Advancing Europe s digital future

Transcription

1 Advancing Europe s digital future Digital Headlines Digital Single Market

2 LEGAL NOTICE By the European Commission, Directorate-General for Communications Networks, Content and Technology. Neither the European Commission nor any person acting on its behalf is responsible for the use which might be made of the information contained in the present publication. The European Commission is not responsible for the external web sites referred to in the present publication. The views expressed in this publication are those of the authors and do not necessarily reflect the official European Commission s view on the subject. Luxembourg, Publications Office of the European Union, 2017 Print ISBN doi: / KK EN-C PDF ISBN doi: /0219 KK EN-N European Union, 2017 Reproduction is authorised provided the source is acknowledged. Printed in Belgium Printed on elemental chlorine-free bleached paper (ECF)

3 Advancing Europe s digital future Digital Headlines Europe has all the assets to succeed if it takes the necessary measures: Complete the Digital Single Market Invest in world-class data economy infrastructure Invest in very high-capacity connectivity Step up the digitisation of industry Support startups to scale up Implement education reform and reskilling to enable people to adapt to change Ensure high levels of data protection and cybersecurity to promote trust among citizens and protect our assets Launch common European digital projects which cannot be implemented by individual countries on their own

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5 1. European digitisation in a global context All important economies in the world are investing heavily in digitisation. While Europe as a whole lags its key competitors, several Member States are world-leading. Completion of the Digital Single Market will put Europe in a better position to succeed. Europe faces tough competition 0,7 1. Connectivity 2. Human Capital 3. Use of Internet 4. Integration of Digital Technology by business 5. Digital Public Services 0,6 0,5 0,4 0,3 0,2 0,1 0,0 Korea Japan US Australia Canada EU28 Russia China Turkey Brazil Source: International Digital Economy and Society Index (I-DESI) (CapGemini) data refer to 2015 or earlier but Europe has all the necessary assets to succeed A world-class science base and well-educated population Entrepreneurial spirit and creativity High-quality public services in areas such as healthcare A predictable regulatory environment that provides the basis for sustainable growth and investment A Digital Single Market after 2018, if the European Parliament and the Council adopt all proposals by the end of

6 All Member States are making progress, but significant differences remain 0,8 0,7 0,6 Digital Economy & Society Index Growth DESI 2014 Change 0,5 0,4 0,3 0,2 0,1 0 DK FI SE NL LU BE UK IE EE AT DE MT LT ES PT EU FR SI CZ LV SK HU CY PL HR IT 28 EL BG RO Digital Single Market: 415 billion and many other benefits on offer The Commission has presented all major initiatives Adoption by European Parliament & Council needed by the end of 2017 To be a reality as of

7 The Digital Single Market will soon bring tangible benefits to consumers and businesses Triple win for consumers Thinkstock/iStock Europeans who travel across borders in the EU will not have to worry about roaming charges Europeans will have full acccess to subscriptions to films, sports events, e-books, video games & music when travelling in the EU European consumers will enjoy access to a much wider variety of products and services and full protection of their rights online 5

8 2. Making the most of data Data is the new fuel of the Digital Single Market. The data economy infrastructure is a combination of cloud-based services, artificial intelligence, high-performance computing and high-speed connectivity, including fifth generation mobile networks (5G). Over the next decade, Europe needs to invest 500 billion in a world-class data economy infrastructure, providing major opportunities for breakthroughs and new growth. One third of this amount is above current investment trends. Store, move and crunch trillions of gigabytes of data Very high capacity broadband Cloud services High-performance computing Data analytics tools and methods 6

9 3. Investing in very high-capacity connectivity Very high-capacity internet is key to the fast and reliable transmission of data, and increasingly important for education, healthcare, manufacturing and transport. By 2025: 1. Schools, research centres, airports, hospitals, public administrations should have access to extremely high (Gigabit) connectivity. 2. European households should have access to connectivity of at least 100 Mbps, which can be upgraded to Gigabit. 3. Urban areas as well as major roads and railways should have high-speed wireless coverage (5G). One major city in each Member State should have 5G by rt ma 5G g r id s Con Ent e Video calls c ne ent inm a t r Gaming services house ted Ap connected heating ps b on eyond imaginati connected TV connected appliances lth M ility ob HD Emergency Ca r-to - ca r Traffic priority Internet access 7 communic n atio Thinkstock/iStock ea Domotics Smart eh S This requires swi adoption of the ecommunications Code, rapid availability of new spectrum and better coordination of spectrum assignment across Europe.

