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Europe Daily Bulletin No. 11344
EUROPEAN COUNCIL / (ae) digital

EU needs to redouble its digital economy efforts

Brussels, 26/06/2015 (Agence Europe) - As expected, European heads of state at the European Summit on Friday 26 June backed the digital market strategy proposed and unveiled by the European Commission on 6 May (see EUROPE 11309). While awaiting legislation in the course of 2016, they have backed the objectives proposed by the Commission.

The debate was brief as the Greek crisis and migration dominated everyone's concerns. The president of the European Council, Donald Tusk, said: “The digital economy is today's engine for growth and job creation. Yet the European Union - the world's largest economy - does not have a single market in digital services. Today, leaders discussed the Commission's work-plan and were absolutely clear that action must be taken to build a genuine digital single market in Europe.” We need to redouble our efforts, he warned.

In its recommendations, the European Summit stresses: “Digital technologies bring immense opportunities for innovation, growth and jobs. In order to benefit fully from this technological revolution, we need to tackle market fragmentation, build supporting infrastructure, help the digitisation of industry, create conditions to facilitate growth in all sectors and protect our citizens.”

Although trialogue talks on roaming have not yet reached a conclusion, and neither have talks on the EU data protection directive that is expected to be agreed upon this year, the Summit added: “While emphasising the importance of all dimensions of the Commission's strategy and pursuing an ambitious reform of the telecommunications framework, including more effective spectrum coordination while respecting national competences, the European Council agreed that the Telecommunications Single Market Regulation and the Directive on Network and Information Security must be rapidly adopted; the Data Protection package must be adopted by the end of this year.” On roaming charges, the stumbling block preventing introduction of the telecoms package, the Latvian prime minister, Laimdota Straujuma, hoped the European Parliament would take account of the member states so that agreement can be reached on Monday. On the digital single market strategy, the Summit said: “Action must be taken on key components of the Commission communication, notably to: 1) remove the remaining barriers to the free circulation of goods and services sold on-line and tackle unjustified discrimination on the grounds of geographic location; 2) guarantee the portability and facilitate cross-border access to online material protected by copyright, while ensuring a high level of protection of intellectual property rights and taking into account cultural diversity, and help creative industries to thrive in a digital context; 3) ensure effective investment instruments and improve the innovation climate, targeting in particular SMEs and start-ups; 4) identify and deliver rapidly on the key ICT standardisation priorities; 5) ensure the free flow of data; 6) assess the role of on-line platforms and intermediaries; improve digital skill; 7) encourage e-administration.” The German chancellor, Angela Merkel, called for rapid adoption of the telecoms package and data protection directive, saying that they had heard the European Parliament and Presidency's report on progress in recent months and everyone agreed that agreement must be reached very fast in trialogue on data protection and telecoms.

The British prime minister, David Cameron, said the digital single market was an example where the EU must develop the potential of the single market. He said the digital market was worth €400 billion and the problem of fragmentation had to be tackled, infrastructure invested in and the conditions set up so that this market can develop.

The Irish prime minister, Enda Kenny, said that the European Union was optimistically making progress on the digital path and the strategy unveiled by the Commission “is a good strategy” that should be very strongly backed. Referring to the letter sent the previous day by eight heads of state, including Ireland, calling for the greatest caution with regard to legislation on telecoms, particularly digital platforms (see EUROPE 11342), Kenny said that Ireland would now be examining how it could lead talks in this connection. (Isabelle Lamberty, with Aminata Niang, Lionel Changeur and Camille Cerise Gessant)

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