Over 400 executives, international government officials, and information security specialists from around the world are expected to attend the October 16 and 17 Global InfoSec Summit, hosted by WITSA and ITAA in Washington, DC at the International Trade Center. The Summit will raise awareness of the issues, promote cross-national and cross-sector collaboration, identify policy needs, highlight information security best practices and partnership initiatives, and serve as the launch for an international working group that will reconvene in Europe next year. Executives from 16 countries have already agreed to participate in our slate of international speakers. The program also includes Minister-level speakers from several countries and regions, as well as CEOs from some of the key players in the InfoSec field, including:

q Duane Andrews, Corporate Executive Vice President of SAIC

q Kannankoth Srikanth, President, Global Business Services at Nortel Networks

q Dr. Taher Elgamal, President and Chief Executive Officer of Securify Inc.

q Richard "Dick" Brown, Chairman and Chief Executive Officer of EDS Corp.

q David H. Langstaff, Chief Executive Officer of Veridian

q Van B. Honeycutt (Invited), Chairman, President and Chief Executive Officer of Computer Science Corporation

Top sponsors for the event are SAIC/Global Integrity, EDS, Veridian, Nortel Networks, Computer Sciences Corporation, and Securify. For more information or to register, please visit http://www.itaa.org/infosec/summit.htm.

2. Global E-Readiness Conducted in Collaboration with WITSA

The WITSA Secretariat expresses appreciation to those WITSA members who participated in the “International Global E-Readiness Project”, conducted by McConnell International in collaboration with WITSA as tool to increase the quality of public information about global E-Readiness and to promote actions by governments, improving the climate for e-business and e-government. The final report, entitled “Risk E-Business: Seizing the Opportunity of Global E-Readiness” was released on August 22 and is available in its entirety free of charge at http://www.mcconnellinternational.com/ereadiness/EReadinessReport.htm. The announcement of the findings led to many news articles. The Report measures the E-Readiness in 42 countries, that is the capacity to participate in the global digital economy. The 42 countries were selected as “critical economies” because they represent the “source of the next phase of world economic growth”: make up almost 75 percent of the world population and a quarter of the global GDP. The level of readiness was based on criteria such as Internet access, E-leadership, information security, human capital, and E-business climate. An update of the report is scheduled for early 2001 and the country coverage is expected to be expanded. Moreover, McConnell International will launch the International Internet Information Forum (i3forum) as a broad based public-private partnership for collective international action on E-Readiness (please see report for more details). Some of the findings were:

Some nations are falling behind as the world becomes increasingly reliant on information technology and e-commerce;
Twenty-three of the 42 countries have at least two areas where substantial improvement is needed. Without significant progress over the next three years, these countries will face great challenges in catching up with the global leaders;
Seven Middle Eastern and African countries were described as needing "substantial improvement";
Asia has a low rate of Internet connections, despite the region's reputation as a technological powerhouse. The report, however, cites "lack of adequate information security" as the area's "greatest drawback;"
In Europe, Estonia, benefiting from a close relationship with its Scandinavian neighbors, matched Taiwan in leadership, human capital and e-business climate. Nearly a third of Estonia's population is connected to the Internet, and nearly 90 percent of public employees work in a computerized environment;
Hungary, Italy, Lithuania, Portugal and Spain are not far behind Estonia. In the Americas, Argentina and Chile lead the way, while tiny Costa Rica is hard at work tightening security to join its larger neighbors at the forefront of e-commerce.

3. WITSA Chairman to Keynote ASOCIO 2000 Symposium

The Asian-Oceanian Computing Industry Organization (ASOCIO), the regional organization designed to encourage and foster trade between its members and to develop the computing industry in the Asian and Oceanian region, will hold its annual General Assembly and Symposium in Soul, Korea, on December 3-5. More than 500 IT executives from the Asian and Oceanian region are expected to attend the 2000 Symposium, which will include a keynote address on international e-commerce by WITSA Chairman George Newstrom. For more information, please see the official ASOCIO web site at http://www.asocio.org/asocio2000.htm.

WITSA MEMBER ACTIVITIES:

4. SEPE to Organize e-Europe & Eastern Europe 2000

On September 15^th and 16^th, 2000, the Federation of Hellenic Information Technology & Communications Enterprises (SEPE) will host the e-Europe & Eastern Europe 2000 conference on the island of Corfu, Greece. The conference's venue will be at the Corfu Divani Hotel. The conference will address the development of Eastern Europe into the Digital Age and related policies specifically concerning Eastern European countries. Some of the Ten Point List topics will include:

q Cheaper Internet Access,

q Accelerating e-Commerce,

q Smart Card for secure electronic access,

q Risk Capital for high-tech SMEs,

q Healthcare online,

q Intelligent transport,

q Government online, and others.

The Conference will take place concurrent to the EISA (European Information Technology Association) meeting, which will be held on the 15^th of September 2000. A variety of industry figures, foreign Information Communication Technology Ministers and Dignitaries will attend to the Conference and contribute to the development of the aforementioned policies.

5. ITAA and U.S. Government Launch Web Site to Teach Children Responsible Computer Use

[From press release]: As America’s children go back to school, The Cybercitizen Partnership, a joint effort by the U.S. Department of Justice and the Information Technology Association of America (ITAA), the nation’s leading technology association, today launched a new web site for parents and educators designed to teach kids the right ways to use the Internet. The Web site, http://www.cybercitizenship.org, represents a major national effort to provide teachers, parents and their children wit a new learning tool – responsible computer use. The Web site is initially focused on providing support for parents, and will expand to assist teachers and appeal to kids. The site is a first-of-its kind government/private sector initiative to help kids realize that the rules of the road in the offline world also apply in the online world; as the Internet becomes more important to our daily lives, the initiative is hoped to help kids make informed decisions about online behavior.

The Cybercitizen Partnership was formed last year to focus national attention on cyber social behavior and the importance of teaching young computer users to recognize that, in addition to protecting themselves from the more unsavory and potentially dangerous behavior found in parts of the Internet, they must understand that, when online, they are responsible for their own actions and that these actions have consequences for both themselves and others. The same standards of ethics expected in the offline world must be applied to the online world. The Web site will provide parents with several tools including:

Teachable Moments Teachable Moments: Tips to help parents use real-life events, news stories and examples to help them talk to their kids about the responsibilities they must accept when using the Internet;

Links: Relevant sites to connect parents to other programs and organizations offering helpful information;

Logo: A kid-friendly character, created specifically for the Cybercitizen Partnership that reminds young computer users to “Surf Like A Hero, Not A Zero”;

Current Events: Useful news coverage on cyber ethics and cyber crimes and a calendar of events for educational programs;

White Paper: A situation analysis and call-to-action addressing the need to educate children about responsible cyber social behavior;

Ask the Experts: A list of experts on cyber ethics, who will be available to respond to email inquiries from visitors to the site.

