it have tripled in size. This divergence emerged as asset prices rose—but not as a result of 21st-century trends like the growing digitization of the economy.
Rather, in an economy increasingly propelled by intangible assets like software and other intellectual property, a glut of savings has struggled to find investments offering sufficient economic returns and lasting value to investors. These savings have found their way instead into real estate, which in 2020 accounted for two-thirds of net worth. Other fixed assets that can drive economic growth made up only about 20 percent the total. Moreover, asset values are now nearly 50 percent higher than the long-run average relative to income. And for every $1 in net new investment over the past 20 years, overall liabilities have grown by almost $4, of which about $2 is debt. more>
Posted in Business, EARTH WATCH, Economy, Education, History, How to, Net, Regulations, Technology
Tagged Business improvement, Capital, Industrial economy, Leadership, McKinsey, Skills, Technology, Wealth