Europe must raise its game to become world leader in ICTs, Commission says
If Europe is to become a world leader in information and communications technologies (ICTs), it must double its research investments, attract more skilled workers and remove barriers to business growth, according to a new European Commission communication; the strategy described also aims to ensure that the economy and society benefit fully from these new technologies. The global ICT market is worth some EUR 2,000 billion and is growing at 4% per year. Within Europe, ICTs account for 6% of GDP (Gross Domestic Product) and generate 12 million jobs. On the research front, a quarter of all private R&D funding is spent on ICTs. However, Europe is still lagging behind the international competition; America's businesses spend twice as much on ICT research and development (R&D) as their European counterparts. Furthermore, Europe is currently suffering from a shortage of skilled ICT researchers, due partly to the fact that Europe is home to very few centres of excellence in ICT research. This means that the best people, and the bulk of private research funds, tend to go elsewhere. Nevertheless, Europe excels in a number of ICT fields, including telecoms equipment and services, robotics, security technologies and photonics, as well as being a world leader in applications such as telemedicine, aerospace electronics and embedded ICTs. Looking to the future, the communication states that Europe should take the lead in developing the future internet, as well as the next generation of ICT components and systems, seizing new opportunities in nanoelectronics, photonics and organic electronics. Europe should also pioneer the use of ICTs in health systems, energy efficiency and safety and security in buildings and transport. The new strategy sets out a three-pronged approach to tackling these problems. Firstly, investments in ICT R&D must be doubled by 2020. Annual spending on ICT R&D under the Seventh Framework Programme (FP7) is set to rise from EUR 1.1 billion in 2010 to EUR 1.7 billion in 2013, and the Commission invites Member States to match this budget increase in their national research programmes. Among other things, the Commission pledges to set up platforms for more intensive dialogues between investors and ICT innovators. It also states its intention to increase the involvement of SMEs (small- and medium-sized enterprises) in its own research programmes. Member States are also encouraged to make greater use of public procurement as a tool for promoting innovation in the ICT sector. The second path of action outlined in the strategy calls for greater collaboration between the EU, Member States, regions, industry and academia. 'Europe needs to better coordinate its policies and concentrate and specialise its resources, not least for the emergence of world-class poles of ICT excellence in Europe,' the strategy reads. In other words, the diverse stakeholders involved in funding and carrying out ICT research need to pool resources and work according to a common European strategy. Finally, the strategy notes that ICT companies need the right conditions to grow and develop. Here, the public sector can drive innovation by ensuring that ICTs are fully exploited in all public services. To support this work, the EU is investigating how best to support pan-European projects covering the entire cycle from R&D to deployment. These projects will build on lessons learnt through public-private partnerships and the Lead Market Initiative, for example. They could cover issues such as the use of ICTs in healthcare, ICT solutions for energy efficiency, or an electronic identity management system. 'The strategy should open markets with clearer demands from users, allowing for shorter innovation cycles, faster responses to socioeconomic challenges and new opportunities for industry in Europe,' the communication concludes. 'It should result in more rapid returns on investments and thus greater attractiveness of Europe for investors, companies and researchers.'