The Web site will evolve and eventually include: a directory of educational initiatives across the country dedicated to integrating messages about responsible cyber social behavior, new links to valuable Web sites; and interactive tools for parents and teachers on cyber ethics. For more information, please also see http://www.itaa.org/.

6. Harris Miller Nominated to Serve on ICANN Board

The Information Technology Association of America (ITAA) on August 1 announced that its President, Harris N. Miller has been nominated to serve as an At Large Representative to the Board of Directors of the Internet Corporation for Assigned Names and Numbers (ICANN), the newly created governing body for the Internet.

The ICANN nominating committee chose Miller, who is also President of the World Information Technology and Services Alliance (WITSA), from among approximately 211 worldwide candidates to represent the North American region. After a campaigning period in September, members of the ICANN at large community—those that registered to vote by the July 31, 2000 deadline-- will vote for a representative from their respective regions in an online election between October 1-10, 2000.

“It is an honor to be nominated to represent North America on the Board of this important group,” Miller said today. “Since the concept of ICANN took hold, ITAA and WITSA have been in the forefront, supporting the group as it developed to its current state. Because it is a wonderful example of Internet self-governance, I believe it is one of the most important global groups in existence today. I look forward to presenting my vision for ICANN’s future and earning the support of the Internet community.”

ITAA hosted key events as ICANN developed and Miller has testified before the United States Congress in support of the goals and principles of ICANN. For more information on ICANN or the nominations, visit www.icann.org. See also http://www.icann.org/nomcom/nominations.htm.

7. New Study Reveals Higher U.S. Turnover Rates for IT Workers and More Difficulty Hiring More Bonuses for IT Hires the Norm

The Information Technology Association of America (ITAA) and William M. Mercer, Incorporated on July 25 unveiled a new study indicating that information technology positions are substantially harder to fill than other types of jobs. The study, which surveyed 75 U.S. companies representing 34 states, found that IT and non-IT organizations alike reported difficulty in hiring IT workers, and an average of almost 37% longer to fill IT jobs than non-IT.

Respondents to the study reported difficulty hiring qualified workers in most IT job categories, with most acute difficulties reported in SQL, E-Commerce, and Java / ActiveX competencies. The largest contrast was reported in organizations offering sign-on bonuses. On average, 76.5% of companies offered sign-on bonuses to IT workers, compared to 52.5% for non-IT workers. Large organizations were most likely to give sign-on bonuses to IT workers, reporting they did so more than 90% of the time. This could factor into the higher-than-expected turnover rates reported for IT workers.

The longitudinal study will be conducted quarterly over a two-year period. Today’s results reflect the first round of interviews, which represent Q4 1999 practices. For more information, please see the executive at http://www.itaa.org/workforce/studies/hw00execsumm.htm. The Study can also be ordered online.

8. ITAC Study: Access to Capital Tops List of Obstacles for Emerging IT Companies

On September 7, 2000, the Information Technology Association of Canada (ITAC) announced the results of a research project identifying the barriers to growth for emerging information technology companies. ITAC also announced the launch of its new Emerging Business Program. The “Barriers to Growth in the Emerging IT Industry" study explored the issues and challenges these companies face with CEOs and senior executives of nearly 100 emerging companies identified in the "Branham 250" list of IT companies. Respondents were asked about the challenges they faced in their first year of operation. Sixty-three per cent of them indicated that access to operating capital was their biggest challenge. Forty-three per cent also cited access to capital for growth and the execution of their business models as prominent obstacles.

The problem of funding doesn't appear to abate as businesses mature. Asked to identify the key challenges they currently face, 58 per cent cited access to capital to fund growth. The challenge of recruiting technical talent grows in importance as a company matures. It was identified as a first year challenge by only 36 per cent of respondents. But for companies two to three years in operation it scores as the second most frequently cited obstacle.

The report also suggests that the nature of the skill shortage for emerging companies differs from the problems faced by more established companies. A study of the skill shortage conducted for ITAC by the Branham Group in 1999, identified project managers, senior software developers, technical consultants and web developers and designers as the most urgently required. But the emerging companies identify a strong need for access to sales and marketing skills. This challenge is heightened by the global nature of the IT business. Please see ITAC September 7 press release for more information.

9. AIIA Welcomes Australian Internet Streaming Decision

[July 21 Press Release] Rob Durie, Executive Director of the Australian Information Industry Association (AIIA), has welcomed the announcement by the Government not to regard Internet video and audio streaming as a broadcasting service. "This is a victory for common sense", said Mr. Durie. "Had the Government decided to apply the overly rigorous Datacasting definitions to material 'streamed' over the Internet, this would have had significant adverse implications for the development of the internet and related technologies in Australia, and deterred investment in the Australian IT&T industry."

AIIA highlighted the potential dangers of defining Internet streaming as broadcasting during the recent passage of the digital television through the Senate. "AIIA has been actively lobbying the Government in order to achieve this outcome for the information industry. We will continue to engage with the Government to ensure that this announcement is given effect" "The Internet streaming issue highlights the increasing inadequacies of existing legislation in regard to the rapid converging of internet, broadcasting and telecommunications technologies. AIIA will continue to lobby the Government to address these shortcomings", Mr. Durie concluded.

10. Nordic Industry Associations Calls for Regional IT Initiative

The five Nordic IT industry associations have called for a meeting with the Nordic prime ministers in order to discuss the possibility of launching a regional initiative to boost the strength of the IT sector. In an August 17 press announcement by the Swedish IT-companies' Organisation AB (SITO), Managing Director Ann-Marie Nilsson was quoted as saying that “we believe that a joint Nordic initiative can create additional international focus on the attractive IT market opportunities that exist in our region, and that it will further enhance the benefits derived from Nordic cooperation in the future.”

11. Swedish Industry Urges Government Hands-Off Approach on Broadband Deployment

The Swedish IT-companies' Organisation AB (SITO) on August 17 criticized a government proposal to introduce tax relief for certain broadband Internet technologies. According to the SITO announcement, telecom is developing so fast that it is at best difficult to track the impact of the various proposals and programs launched by various Swedish departments and other authorities. According to SITO, the proposal does not take into account the enormous investments expected to build infrastructure in the wake of the third generation mobile (3G/UMTS) licenses. Instead the Swedish government proposes to provide SEK 3.2 billion in support for alternative broadband solutions. Government risks ineffective use of funds on what may be very expensive alternatives by ignoring GSM/GPRS, UMTS, and DSL solutions. SITO emphasizes that broadband infrastructure should be developed by the market players and that a majority of Swedes will be using broadband Internet connections within three years regardless of any government intervention. SITO advises government to limit its initiative to ensure broadband access to people located min remote areas, and certain targeted special-needs groups.

