Why E-Policy E Matters: New ICT Indicators for Knowledge Economy UNCC, Bangkok, 6-8 November 2007 Daewon Choi Chief, ICTPS/ICSTD UNESCAP
Q&A. Is car a mobile ICT product? If so, what classification should apply? 2
Example: 30% of Car Value = ICT components 3
Convergence on Knowledge Economy Technology Development KE Integration Service Devices Component Network - Digital broadcasting - Telematics - Home networking - Intelligent robots - Digital Contents Next Generation Mobile Telecom (4G, HPi) KE Integration - Integrated Nan o technology - Digital Bio technology - Home Space technology - Ubiquitous banking services Next Generation Mobile Personal Kit KE integrated PC Wired Telephone Voice Network (modem) Mobile Telecom Computer Display Semiconductor Broadband Telecom Network (ATM, xdsl) Next Generation PC Non-memory Semicon (IT-SoC) Display Broadband Convergence Network (BcN) Ubiquitous Flexible Display Super Convergence Network (ScN) Analogue Era Digital Era Digital Convergence Era KE Convergence Era Source: ESCAP secretariat based on NCA 2006 Regulatory Changes 4
Analytical Framework on Techno-Regulatory Convergence
Digital Tobin s s q? Source: DWC 2002 1. Tobin s q: Market value of K / Replacement cost of K MPK/ 1 + r, 0<q<1, q>1 MPK/ 1 + r = 1 + p (p = additional cost) 2. Digital Tobin s q: Market value + Digital Marketplace value of K* / Replacement cost + Digital replacement cost of K* MPK/ 1 + r = 1 + p + d (d= digital cost: efficiency, effectiveness, equity)
KE Technology Progress Vs. Digital Tobin s s q: Impact of ICT policy on p, d (supply & demand) R Output k* Output k O 1 + r + (p + d) K K* Capital Stock Source: DWC 2002
KE Technology Progress Vs. Digital Tobin s s q: Impact of ICT policy on p, d (supply & demand) R Output k* Output k O 1 + r + (p + d) K K* Capital Stock Source: DWC 2002
Techno-legal convergence for KE Output 1 + r + p2 + d2 F(k**) R** R0 1 + r + p1 + d1 R* F(k*) F(k) O K K* K** Capital Stock Source: DWC 2002
Contribution of KE Policy on Techno- Regulatory Convergence - Conventional ICT Indicators: 1+p1 - P1=ICT infrastructure - New ICT Indicators: 1+r+p*+d - r=economic policy - p*=ict infrastructure - d=digital rights management - Examples of d: - Cyberspace disputes: data protection, digital rights management - Technical innovation: odrxml, digital certification recognition - Legal framework: cross-border jurisdiction and applicable law - New ICT Indicators for KE: 1+r+p*+d+p**+kd - p**=new technology infrastructure (bio, nano, etc.) - kd=knowledge-based rights management 10
E-Policy and New Indicator Areas: Output Investment p, digital rights management d F(k**) R** R0 R* F(k*) 1 + r + p + d O 1 + r + p + d K* K** Capital Stock Source: DWC 2002
The Case of Mobile Economy in Asia Network Effect Mobile Internet Ln>1 PC Ln<1 1990 2000 New Technology 2010 Source: DWC 2001
KE Path 2000 2010 2020 Economic reform KE Development Macroeconomic Stabilization Structural Reform Integration into Regional and World Economy ICT Knowledge Economy KE Infrastructure Integration into Regional & Global Knowledge Economy GTS DTS
Meta Coordination of Knowledge Economy Global Trading System (GTS) = f(mts, DTS) MTS DTSDTS MTS: Multilateral Trading System DTS: Digital Trading System
WTO E-Commerce Programme Dispute Resolution Secure Transaction Data Exchange ITA E-Commerce Financial Services Competition Basci TelcomPolicy Services Trade Facilitation International Trade E- Commerce Cyber Business
EU E-Europe (+) Initiative Dispute Resolution Secure Transaction Data Exchange Database Protection Dir 96/9 ADR. Art 17, E- C Dir 2000/31 Proposed Dir VAT 7/2000 E-Sig Dir 99/93 E-Money Dir Personal Data Protec Dir 95/46 International Trade E- Commerce Cyber Business
WIPO Digital Agenda Dispute Resolution Secure Transaction Artit.Media Centre gtlds Global Licensing of Digital Assests(study) WPerfor.Phono Tr Patent Coop Treaty WCopyR.Treaty E-Rights Data Exchange Hague Ind. Design Madrid Marks International Trade E- Commerce Cyber Business
UNECE CEFACT Dispute Resolution Secure Transaction CEFACT LWG? Data Exchange UN/EDIFACT Trade Facilitation Rec. XML International Trade E- Commerce Cyber Business
Example: ICT GTS=f(MTS, DTS) Dispute Resolution CDR. WTO ADR (ICC, OECD) ODR Secure Transaction VAN PKI DRM+NT Data Exchange Doc.EDI Open EDI XML, XSL International Trade E-Commerce Cyber Business
Thus, E-Policy matters for ICT Development ICT matters for KE Development ICT Indicators need to be in the new Context ICT Indicators for KE requires further work (eg. OECD, EU, ESCAP) Regional cooperation is a key factor. ESCAP mandate on multisectoral economic development bodes well with ICT/KE policy issues International cooperation needs to be further enhanced. Thank you 20