29 June to 6 July 1985
Schloss Leopoldskron, Salzburg, Austria
| Salzburg
Seminar - Session 243
29 June to 6 July 1985
|
|
Members of Group A
Members of Group B
There is a growing tendency towards de-regulation, both in Europe and
the United States. With the increasing importance of telecommunications,
the question of who decides on policies and who makes decisions are major
issues. This also applies to the subject of standardisation policy and
regulation which are a dominant factor in the growth of telecommunication
networks and services.
Satellite communications have evolved from point-to-point to point-to-multipoint and multipoint to multipoint. With terrestrial networks the trends is towards greater capacity. The use of fibre optical cable is increasing, as is the use of micro-wave technology.
Integration is the second most important issue. Many examples of integration are currently available, ranging from satellites, micro-waves and cables in a telephone network to the paging service riding piggy-back on the Swedish radio broadcasting network. In Europe, the ultimate goal is the Integrated Services Digital Network (ISDN). Many consider this not so much a plan for a real network than a model of thinking about the future.
Of the recent technological innovations, satellite communication is one of the most interesting. From the beginning, satellite communication was used for long haul, international transport of voice, image and data. Only in the USA can there today be spoken of a s domestic use of satellites of any real significance. Only there, are the future possibilities of satellite clusters of platforms being discussed.
Satellite communications are likely to have a vast and expanding future. For instance, for telephone communications and distress relief systems. Although satellite communication is (still) a new and high-tech development, competition from other new technologies is coming, for instance in the form of fibre optical undersea cables with very large capacity. The use of direct broadcasting satellites (DBS) is making slower progress than was originally expected, because of the technical problems involved with high power transponders. In Europe, the combination of small or medium power satellites and fibre optical cables is claimed to be more competitive. DBS may have a future in developing countries without an existing terrestrial infrastructure, or in areas with a very low density of population.
The telephone network has served for more than twenty years as a "pioneer" for data transmission. The current data networks are either circuit or packet switched. These can be considered s two different market opportunities, one for the short burst, high accuracy sessions and the other for the "question and answer" sessions. Both types of sessions have specific advantages and disadvantages.
Telephone services are expected to undergo little change in the years to come. Digitisation will provide greater flexibility in the systems and some fringe benefits for the user. Cellular radio will become increasingly competitive.
Voice mail is a future service which may become very competitive in conjunction with voice recognition.
The present developments with text services are interesting. There is
a wide choice of telex, teletex, radio telex, videotex, facsimile and other
communication possibilities. The expectation is that not every facility
available today will survive. For instance, the teletex service seems to
have very little chance of success because the offering of this service
took so long to develop that it is likely to be overtaken by the new electronic
mail service. The personal computer is probably the terminal of the future,
combined with other terminal facilities.
There is a growing interest in local area networks. In the USA, network planning and building is a matter of entrepreneurial activity.
International regulation and organisation happens in many organisations: CCITT, CEPT, EEC, etc.
In many countries, moves towards deregulation and liberalisation can be seen. In the USA, the change can be described as the wish to improve competition by diminishing regulation, while in Europe there is a tendency to improve proper allocation through the introduction of competition.
PTTs are increasingly removed from direct governmental control. For instance, by transformation into separate corporate entities. In the UK, the government sold shares in British Telecom. Another trend in Europe is to separate off the policy-making (including tariff-setting, testing and approval) from the exploitation of networks and services. More competition is allowed on terminals, PABXs, modems and services.
One of the regulation issues of greatest interest is the subject of standardisation. Standards can be promulgated by a central authority or can arise de facto from the marketing effectiveness of a manufacturer or supplier. The emphasis in Europe on formal standardisation is much greater than in the USA. More important that who sets the standards is the question of the need for a standard or protocol. In telecommunications, there is a long history of standardisation, but in the field of computing there is hardly any.