WORLD CONGRESS ON INFORMATION TECHNOLOGY

12. CEO appointed for World Congress on IT

Mr. John Gygar, former General Manager of Marketing for DMR Consulting’s Asia Pacific division, has been appointed Chief Executive Officer for the World Congress on IT to be held in Adelaide in February 2002. Mr. Gygar brings to the Congress over 30 years of senior management experience with industry heavyweights DMR, Fujitsu, and IBM, both within Australia and Malaysia.

The World Congress on IT traditionally attracts global IT heavyweights to its speaker list. Past events have seen Microsoft’s Bill Gates, Hewlett Packard’s Carly Fiorina and Dell Computers’ Michael Dell at the podium. Former British Prime Minister Margaret Thatcher, former USSR President Mikhail Gorbachev, and US President Bill Clinton have also spoken at recent Congresses. The Adelaide Congress will be held from February 27/28 to March 1, 2002 and is expected to attract over 1500 delegates. It is the first time the Congress has been held in the Southern Hemisphere and is being jointly hosted by the Australian Information Industry Association (AIIA) and the Government of South Australia. For more information, please see the official site at http://www.worldcongress2002.org. For information about the highly successful 2000 World Congress on IT, which took place in Taipei on June 11-14, please see http://www.worldcongress2000.org.

PUBLIC POLICY NEWS:

INTERNATIONAL

13. Huge Turnout for ICANN At-Large Membership, Board Nominations; Elections on Schedule

As reported in the previous edition of the WITSA newsletter, At Large Members of the Internet Corporation for Assigned Names and Numbers (ICANN) will elect five Directors for its ICANN Board in a worldwide online election from October 1 to October 10, 2000. A whopping 158,000 Internet users registered by the July 31 deadline to become At-Large members, m ore than 30 times the minimum number ICANN set for conducting the election. However, many people who attempted to register in the in the days before the deadline were often unable to complete the registration process as ICANN’s computer system (designed for only 10,000 respondents) frequently became overloaded. Japan topped the list with 38,931 registrations, China came in second with 33,670 and Germany in third place with 20,475. North America as a region counted 21,591 registrations. However, only those registrants who “activated” their accounts using the PIN mailed by ICANN in early August were eligible to participate in the online election of five At-Large representatives to the ICANN Board, which takes place from October 1-10. Less than half of the 158,000 registrants actually activated their accounts.

Activated At-Large members were able to endorse self-nominated At-Large candidates for the ICANN Board until September 8. There were more than 150 self-nominated candidates from the five separate geographical voting regions (Africa, Asia/Pacific, Europe, Latin America/ Caribbean, and North America), but only those candidates that succeeded in receiving at least 2 percent of the electorate in his/her region, or 20 votes (whichever is greater) would actually be nominated. ICANN has put the cap at maximum 7 self-nominated candidates for each of the five regions, who will compete alongside the 18 pre-selected candidates selected by ICANN’s Nominating Committee. As of late August, at least a handful self-nominated candidates had made the 2 percent endorsement requirement, including from North America, Europe, Asia and South America.

14. ICANN Issues Call for Proposals for New Internet Domain Names

As announced in the previous edition of the WITSA newsletter (see article at http://www.witsa.org/news/00jul.htm#22), the Internet Corporation for Assigned Names and Numbers (ICANN) is expected to select new top level domain names (gTLDs) –such as .com, .net and .org- by the end of 2000. In a testbed -or trial- phase, the Internet governance body is expected to select no more than 10 new TLDs, and possibly as few as 3. ICANN would then initiate a process for adopting additional TLDs in a process starting in 2001. Detailed information on the TLD application process was announced by ICANN on August 15, opening for submission of applications between September 5 and October 2. Detailed criteria for assessing TLD proposals were also released, and included -in addition to a $50,000 application fee:

q The need to maintain the Internet's stability

q The extent to which selection of the proposal would lead to an effective "proof of concept" concerning the introduction of top-level domains in the future

q The enhancement of competition for registration services

q The enhancement of the utility of the DNS

q The extent to which the proposal would meet previously unmet types of needs

q The extent to which the proposal would enhance the diversity of the DNS and of registration services generally

q The evaluation of delegation of policy-formulation functions for special-purpose TLDs to appropriate organizations

q Appropriate protections of rights of others in connection with the operation of the TLD

q The completeness of the proposals submitted and the extent to which they demonstrate realistic business, financial, technical, and operational plans and sound analysis of market needs

ICANN was formed in September 1998 to oversee certain Internet technical management functions that were previously managed by the U.S. government or by its contractors and volunteers. Specifically, ICANN is in the process of assuming responsibility for coordinating the management of the Internet Domain Name System, the allocation of Internet protocol address space, the assignment of protocol parameters, and the management of the root server system. For more information, see the Preliminary Report from the July 16 Meeting of the ICANN Board in Yokohama at http://www.icann.org/minutes/prelim-report-16jul00.htm. A copy of the proposal for introducing new generic Top-Level Domains (gTLDs) can be found at http://www.icann.org/yokohama/new-tld-topic.htm.

15. First-of-Its-Kind Program Allows Non-English Top-Level Domain Names

Network Solutions Registry (NSI Registry), a division of Network Solutions, Inc., on August 24 announced a first-of-its kind testbed program for allowing accredited registrars to provide domain names in non-English language character sets in .com, ,net., and .org. The program will initially cover Japanese, Korean and Chinese, but will soon expand to also cover Spanish, Portuguese, and Arabic. Accredited registrars will need to receive a multilingual certification, and will be listed at the http://www.nsiregistry.com web site. The certification process is scheduled to start in October, and the first actual registrations may begin as early as November. However, in order to make multilingual domain name registrations possible, enhancements must be made to the Berkeley Internet Name Domain (BIND), the predominant domain name server application software currently in use.

NSI Registry maintains that is multilingual testbed is part of its effort to increase the Internet’s functionality in light of the fact that 90 percent of the world’s population does not speak English as its native language. It hoped the effort would accelerate the evolution of a multilingual Domain Name System, and maintained that the service was consistent with the work of the Internationalized Domain Name (IDN) Working Group of the Internet Engineering Task Force (IETF).

