The internet has in recent years become a major driving force behind the global economy. But as information and communications technology (ICT) advances and proliferates at exponential speed, the implementation and maintenance of the essential supporting infrastructure is failing to keep pace with the rapidly increasing demands that are being placed on it. The World Economic Forum’s report titled “Delivering Digital Infrastructure: Advancing the Internet Economy” highlights the major infrastructure challenges facing the internet in coming years and what policy measures nations around the world can take to collectively ensure the continued growth and success of the global internet economy.
Although the growth and development of digital communication has been a global phenomenon, ICT infrastructure has not developed equally around the world. The manner in which ICT infrastructure developed in each country was unique to their specific needs and environments, and the specific infrastructure needs of different countries still vary greatly. South Korea and Japan are cited as global leaders in ICT infrastructure, boasting the world’s highest connection speeds as well as broadband and LTE penetration. Other advanced economies, including the United States and the EU, lag somewhat behind. In emerging markets, the challenge is greatly multiplied. Digital technology can provide new, game-changing avenues for growth in the developing world, but access and utilization of the internet and digital communication in the developing world is nowhere near as widespread as it is in developed countries, and the lack of proper infrastructure is largely to blame. Overcoming these infrastructure challenges will require tailored approaches for each economy, taking into account their specific infrastructure needs. The report details some recommended approaches for the United States, EU, and emerging markets, but the overarching themes revolve around improving regulatory policy and increasing government proactivity in infrastructure development.
One of the biggest challenges facing policy-makers around the world is developing regulatory policy that fit the unique and ever-changing needs of the ICT environment in their respective countries. The internet has long enjoyed relative freedom from universal regulation, which has allowed for unprecedented opportunities for innovation while simultaneously creating vulnerability for serious problems. Ensuring the continued success of the internet economy requires policy makers to strike a delicate balance between regulation that is neither too laissez-faire nor heavy-handed in order to protect the integrity of the internet infrastructure without stifling its development through private innovation. Furthermore, the fast-paced world of ICT doesn’t always work well with the slow and steady world of policy making. The key to accommodating these unique needs, according to the report, is an adaptive policy approach based on protecting general principles, such as the right to data privacy, rather than specific regulations that would need to be constantly adjusted for future changes in the technological environment. The focus should be on implementing smarter regulation rather than more regulation.
While heavy-handed regulatory policy is not recommended, the report emphasizes the importance of proactivity and engagement among governments around the world to encourage and facilitate the development of ICT infrastructure. Government investment in infrastructure, particularly through public-private partnerships, is one effective way of improving infrastructure. This is especially true in emerging economies where much of the infrastructure must be built from the ground up. Governments can also be more proactive in facilitating opportunities for growth in infrastructure by making investments in research and advanced education as well as providing more resources for private entities to work with by taking measures such as releasing more mobile spectrum for private use.
As the gap between ICT technology and the infrastructure that carries it widens, now is a vital time for governments to get involved in closing that gap. Through adjusting regulatory policy and increasing proactive engagement in infrastructure development, advanced and developing economies alike can make great strides in securing a brighter future for the global internet economy.
This article was originally published in the Diplomatic Courier's July/August 2014 print edition.
a global affairs media network
Bridging the Infrastructure Gap Through Policy
August 16, 2014
The internet has in recent years become a major driving force behind the global economy. But as information and communications technology (ICT) advances and proliferates at exponential speed, the implementation and maintenance of the essential supporting infrastructure is failing to keep pace with the rapidly increasing demands that are being placed on it. The World Economic Forum’s report titled “Delivering Digital Infrastructure: Advancing the Internet Economy” highlights the major infrastructure challenges facing the internet in coming years and what policy measures nations around the world can take to collectively ensure the continued growth and success of the global internet economy.
Although the growth and development of digital communication has been a global phenomenon, ICT infrastructure has not developed equally around the world. The manner in which ICT infrastructure developed in each country was unique to their specific needs and environments, and the specific infrastructure needs of different countries still vary greatly. South Korea and Japan are cited as global leaders in ICT infrastructure, boasting the world’s highest connection speeds as well as broadband and LTE penetration. Other advanced economies, including the United States and the EU, lag somewhat behind. In emerging markets, the challenge is greatly multiplied. Digital technology can provide new, game-changing avenues for growth in the developing world, but access and utilization of the internet and digital communication in the developing world is nowhere near as widespread as it is in developed countries, and the lack of proper infrastructure is largely to blame. Overcoming these infrastructure challenges will require tailored approaches for each economy, taking into account their specific infrastructure needs. The report details some recommended approaches for the United States, EU, and emerging markets, but the overarching themes revolve around improving regulatory policy and increasing government proactivity in infrastructure development.
One of the biggest challenges facing policy-makers around the world is developing regulatory policy that fit the unique and ever-changing needs of the ICT environment in their respective countries. The internet has long enjoyed relative freedom from universal regulation, which has allowed for unprecedented opportunities for innovation while simultaneously creating vulnerability for serious problems. Ensuring the continued success of the internet economy requires policy makers to strike a delicate balance between regulation that is neither too laissez-faire nor heavy-handed in order to protect the integrity of the internet infrastructure without stifling its development through private innovation. Furthermore, the fast-paced world of ICT doesn’t always work well with the slow and steady world of policy making. The key to accommodating these unique needs, according to the report, is an adaptive policy approach based on protecting general principles, such as the right to data privacy, rather than specific regulations that would need to be constantly adjusted for future changes in the technological environment. The focus should be on implementing smarter regulation rather than more regulation.
While heavy-handed regulatory policy is not recommended, the report emphasizes the importance of proactivity and engagement among governments around the world to encourage and facilitate the development of ICT infrastructure. Government investment in infrastructure, particularly through public-private partnerships, is one effective way of improving infrastructure. This is especially true in emerging economies where much of the infrastructure must be built from the ground up. Governments can also be more proactive in facilitating opportunities for growth in infrastructure by making investments in research and advanced education as well as providing more resources for private entities to work with by taking measures such as releasing more mobile spectrum for private use.
As the gap between ICT technology and the infrastructure that carries it widens, now is a vital time for governments to get involved in closing that gap. Through adjusting regulatory policy and increasing proactive engagement in infrastructure development, advanced and developing economies alike can make great strides in securing a brighter future for the global internet economy.
This article was originally published in the Diplomatic Courier's July/August 2014 print edition.
