Commissioner for Digital Economy Günther Oettinger keynoted the “Digital Single Market: Bridging the gap” event organized on May 3rd by the British Chamber of Commerce in Belgium. Here are 4 highlights from his speech you need to be aware of.
Still lagging behind…
Europe has a number of competences and success stories in the tech sector, but it is still lagging far behind. Take creative online platforms, applications, social networks, new services: Almost nothing of these comes from Europe. The continent is not really in a good shape. We have to reverse this situation.
Digital Single Market now
Since decades we have created a common European market in a wide spectrum of sectors, giving a clear advantage to our industries in the context of the biggest market in world. There is no argument whatsoever against enlarging the benefits of the common market to the digital sector. Such benefits are expected to be much bigger if one looks to the markets of Europe’s associated partners such as Ukraine or Turkey. Fixing the regulatory fragmentation is the key issue: we do not need 28 national silos. In this respect, the general data protection regulation adopted a few months ago is the example to be followed.
A gigabyte society
The Digital Single Market cannot come reality without adequate infrastructures. Europe must aim for a gigabyte society if it does not want to fail. In order to make the most of booming sectors such as development of Internet of Things, machine-to-machine, or e–health, Europe cannot keep leveraging on 30 Mbps or 100 Mbps forever. It should start thinking of networks capable of reaching speeds of 500mbps or higher.
Europe is still grappling with two types of digital divide. The first concerns the connectivity gap between rural and metropolitan areas, which in turn requires more comprehensive investment strategies in digital infrastructures. The second lies between European citizens with digital skills and those who lack technological education. Member states should give more priority to the digital education of their citizens: the European Commission will step up its efforts to help them set up related policies on digital skills.
Beside Mr Oettinger, the conference "Digital Single Market: Bridging the Gap" featured keynote speeches from Juhan Lepassaar, Head of Cabinet to Andrus Ansip, and Robert Madelin (EPSC). Other speakers included senior EU officials, parliamentarians, trade bodies and business leaders who discussed the future challenges for business in the areas of fintech, e-health and industry 4.0.
Picture credits: Sergiu Bacioiu
If governments resort to brokering individual tax deals, such as the recent UK’s tax deal with Google, we end up with a race to the bottom that ultimately would be damaging our digital economy, says Lib-Dem MEP Catherine Bearder. Brexit? Complete economic lunacy.
What is the added value to the Digital Single Market that the UK might bring if it stays in the EU?
The UK is a world leader in e-commerce, so making it easier for businesses to sell goods and services online across the single market will bring massive benefits to our economy and to British consumers. Leaving the EU now just as we are on the cusp of this digital revolution in Europe would be complete economic lunacy.
What is your opinion about the recent UK’s tax deal with Google?
The UK Chancellor could and should have got a better deal for the UK taxpayer. It is not acceptable that there is one rule for large multinational companies and another for the small businesses paying their taxes and struggling to get by.
Companies like Google make an important contribution to jobs and the economy, but that doesn’t mean they should be able to get away with failing to pay their fair share in tax.
Broadly speaking, what sort of measures should the EU undertake to ensure that multinationals such as Google pay a fair share of tax in each country in which they operate?
The recent EU agreement to introduce greater transparency over tax deals is an important step forward. But what the history of tax deals in Europe shows us that we need a more coordinated approach to ensure accompanies pay their fair share.
If governments resort to brokering individual tax deals, we end up with a race to the bottom. The most important underlying principle should be that tax is paid where the actual economic activity takes place.
This can be a real challenge in the digital sector, but it is one we must overcome if we are to create a level-playing field and a thriving and fair economy.
Picture credits: James Petts
During the event which is co-organised by the European Commission, government representatives, business leaders, major technology companies, SMEs and researchers will gather to discuss how language technologies can help overcome the fragmentation of the EU online market, and how they can help businesses and governments to operate successfully and efficiently in multilingual Europe. A joint strategic research and innovation agenda for the multilingual digital single market will be adopted.
If you want to contribute your idea/solution on how to create a multilingual Digital Single Market please contact Blanca Rodriguez from Zabala (LT_Observatory coordinator) and Georg Rehm from DFKI (CRACKER Coordinator).
The conference will discuss how the EU should complete the digital single market; unleashing e-commerce, the data-driven economy, and new business models and the sharing economy. The building blocks for a digital age – data protection, copyright and competition policy – will also be debated.
We are pleased to invite you to participate in a conference jointly
organised by the UK Government and Dansk Erhverv – Danish Chamber of Commerce on the digital single market.