In an August 25 statement, ICANN intends to monitor closely the implementation of non-English language character sets by NSI Registry in the .com, .net, and .org top-level domains.

16. WIPO Hears Country Level Domain Name Disputes, Resolves First Case

Following its December 1, 1999 launch of the Uniform Domain Name Dispute Resolution Policy (UDRP) set by the Internet Corporation for Assigned Names and Numbers (ICANN), the World Intellectual Property Organization (WIPO) had received about 900 cases of alleged domain name trademark infringements by August 1. The WIPO Arbitration and Mediation Center had settled some 350 of these, with approximately 80 percent of the decisions going in favor of the complainant (trademark holder). While the swift action taken against hundreds of ‘cybersquatters’ may have provided a disincentive for “bad faith” domain name registrations at the generic top level domain name level (gTLD; .com, .net, .org), there are signs that some domain name speculators and profit-seekers turn to the country code domain name level to exploit well known name and brands.

As a result, several registration authorities for country codes have adopted UDRP and have asked WIPO to settle cases of alleged domain name related trade-mark infringements. While originally designed for gTLDs, WIPO has welcomed the adoption of UDRP at the country code top-level where the registration process is ‘open’ (to people regardless of geography), which can provide a cost-effective and swift resolution to the disputes. In a July 31 press release, WIPO announced that it was providing domain name dispute resolution services to the following countries: Ascencion Island (.AC), Guatemala (.GT), Niue (.NU), St. Helena (.SH), Trinidad and Tobago (.TT), Tuvalu (.TV), and Western Samoa (.WS).

The first case presented to WIPO involving a country code top-level domain was resolved on August 6. In the case, the well-known auction house, Christie’s Inc., accused a Swede named Ola Ljungberg of trade-mark infringements due to his registration of “christies.nu”. “.nu” is the top-level country code domain for the tiny Island of Niue. In siding with the complainant, Mr. Ljungberg –who had offered to sell the domain name for a large profit- was requested to transfer “christies.nu” to the complainant. A full copy of the decision is available at http://arbiter.wipo.int/domains/decisions/html/dnu2000-0002.html.

Earlier this year, several countries asked WIPO to develop voluntary guidelines to assist ccTLD administrators to address a broader set of intellectual property related issues, covering dispute prevention or other best practices. UDRP only covers trademark-related cases. Please see separate article in the previous edition of the WITSA newsletter for more information about WIPO’s launch of the next phase of its work to develop a mechanism to address non-trademark related bad faith registration of domain names.

17. Olympics to Ban, Police Against Internet Broadcasts

Broadcasting contracts for the Sydney Olympics effectively ban all transmission of video streaming and audio signals over the Internet. The contracts stipulate that such transmission must be confined within the national or regional boundaries covered, which is incompatible with Internet technology. Critics have warned that the International Olympic Committee (IOC) will face a tough time tracking downs “violators” who obtain footage by putting a camera onsite or taking a feed of Australian television. The “problem” is further exasperated by the fact that the difference in time-zones will lead to significant delays in broadcasting events to Europe and America.

The IOC is scheduled to host a conference on “new” media and the Olympic Games in Lausanne Switzerland, in December. However, current contracts that effectively ban Internet broadcast are in effect until 2008, and any one of those broadcasters may block any changes.

In a separate move, Telstra on August 30 announced that it would double its existing Internet capacity between Australia and the U.S. to 1.4 gigabits per second (Gbps). The Olympics.com web site is expected to receive up to 3 billion hits during the games.

18. WTO Director-General Welcomes G-8 Statement on Launch of New Trade Round

In a July 23 press release, World Trade Organization Director General Mike Moore welcomed the statement from leaders of the Group of Eight industrial countries that a round of multilateral trade negotiations should commence this year. A trade round, Mr. Moore said, offers the best way to ensure balanced negotiations which reflect the interests and concerns of all WTO member governments. In the July 23 release, Mr. Moore said it was vital for Canada, the European Union, Japan and the United States to agree on the way forward in launching such a round, but he made it very clear that agreement among the “Quad” is not sufficient for a successful launch. He stressed that there could be no trade round unless such talks were supported by developing country governments and unless more flexibility on difficult issues is shown by all sides.

19. Leading Internet Companies Launch ‘Privacy Partnership 2000’

On July 25, online privacy seal provider TRUSTe and 12 major high-tech companies launched Privacy Partnership 2000, and aims to “deliver its message by launching a multimedia campaign designed to educate and empower online consumers by showing them the resources available to them for controlling their personal information online. The campaign’s focus will be three-fold: branding the TRUSTe Privacy Seal, guiding consumers on what privacy notifications and protections to look for while on the Web, and driving traffic to TRUSTe’s consumer education Web pages.” See press release at http://www.truste.org/about/about_campaign.html.

The other participating companies are: AltaVista, America Online, BrightStreet, Excite@Home, IBM, Intel, Lycos, Microsoft, Persona, RealNetworks, Verizon Communications and Yahoo!.

A first Privacy Partnership was launched in October 1998 as a grassroots online banner advertising campaign. Initiated with the collaboration of the Internet "portal" sites, the effort gained the support of more than 1,600 Web sites – all donating banner ad space – and was hailed as the largest public service announcement on the Internet for its time.

20. ‘State of the Internet’ Report Sees Explosive Growth, Threat of Regulation

In its “State of the Internet 2000” report, the U.S. Internet Council named overzealous government regulation as the most serious obstacle facing the growth of the Internet and e-commerce today. According to the Council, the Internet is inherently hostile to “traditional methods of governance” and that governments are best served by letting the Internet “take its course, wherever that may lead”. Governments in the North America and much of Europe were applauded for a relative hands-off approach, while other countries were criticized for imposing burdensome regulations which could cripple growth and usage inn those countries. Governments’ primary focus should be on access and infrastructure, helping people access the Internet without barriers of income or geography.

National and unilateral efforts to regulate web content were seen as ineffective as content flows across physical jurisdictions. Privacy regulations were seen as troublesome. However, the report envisaged some limited regulatory role for governments, but cautioned that any efforts to protect against cyber-terrorists and malicious Internet users should be conducted only through the creation of multi-jurisdictional laws.

In its report, the U.S. Internet Council has found that use of Internet and web content has grown dramatically this year. From January to June, 2000, the number of unique indexable web pages doubled from 1 billion to more than 2 billion. From 1993 to 2000, the number of people who accessed the web regularly were said to increase from less than 90,000 to more than 304 million.

