Making Europe the world leader in ICT is the goal of the new strategy proposed by the European Commission.

Today Europe represents 34 per cent of the global information and communication technologies (ICT) market, and its value is growing by four per cent per year. However, the value added produced by the EU's ICT sector amounts to only 23 per cent of the total, because both Europe's market and research efforts are fragmented. As a result, Europe is lagging behind its global competitors in ICT research and in the production of innovative ICT-based products and services, the Commission said.

The strategy proposed calls on member states and industry to pool resources and work together more in ICT research and innovation. The strategy also proposes showcase ICT innovation projects to deliver modern services infrastructures in areas like healthcare and energy efficiency.

ICT represents 12 million jobs in Europe and the ICT sector represents six per cent of EU GDP. The sector is driving innovation and competitiveness in all sectors of the economy. But there is an important gap between what Europe produces and what it consumes in this knowledge-intensive field.

EU investment in strengthening its capacity to research, develop and market innovative ICT is not only smaller than its competitors but also heavily fragmented. Public and private investment in ICT research in Europe is less than half that of the US and the EU attracts five times less venture capital than the US.

The new ICT Research and Innovation Strategy put forward by the Commission proposes to mobilise resources for three interlinked paths of action: increasing investment in ICT research and innovation; creating more poles of excellence; and integrating ICT research and innovation more in EU policy.

In the next decade Europe should double its investments in ICT research and innovation. The Commission will increase the annual funding available under the ICT part of its overall research programme from €1.1 in 2010 to €1.7 billion in 2013. Member states should match this budget increase at national level with diverted and new sources of financing including pre-commercial procurements of research results and cohesion policy funds.

Another proposal is that Europe should be the home for more world-class poles of excellence in ICT. Europe needs to make ICT research careers more attractive to bridge the current skills gap. Member states should share strategies and better coordinate resources to make sure that research and innovation take place on the cutting edge, in first-rate facilities, on technologies like embedded electronic devices and software for safe and clean cars - fields with a significant socio-economic impact driving innovation.

The right conditions should also be in place for market developments and for new public private partnerships for ICT-based solutions that are competition and innovation friendly. ICT research and innovation should be integrated into EU policy areas such as health, energy and transport with more collaboration between users and producers. A set of pan-European projects will showcase innovative ICT solutions, for modernising public services such as ICT for chronic disease management and a pan-European electronic ID infrastructure.

This communication forms part of the preparations for a European plan for innovation and research as called for by the European Council in December 2008.

The proposed strategy builds on several existing initiatives and actions, in particular the i2010 ICT policy framework, the broad-based EU innovation strategy and the initiatives launched in the framework of the European Research Area related to ICT.


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