Setting the standard affects at least:
As the different parties concerned (equipment suppliers, network operators, service providers, users, etc.) have different goals, it is desirable to let them participate in standardisation discussions. Operators, for instance, appear to require very detailed standards, as do stand licensing bodies which have in the past guaranteed the quality of service. On the other hand, simple standards can be easier to comprehend, cheaper to comply with and can considerably reduce testing costs.
Standards should not be used as a way to exclude competitors. This practice is often linked to delays in approving apparatus for policy reasons, for instance for the protection of home markets.
Enforcement of standards can often be a problem, since if apparatus performs satisfactorily, there may be no way of knowing that it is not complying with the standard.
Using the current method of negotiation, the agreement on a standard takes a long time. It contrasts with the speed of change of technology for users which is much greater.
Although there are substantial objections to the present practice of
setting standards, there is also an evident need for international standardisation.
Optical communications are competitive with satellite communications in some services (e.g., for high speed data), while satellites will still be more appropriate for point to multi-point services.
Movement from analogue to digital, because of potentially:
Integration of telecommunications and informatics
Merging of hardware and software.
Direct broadcasting satellite particularly applicable in areas where no infrastructure yet exists. More scepticism in the USA than in Europe.
Technological advancement and greater intelligence in the space segment
will allow the co-location of satellites in one orbital slot taking the
form of space stations, creating entirely new possibilities and new problems.
Satellite mobile radio may be used to augment cellular systems by interconnecting urban networks or may be more appropriate than cellular in more remote areas.
The marketability of electronic mail, voice mail and voice recognition
will depend on the timing of developments.
Fragmentation of standards exists both globally and within Europe often in forms of various testing standards in each country.
Responsibility for the setting of standards, should it lie with governments and/or market forces?
Timing of standards is important, if the pace is too slow, then de facto standards may prevail despite regulatory efforts.
The level of flexibility of standards. On the one hand, efforts to set general standards results in various interpretations of those standards, while a great degree of detail does not allow for the evolution of a product or for a more competitive market structure.
The importance of keeping the interests of the users and suppliers in mind.
All these problems are reflected in attempts to standardise the ISDN. The basic debate concerns where to put the intelligence, particularly in a competitive market, and which services should be regulated. There are different perceptions of the ISDN in the USA and in Europe. In the USA it is more of a concept, whereas in Europe it is a more tangible model not conducive to the characteristics of the US market.
There is a need to pursue institutional restructuring as telecommunications
and informatics merge. There is a need for greater co-operation between
the CCITT and the ISO.
The term de-regulation is misleading, it has different meanings in different countries. Some countries see it as more of a question if separating operations and regulations, removing the PTT from the government. Others see it as being related to competitiveness.
Competition can apply to the system operation or the the terminal equipment market or both.
Technology advances at a more rapid pace than regulation, the objective
is for those countries with technological supremacy to respond to the changes
with responsibility.
Contributions are anonymous. The rapporteur accepts full responsibility for any inaccuracies and errors.
Following the practice in the Seminar the terms telematics and informatics have been used. Neither of these words has an accepted use in English, being literal translations of the French terms télématique and informatique.
The Groups gratefully acknowledges contributions from Bill Burgess.
| Domestic | International | Institutional | |
| Telecommunications
equipment |
Characteristics of high technology
Changes in structure of producers Competitivity |
Protection
Standards Government procurement |
ITU
CEPT GATT EC |
| Telecommunications
services |
Public service
Natural monopoly Competition Innovation Basic services Enhanced services |
Obstacles to trans-border data
flows
Bilateralism Satellites |
OECD
ICC GATT INTELSAT INTUG |
| User
services |
Information society
Old services New services Sources of growth |
Links to trade in goods
New trade Intra-company data flows |
OECD
UNCTAD GATT INTUG ICC |
| Colours refer to sections | 1 | 2 | 3 | 4 | 5 |
In the past, discussion on the main issues in telecommunications have
been dominated by the views of the producers of telematic equipment. Policy
discussions have therefore tended to focus on questions of supply and in
particular on access to markets. The effect of technological developments
has been to create an increased need to focus attention on the problems
of users.