The report states that while the U.S. still has the largest group of Internet users, less than half of the more than 304 million now originate in North America. Nevertheless, the report demonstrates a growing ‘digital divide’ between rich and poor nations, and between north and south: e.g. only 1.5 million people are online in Africa and of these, 1 million are in South Africa. The report cites inadequate telecommunications infrastructure and poverty as the main obstacles to enhancing digital opportunity. On a more positive note, however, the report finds that the ‘digital divide’ within the U.S. appears to be shrinking. According to the report, there is no longer a clear digital gap along racial or ethnic lines, but significant differences still remain among rich and poor. For a full copy of the report, pleas see http://www.usinternetcouncil.org/.

21. UN and WTO Calls for E-Commerce Experts to Enhance Digital Opportunity

E-commerce is growing at a rapid rate. To respond to requests for assistance from developing countries and economies in transition interested in this domain, the International Trade Centre UNCTAD/WTO (ITC) which is the focal point in the United Nations system for technical cooperation in trade promotion and export development, is looking for potential experts and institutions to undertake advisory missions and to conduct presentations during training sessions on various aspects of E-commerce. Following domains are of particular interest:

· marketing strategies for E-commerce (at government or enterprise level)

· standardisation and coding systems (incl. EDI, ISO and ITU standards)

· design and development of Internet applications (incl. electronic catalogues, virtual exhibitions,

teleshopping, electronic delivery)

· banking and insurance aspects (incl. telepayment and other electronic operations)

· legal aspects (incl. contractual and taxation issues, intellectual property, arbitration)

· international purchasing (incl. electronic tendering)

· impact evaluation of E-commerce activities

For more information, please contact Bernard ANCEL, Chief of the Trade Information Section at the International Trade Centre UNCTAD/WTO at ancel@intracen.org.

22. PCs to Continue E-Commerce Dominance over Mobile Devices; Size of European M-Commerce Uncertain

As reported by the Wall Street Journal on August 31, Forrester Research has announced in a new study that the PC will continue to be the main driving force behind e-commerce transactions for years to come, even while Internet-ready handsets are expected to outnumber PCs by 2004. According to Forrester, total Internet retail in Europe will amount to € 174 billion in 2005, but only 3 percent of that (€ 5.2 billion) is expected to be derived form mobile-handsets. PCs will account for about 80 percent while interactive television will make up about 16 percent of the revenue. Personal digital assistants (PDAs) will make up less than 1 percent (€ 36 billion) in 2005. One of the problems with mobile devices taking over a larger portion of e-commerce is limited content offerings, small screen size and higher access charges. Nevertheless, Forrester anticipates that a great many small-tickets items will be bought with handsets.

A different study announced by the International Data Corporation (IDC) on August 29 greatly disputes the Forrester study’s mobile commerce numbers: While Forrester estimates M-Commerce in Europe to peak at € 5.2 billion (ca. $5 billion), IDC anticipates commerce conducted over mobile phones in Western Europe to increase to a huge $37.7 billion in 2004, a dramatic increase from this year’s expected m-commerce in the same region at $51.2 million.

23. Future of M-Ecommerce Clouded by Lack of Security, Privacy

In the midst of the huge expectations and the hundreds of billions of dollars spent by market players in auctions of third generation wireless licenses, the lack of authentication technologies, privacy and security holes means that commerce over mobile devices still have a long way to go before reaching the more robust standards of the more traditional wired Internet technologies:

A security hole in the current version of the Wireless Application Protocol (WAP 1.1) makes wireless transmissions vulnerable to hacking at the WAP gateway server, which sits inside the premises of the wireless carrier: The opportunity for hackers arise during the moment between when the gateway decrypts a wireless transmission and when it re-encrypt it for the wired network. A new WAP 1.3 version should close this security hole, but will not be available until 2001.

The lack of adequate authentication technology forces systems administrators to rely on passwords and usernames, but analysts worry that may not provide sufficient security for sensitive information – many experts encourage the eventual adoption of smart cards and similar technologies to authenticate users. Current use of digital signatures provide some security: Some cell phones include so called Subscriber Identity Modules (SIM), enables the storage of digital certificates and its associated private key through the creation of a Wireless Identity Module (WIM). However, SIM only works with the most current version of the WAP specification.

One can also use complete end-to-end encryption to enhance security, despite the WAP security hole described above. However, such implementation is a complicated matter which requires that a developer consider every device used to access the network, and necessitates a thorough understanding of each wireless network carrier. Mobile devices are also susceptible to computer viruses. Regarding hand-held personal assistants, a first-of-its-kind virus affecting units based on the Palm operating software was detected in late August. The “Trojan Horse”-like virus was found to delete applications and arrives through pirated software.

In the U.S. a significant privacy hole affecting the AT&T Wireless and Sprint PCS networks was detected as early as March, 2000. Despite promises, the privacy hole is still in place: While the more traditional wired Internet devices use “cookies” to identify users on the Web, AT&T and Sprint distribute phone numbers to web sites -without telling their customers- as these numbers are used as identifiers with their online services. Some critics have called on both AT&T and sprint to adopt “cookie” technologies for their wireless services, which also carry with it some privacy concerns.

24. “Meet Your Match” at Softworld 2000

Softworld 2000 will take place as a uniquely structured face-to-face meeting from October 15-18, 2000 in Halifax, Canada. It is a year-long business development forum that matches technology companies with strategic partners, VARs, distributors and venture capitalists. Softworld was founded in 1991 by the Information Technology Association of Canada (ITAC), British Columbia's IT association, and visionary entrepreneurs. Today, Softworld is recognized internationally as a premier IT deal making event attracting IT executives who are not only interested in growing their businesses through strategic alliances. With an expected 1000 subscribers from over 40 countries, Softworld 2000 will provide both buyers and sellers with a hot opportunity to network and prospect for deals! Please see their web site at http://www.softworld2000.com/ for more information.

EUROPE

25. EU Formally Adopts EU-US Accord on Data Protection, Final Documents Available

As reported in the previous edition of the WITSA newsletter, disregarding the European Parliament’s July 5 rejection of the “Safe Harbor” accord that will allow participating U.S. businesses continued access to personal data from Europe, the EU Internal Market Commissioner Frits Bolkestein on July 13 announced that the European Commission would formally adopt the transatlantic agreement. The arrangement was formally adopted by the Commission on July 27 as providing "adequate privacy protection." Following its adoption, the Commission issued a formal transmission letter conveying its formal decision to Under Secretary for International Trade Robert LaRussa. According to the letter, the European Commission and the Member States have committed themselves to conducting an evaluation of the implementation of the decision in 2003 as indicated in Article 3 of the Safe Harbor agreement.

