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Information Society Industry

A Growth Industry, Driving Industrial Growth

Just as the Information Society is being created by the convergence between IT, communications and content, the Information Society industry is forming as these three previously separate industrial sectors converge.

Technology at the turnstiles
Technology at the turnstiles
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These industries currently generate 8% of Europe’s GDP and employ some 6% of its workforce. They are the most productive sectors of our economy, together contributing over 25% of productivity growth (i2010 Annual Report 2007).

They are also both critical to wider European competitiveness, as today's businesses must use advanced ICTs to survive in today's global economy (see the Economy and Work theme), and bring enormous benefits to all areas of society (see the Quality of Life, Education & Training and Culture and Society themes).

Where is Europe Today?

Convergence is relatively new, so this is a young industrial sector. Europe is not badly placed, with one of the world’s most vibrant communications industries and world-class content producers. Europe’s IT sector, however, has fewer ‘big hitters’ than the US or Asia, while Europe's content sector, divided largely by culture and language into national industries, has fewer companies on the scale of the US conglomerates which have emerged from America’s huge single market.

European leadership in mobile communications stems from an EU-wide push in R&D, standardisation and regulation

On the other hand, one could have said the same thing about Europe's mobile communications sector in the 1980s. Yet today Europe leads the world in this sector, with many of the world's largest equipment suppliers, mobile phone companies and mobile content producers. This success stems from a concerted, coordinated EU-wide push by the Commission, national governments and industry in the interrelated fields of research and development, standardisation and regulation. GSM was born.

Today, the goal is to translate Europe’s strengths into a strong position in the global Information Society industry. It is a far more complex challenge, but the stakes are nothing less than European competitiveness and prosperity in the 21st century.

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Finally, note that the development of Europe's Information Society Industry - and its exploitation by European companies - relies on the development of the right skills throughout the workforce – see the Education & Training > Digital Literacy theme for more.

Last Updated March 2007


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