10 4. Accelerating the digital transformation of industry European industry needs to embrace cloud, robotics, big data, and artificial intelligence technologies not as a luxury but to remain competitive and innovative, in the face of fierce global competition. The Digitising European Industry initiative provides a framework so that industry s traditional strengths in design, pharmaceuticals, finance, health research and industrial applications can make the successful transition to a world where digital comes first. This is particularly important for SMEs, which lag behind in terms of including digital processes in their business models. European industry needs to step up digitisation Integration of digital technology by businesses: an international comparison 0,7 0,5 0,3 0,1 US South Korea Japan EU Source: International Digital Economy and Society Index (I-DESI) and SMEs need to catch up Integration of digital technology by SMEs and large enterprises 100% 80% SMEs Large enterprises 60% 40% 20% 0% Electronic Information Sharing einvoice Social media Cloud Big data ecommerce Cross-border ecommerce 8 Source: Eurostat; data for 2016

11 5. Enabling startups to grow in Europe Compared to only a few years ago, Europe now has a thriving startup scene. Excellence is spread around Europe, from Stockholm to Amsterdam, from Berlin to Barcelona, from Paris to Prague, from Lisbon to Warsaw. Policy makers must ensure that successful startups can grow in Europe rather than being slowed down by fragmentation or even moving to other continents. For this, a well-functioning Digital Single Market is indispensable. Europe has become fertile soil for deep tech startups Number of deep tech startups Europe US Number of deep tech startups; Source: Atomico but too few scale up to become global successes because of market fragmentation and a lack of growth capital Number of companies worth > $1 bn created since US China EU Rest of the world Source: Atomico 9

12 6. Facilitating employment s digital transition Digitisation boosts growth and creates employment both directly and indirectly. However, digitisation and automation will fundamentally change jobs and tasks compared to today. The EU, Member States and social partners have an important responsibility to promote the acquisition of evolving skills and support those whose jobs are made redundant. A combination of life-long learning, re-skilling and redistribution policies can ensure that nobody is left behind and prevent the further polarisation of labour markets. 2 million high-qualified ICT jobs created in Europe since 2006 but an additional may remain vacant in Employment of ICT specialists in the EU in absolute terms and as a share of total employment, ICT employment, 1000s share in total, % ,00 3,50 3,00 2,50 2,00 1,50 1,00 0,50 0,00 Source: Eurostat 2016 Technology creates highly-skilled jobs, but medium routine-tasks are at risk p.p Job polarisation in major OECD economies, European Union Japan United States p.p p.p Highly-skilled jobs Medium non-routine jobs Medium routine jobs Low-skilled jobs Percentage points changes in employment shares by occupation Medium-routine tasks include e.g. exchanging information and some manual work. Source: OECD estimates based on EU-LFS, Japanese Labour Force Survey, BLS Current Population Survey

13 Digital skills learning and training become crucial for all workers Thinkstock/iStock 11

14 7. Protecting Europe s assets Strong data protection and robust cybersecurity, underpinned by cooperation between Member States, will help protect Europe s values and critical assets. High levels of data protection guarantee rights enshrined in the Charter of Fundamental Rights and are a source of competitive strength. Securing our critical infrastructures such as energy networks, payment systems and air traffic control against cyber attacks is essential for the economy and for the safety of citizens. Standards and certification play a key role. Europeans value high levels of data protection use of anti-tracking software do not buy online for security reasons caught a virus do not allow use of personal information for advertising are aware of cookies Share of Internet users in 2016 who 0% 10% 20% 30% 40% 50% 60% 70% 80% Source: Eurostat Stronger security is needed in the face of rising cyber threats Number of incidents Number of global data breaches pertaining to identity theft H1 '13 H2 '13 H1 '14 H2 '14 H1 '15 H2 '15 H1 '16 Security is always determined by the weakest link Thinkstock/iStock Note: Worldwide; 1 st half 2013 to 2016; 2016 data breach n=974; identity theft accounted for 64 percent of data breaches in 2015 Source: Gemalto Stronger cooperation between Member States is needed 12

15 8. Launching common digital projects to tap the benefits of digital technologies and secure European leadership A key feature of the digital economy is that benefits depend on economies of scale and speed to market. The EU can add value by concentrating on projects whose scope and scale cannot be implemented by individual countries on their own, such as high-performance computing, digital healthcare and connected automated mobility. Europe no longer hosts the world s best high-performance computers China China US US US Japan Japan Switzerland US US 11 UK 12 Italy 13 US 14 Germany 15 Saudi Arabia 16 France 17 US 18 US 19 Germany 20 US Source: Our ambition is for Europe to become one of the top 3 world leaders in high-performance computing by Jean-Claude Juncker, Paris 27 October 2015 Regaining European leadership in high-performance computing Europe s ambition, as endorsed by the European Council, is to be back among the world leaders and have built a globally competitive European high-performance computing industry. Declaration to be signed at Digital Day in Rome (23 March) by France, Italy, Germany, Spain and Luxemburg for the EU to start the project. 13

16 Together we can improve quality healthcare whilst containing rising costs Thinkstock/iStock Europe has one of the world s best healthcare systems. But the ageing population and a prevalence of chronic diseases will put health care systems under pressure. Digital healthcare, powered by big data and high-performance computing facilities, can: improve diagnostics by exploiting large pools of data from all countries; facilitate better care by eliminating errors and personalising medicine; enable secure portability of medical records and eprescriptions; reduce increase in healthcare costs to public budgets; seize opportunities for business creation, innovation and growth. 14

17 Together we can enable connected and automated mobility across Europe Thinkstock/iStock Reduce congestion, promote clean air, help cut emissions, and avoid connected vehicles being blocked at internal borders. At the Digital Day in Rome (23 March), Member States and industry will sign a letter of intent to implement trans-european corridors for testing. 15

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