A final set of Safe Harbor documents are now available at http://www.ita.doc.gov/td/ecom/menu.html and include:

q Safe Harbor Overview;

q Safe Harbor Privacy Principles & Annex;

q Frequently Asked Questions (FAQs);

q Safe Harbor Enforcement Overview; and

q Letter from Commission Services transmitting the European Commission's Adequacy Finding.

After the July 27 adoption of the Safe Harbor agreement by the European Commission, EU Member States will have a 90-day period to incorporate the principals contained in the agreement before it can enter into force. That sets the implementation of the Safe Harbor agreement to approximately November 1.

There is also a process underway in the EU to develop and authorize model agreements which rely on the "safe harbor" principles for the provisions on data processing and other contractual provisions as necessary. As stipulated in the Commission’s transmittal letter, it has initiated discussions with the EU Member States in the Article 31 Committee regarding these other provisions, with the aim of adopting a decision under Article 26.4 authorizing model agreements as soon as possible. Such a decision would mean that transfers covered by contracts in the approved form would be automatically authorized. The Commission is working with the Article 31 Committee to finalize such a decision as soon as possible.

The Safe Harbor agreement was reached following nearly two years of negotiations between the U.S. Department of Commerce and the European Commission, and was agreed by EU Member States at a May 30 meeting of the Article 31 Committee on data privacy. The safe harbor accord will not constitute a treaty, but is a de facto set of agreed privacy guidelines for U.S. businesses that want to conduct business with EU counterparts. U.S. companies will need to self-certify that they abide by the principles contained in the safe harbor accord. In accordance with the accord, they must self-certify their compliance with the safe harbor principles annually, or no longer be part of the safe harbor system. However, companies also need to register with an independent third party enforcement authority, such as TrustE or the Better Business Bureau (BBB Online).

26. EU Torn on Online Protection Measures

A European Parliamentary committee on September 4 voted on a measure in favor of restricting rules of origin for online purchases, so that a business can only be sued under the laws of its registered country – provided due notification has been made to the customer at the point of sale. The ruling brings the European Parliament in conflict with the European Council, which has favored a system where businesses selling online to EU consumers are liable to the consumer protection laws of the country of the customer, in fact forcing them to comply with 15 separate set of national rules. However, the ruling by the Parliamentary Legal Affairs Committee (decided by one vote) will need to be approved by the Parliament Plenary, and will not be a binding resolution. The vote comes as the EU attempts to bring the Brussels Convention in line with its Ecommerce Directive.

27. EU Will Not Subject Internet Telephony to ‘Voice’ Regulation, For Now

In 1998, the European Commission issued a notice on the status of telephony over the Internet, concluding that it had not yet met the standards that would make it classifiable as “voice telephony”, and that it could not therefore be subject to the individual licensing procedures by EU Member States. The Commission has since undertaken a review to be concluded by the end of 2000, and on June 22 adopted a consultative communication – opening for a public consultation period to conclude by August 31.

Despite remarkable technological improvements of Internet telephony over the past two years, a preliminary report from the Commission on August 11 made clear that voice services over the Internet will continue not to be classified as voice telephony, and will still not be subject to operating licenses. According to the Commission, the quality and reliability of Internet telephony still does not meet the expectations of mainstream consumers, and the bundling of services, e.g. voice, text, images, further makes a comparison with traditional voice telephony incomparable. The criteria -all of which must be met- for determining whether Internet telephony should be subject to traditional voice regulation are:

q The voice communications are the subject of separate commercial offer;

q The service is provided to the general public;

q The service is provided to and from public switched network termination points on the fixed telephony networks; and

q It involves direct transportation and speech in real time.

However, when the final report resulting from the current consultation period is completed later this year, it will impact the EU framework regarding electronic communication only for a limited time because significant changes are expected as a result of the 1999 telecoms review.

28. First Global Standardized E-Signatures Authentication Service Gets EU Approval

Following recent decisions in Australia, the European Union, Ireland and the United States to begin recognizing the legal validity of digital signatures, the European Commission on August 11 planned to approve the formation of a giant joint venture between EU and US banks, Identrus; a bank certification network providing standardized electronic signatures service for B2B financial and e-commerce transactions. The system is open to other financial institutions and will interoperate with other systems developed by financial industry ventures, postal authorities and telecommunications carriers. There are over 30 major banks participating in the joint venture, including: Bank of America, Barclays Bank, Chase Manhattan Bank, Citibank, Deutsche Bank, and Australia and New Zealand Banking Group.

29. Germany Unveils Electronic Signature Bill

Members of the European Union are required under the 1999 Ecommerce Directive to pass laws giving electronic and written signatures equal status. The German government on August 16 unveiled a draft digital signatures bill, which requires German parliamentary approval. It is expected to become law in 2001. While one of the first such bills in Europe, some other countries have already ratified digital signature laws. As reported in the previous edition of the WITSA newsletter, President Clinton signed the Electronic Signatures in Global and National Commerce Act into law on June 30 and President Mary McAleese of Ireland signed its Electronic Commerce Bill in July.

30. Germany May Attempt to Collect Internet Usage Tax

A new Germany Finance Ministry rule attempts to extend an old provision designed to apply taxes on company benefits -such as free personal telephone use- onto the Internet. Under the new rule, which can be blocked either by the legislature or a decision by Finance Minister Hans Eichel, all German businesses that provide dial-up access would be required to account for what part of employee web usage is business-related, and which is personal. It does not apply to unmetered Internet access. Businesses would get approximately $23 worth of untaxable web surfing per month, but would need to pay taxes on additional usage.

Critics has characterized the rule as unenforceable, intrusive and a “bureaucratic nightmare”. If implemented, it would likely cost the government millions more than it could ever obtain in revenue. Werner Senger of the German IT industry association BITKOM also has warned that the rule may well violate federal German privacy laws as enforcement will need to include a detailed tracking of Internet activity. Mr. Senger does not believe it is likely that the Government will ever implement the new provision. For more information, see BITKOM site at http://www.bitkom.org/.

31. Germany Considering Copyright Fee on Computer and Internet Devices

Following a government report approved by the German Cabinet in July, a draft law has been introduced which would apply a special copyright tax on equipment used to copy and store Internet content, including CD burners, computer printers, hard drives and high speed modems. While such fees are already in place for offline equipment, such as photocopy machines, the new tax could raise the costs of computer and telecommunications equipment by up to 30 percent (amount has yet to be determined). Joerg Menno Harms of the German IT industry association BITKOM has warned that if such a tax is implemented, it would force many companies to move their operations elsewhere. For more information, see BITKOM site at http://www.bitkom.org/.

32. Sweden Considering TV License Fees for Computers With Broadband Access

As reported by the Swedish daily, Aftonbladet, the Swedish Department of Culture is currently considering whether to introduce a TV license fee for households that have computers with broadband Internet access. The reason for the consideration is that computers with broadband access can receive TV programs online. However, households that already have TV sets and pay their mandatory license fee will not be affected by any new ruling. The news comes as Microsoft on September 5 announced its intention to include digital television software into the next version of its Windows operating software (“Whistler”), to be available in the second half of 2001.

33. Built-In Broadband Access Is Standard in Swedish Apartments

The Swedish cooperative housing union (HSB) on September 7 announced that it would install broadband Internet access for free in 56,000 apartments in the Stockholm-area, making it one of Europe’s most ambitious Internet access initiatives. Residents will have to pay a monthly fee of SEK 200 (approx. $30) for the service. An HSB spokesperson emphasized that the service increase property values, was in high demand and compared broadband Internet availability to the availability of hot water in apartments in the 1950s. For more information, see announcement (in Swedish) at the HSB site at http://www.hsb.se/.

34. Belgacom to open up local fixed-line market

As reported by Total Telecom, Belgium's national telecommunications operator Belgacom on August 24 said it would open its local, fixed-line phone market to competition by the end of the year. The announcement by Belgacom, which has a virtual monopoly in the market, is the final step towards liberalizing the country's telecommunications market. The European Commission has been encouraging the 15 EU countries to scrap the remaining monopolies on the last mile of telephone lines into users' homes. Belgacom, which has about 5.5 million fixed-line phones, said it would offer other operators access to the local loop in the last quarter of the year.

AMERICAS

35. Survey: Internet More Important Information Source than TV and Radio

According to a survey by the Center for Communication Policy at the Southern Branch of the University of California (UCLA), Internet has become a more significant information source among net users than TV or radio. As many as 67.3 percent of the respondents consider Internet as an ‘important’ or ‘very important’ source for information. The numbers for TV and radio were 53.1 and 46.8 percent, respectively. However, the same survey also found that an event higher number (73.1 percent) of Internet users thought books were a more significant information source than Internet. Newspapers also rate higher than Internet, but below books. Moreover, both Internet users and those that do not access the web do not trust the credibility of information obtained online; only 35.7 and 45.7 percent of respondents, respectively, believe that web-originated is credible. The final survey will be released in October.

36. U.S. Survey: Electronics Industry Receive High Marcs for Business Practices

In a survey of 1,000 cross-sector employees, the electronics industry rated its business ethics highest, with 82 percent of employees agreeing with a statement that their supervisors would “never authorize unethical or illegal conduct to meet a business goal”. The survey, conducted by KPMG Consulting LLC and announced on August 22, also gave CEOs and other executives in the electronics industry a rating at 62 percent. The software sector placed second, at 79 percent of employees agreeing with the statement, while the number for employees of the media industry was 74 percent. The survey has a margin for error of 5-10 percent. KPMG tracked the high ratings to the robust economy and shortage of technology employees.

37. Self-Regulatory Privacy Initiative Gets U.S. Government Endorsement

The Federal Trade Commission (FTC) on July 27 endorsed a self regulatory scheme established by the Network Advertising Initiative (NAI), a group consisting of about 90 percent of Internet advertising companies in the U.S. The plan became effective immediately and require participating Internet advertising companies to include opt-out provisions, including notification to consumers about their profiling activities. The companies will also provide consumers “reasonable access” to the information collected about them. The basics of the NAI standards are:

· Internet users will be allowed to opt out of the collection of anonymous data on the Internet for the purpose of profiling;

· They will be given a chance to determine if they want to allow previously collected anonymous data to be merged with personally identifying information; and

· They will be allowed to give permission for the collection of personally identifying information at the time and place it is gathered on the Internet.

The FTC also announced that it would seek legislation to pursue those web advertising companies that are not participating in the self-regulatory initiative.

38 U.S. Internet Users Found to Want Privacy Protections, But Unaware of Available Tools

A report released by the Pew Internet & American Life Project (PIALP) on August 20 found that American Internet users overwhelmingly support stronger privacy protection online, but that the majority has a remarkable lack of awareness of how their online activities are monitored and generally do not use the tools that are available to them to protect against unwanted tracking. Inexperienced users tended to be somewhat more concerned than more seasoned ones. Despite privacy concerns, however, users trust the Internet enough to make purchases online and to provide personal information over the net. The report, dubbed "Trust and Privacy Online: Why Americans Want to Rewrite the Rules," included a survey of 1,017 U.S. Internet users. Some of the findings from the report are:

q American Internet users want stronger privacy protections: A vast majority (86 percent) favors “opt-in” privacy policies that require companies to ask people for permission to use their personal information. A majority (54 percent) believe that web sites’ tracking of users is an invasion of their privacy, but a small majority (54 percent) choose to provide personal information in order to access those sites (only 27 percent do not give out personal information).

q Most Internet users do not exploit the privacy protection tools that exist: A majority (56 percent) could identify “cookies”, the primary online tracking tool. Only 9 percent had used encryption to scramble e-mail and only 5 percent had used so-called “anonymizing” software that hides computer identities while online. However, almost a quarter (24 percent) had provided fake personal information in order to access web sites without providing real identifiers.

q Internet users want to punish businesses that “breach” their privacy: Almost all users surveyed believe violators should be disciplined, and 11 percent think owners of companies that break their own privacy policies should be jailed: A quarter (27 percent) think owners should be fined, another quarter (26 percent) wants to shut down the site almost a third (30 percent) think the web site should be blacklisted.

q Despite their privacy concerns, most Internet users have not been victims of offensive, fraudulent or criminal events: Only a quarter of the respondents have received offensive e-mails from strangers (28 percent) or have been infected with computer virus (25 percent). Only 3 percent have been cheated during an online purchase and less than 3 percent have had their credit card swiped online.

q U.S. Internet users have trust in the Internet: Despite privacy concerns, almost half (48 percent) of the Internet users have made purchases online, more than a third (36 percent) have given out personal information (e.g. on medical condition or personal situation) in online support groups.

For more information, please see the report at http://63.210.24.35/reports/pdfs/PIP_Trust_Privacy_Report.pdf.

39. Study Finds Gradual Closing of the Digital Divide in the U.S.

In a study released by market research firm Media Metrix, Inc. on August 21, the portion of low-income U.S. households that access the Web increased by almost 50 percent in the year between June 1999 and June 2000, more than households in any other income bracket. In the lowest income group, earning $25,000 or less annually, the number of Internet surfers increased from 5 million to 7.4 million in the one year period. Nevertheless, the lowest income group still was more unwired than any other income segment, and represented only just under ten percent of all U.S. Internet users (up from 8 percent in 1999). The most wired income segment was in the $40,000 to 60,000 income range, representing nearly 28 percent of all net surfers.

As reported by Media Metrix, the Internet has changed dramatically since Media Metrix first launched its measurement services in January 1996. Among the reasons for the gradual closing of the digital divide are the continued fall in computer prices, increased technological ease-of-use, and improved access to the Internet in professional, academic and community environments.

Other key findings from the study included:

q Lower-income Web visitors (<$25k), often new to the Internet, spend more time online -- about 13 hours per month -- and view more unique content pages compared to other income groups.

q Household income also appears to influence Internet category preferences with lower-income groups visiting career and auction sites, while higher-income audiences flock to hobby-leisure, auto, sports and travel sites.

For more information, please see a detailed press release at http://www.mediametrix.com/press/releases/20000821.jsp.

40. Argentinean Telecom Deregulation To Boost Competition, Internet

Argentine President Fernando de la Rua on September 3 signed a long-awaited decree which will open Argentina’s $11 billion telecommunications market to competition in November. Besides slicing interconnection charges dramatically (from 2.35 cents to 1.1 cents per minute), a 1 percent universal service fund would be charged off the telecom operators revenues. 12 percent of this fund will be dedicated exclusively towards installing Internet in schools over the next three years. Moreover, the new rule is also thought to facilitate the growth of Internet as it for the first time will allow phone companies to obtain single licenses for bundled services, such as fixed line, mobile, cable television and Internet.

ASIA & MIDDLE EAST

41. Japan Aims to Top U.S. in High-Speed Web Service in 5 Years

In preparing for a broad bill on government policy on information technology to be submitted to the Diet next month, Prime Minister Mori of Japan on August 30 announced a national objective of surpassing the U.S. in high-speed Internet infrastructure in five years. In order to achieve this, Mori’s government would implement an action plan covering four areas: investing in broadband networks, revising existing laws acting as barriers to e-commerce, delivering government services via electronic networks, and investing in IT training. A separate set of recommendations were also expected from Japan’s Ministry of Post and Telecommunications. While Japan currently lag far behind the U.S. both in terms of e-commerce and Internet usage, Japan has a huge lead in mobile Internet services (around 12 million Japanese subscribers) and will be the first to roll out broadband wireless (3G) connections, in 2001. The plan was developed by the Prime Minster in a committee including 20 members drawn mainly from the private sector, including the heads of Sony, Softbank, and top officials from NEC, Toyota Motor and the Japan unit of IBM.

42. Chinese President Endorses Power of the Internet

In an unusually blunt statement, Chinese President Jiang Zemin on August 22 gave strong support to the positive impacts the Internet, e-mail, e-commerce, distance learning and medicine may have on China. He was quoted by the official Xinhua news agency as saying that “we should deeply recognize the tremendous power of information technology and vigorously promote its development”. He also appeared to recognize the inevitability of transborder free information flows and stated that “the speed and scope of its transmission have created a borderless information space around the world”.

However, China blocks many foreign web sites, including several mainstream Western media outlets, and has at least two “web dissidents” in jail.

43. High-Tech Brain Drain Named Greatest Obstacle to India’s Future

The brain drain of high techs Indian workers has been cited by many as perhaps the most serious challenge facing the integration of India into the New Economy. Of the 100,000 engineers that India’s technical institutes produce each year, as many as 50,000 to 60,000 move to work in the U.S. alone. Indian-based high tech companies are said to generally have employee turnover rates of up to one-third of its work force. As the Indian IT sector continues to grow rapidly, dramatic salary increases are offered – often times up to ten times as high as was possible only five years ago. While attempts have been made to lure Indian high tech workers back to India, according to Indian government officials, for every 1,000 professionals who leave the country each year, still only one or two eventually return.

In a separate development, 90 percent of the work force -300,000 employees- at the Indian Department of Telecom Services (DTS) on September 6 went on an indefinite strike to protest a perceived lack of job security guarantees as the government plans to turn the department into a state-run company in October through the creation of shares. Many workers see the move as a first step towards privatization and competition.

44. Israeli Telecom Deregulation To Boost Competition, Internet

Israel on September 4 demolished the monopoly that Bezeq Telecom has held in the local telephony and infrastructure sectors. While Bezeq already faces stiff competition in the international call and cellular markets, the new move is expected to result in at least two other companies to compete against Bezeq in the local call and Internet market. BellSouth may be one contender.

45. New IT Strategy in Jordan Makes Microsoft Exclusive Software Provider

As reported in the previous edition of the WITSA newsletter, King Abdullah of Jordan has issued a new framework for promoting IT in Jordan, making it an “online hub” for the Arab world. In a deal reported on September 7 and signed at the UN Millennium Summit, Microsoft Corp. will cover all the software needs of the Jordanian government. The deal is regarded as a first step in the King’s effort to create 30,000 new high-tech jobs by 2004, dramatically increase IT exports from $15 million in 1999 to $550 million in 2004, and attracting $150 million in direct foreign investment.

46. Qatar Launches E-Government Plan

In celebrating the 29^th anniversary of its independence, the State of Qatar on September 3 announced an ambitious e-government plan, including in the initial phase a service to enable employees of several public institutions and ministries to renew their residence permits electronically, and a communication channel to receive and deliver passports through the General Post Office. Under a similar scheme announced in April by Dubai, one of the seven states in the United Arab Emirates, officials failing to transition public services into the Internet age within 18 months could lose their jobs.

****************************************************************

Anders Halvorsen, program manager

World Information Technology and Services Alliance, 8300 Boone Boulevard, Suite 450

Vienna, VA 22182-2633; (tel) +1 703-288-1425 / (fax) +1 617 697-6590

ahalvorsen@itaa.org; http://www.witsa.org

****************************************************************

The World Information Technology and Services Alliance (WITSA) consists of 41 national information industry representative bodies from around the world. Its role is to develop public policy positions on issues of concern to the information industry and present these positions to governments and international organizations. For more information on WITSA and its members, please go to http://www.witsa.org

[1] In 1999, the German ICT market reached US $136 billion in 1999 (6.4 percent of world market).