Profile of a multi-national user: Bank of America
Banking can be equated with the movement of money. The most efficient way to achieve this is by telecommunications. Consequently the banking sector spends considerable amounts f money and manpower in establishing and maintaining telecommunication networks which must be efficient and highly reliable.
The Bank of America spends US$ 1.2 billions per annum on telematics, of which $200 millions is on telecommunications. Of its nine thousand staff in telematics some four hundred work in telecommunications.
The reliability of a banking network is essential. A temporary failure of a network loses revenue, endangers relationships with customers and could leave a bank in an exposed position in a fluctuating foreign currency market.
The availability of a sophisticated high-speed network allows the concentration
of facilities at one site (with a second back-up site). Despite the generally
accepted view of computer manufacturers which favours distributed processing,
the Bank of America finds centralisation to be more cost effective.
Information supply: possibilities and problems
The Bank's network runs, on average, at less than twenty percent of its capacity. This puts it in a prime position to become a telecommunications supplier. Two new areas of activity are open to it.
Negotiations about trade in services
In order to permit companies to be as efficient as possible, an international agreement covering trade in services is necessary. In the short term negotiations need to begin in the GATT. Banking services have been excluded from the next round of GATT talks.
The social role presently undertaken by the PTTs may be jeopardised by the introduction of competition from large users with their own networks. However, for the sake of transparency it is better to solve this problem by taxing users than by cross-subsidisation within a PTT.
The negotiating position of the USA is to seek:
Introduction
It was acknowledged that the economics and trade patterns of telecommunications equipment were very different from those of services.
The main questions considered were:
Technology and policy
Technological change, especially digitalisation (i.e., the increasing use of digital transmission), has changed the framework of public policies and corporate strategies:
National and regional policy issues
The latitude available to policy-makers varies widely between countries, according to, at least two factors:
The European Commission's proposed telecommunications policy recognises two basic facts. Firstly, the relative strength of European equipment suppliers. Secondly, a large but fragmented internal market. Action is possible in three directions:
In the deregulated US market, the main concern is with the trade deficit in telecommunications equipment. The Danforth Proposal, is aimed at creating an obligation on the President of the USA to 'retaliate' in the face of a closed foreign market. However it might be amended, it is bound to have legislative repercussions. The proposed bill is typical of a situation where the interests of the suppliers, but not users have been taken into account.
The opposite pattern is found in Switzerland where the voice of the users (primarily banks) has a better chance of being hears than the voice of the suppliers.
For Third World countries it is necessary to avoid stating the debate in too simplistic terms (e.g., "Should Third World countries get basic or the most advanced technology?"). Rather it appear that:
The new international regime: fragmentation and conflict
The inevitably international effect, wanted or not, of national and regional policies is to create an international regime characterised by fragmentation and conflict. Suppliers want access to markets. Buyers want access to products. Both are threatened or are already hindered by restrictions on imports and exports (non-tariff barriers, US Export Administration Act, etc.).
The current hectic state of international interdependence is perhaps best exemplified by the case of standards. The extreme complexity of this 'grey area' stems partly from the inevitably technical disorder resulting from the amalgamation of telecommunications anc computing. For example, opposition between the traditionally 'open' character of telecommunications networks and the 'closed' nature of computer services. In part, it stems from conflicts of interest between parties trying to change or to maintain de facto positions (e.g., OSI versus SNA).
I ti s nearly impossible to find satisfactory trade-offs at national
level. Of course, it is an even greater problem at the international level.
Introduction
Two organizational structures predominate in the telecommunications sector:
United Kingdom
The British telecommunications systems was nationalised i 1912 and incorporated in the Post Office. As a consequence it lost its functional integrity which led to attempts to reorganise it. Unlike France, where engineers were predominant, the British system was dominated by non-specialist civil servants. In the late 1960s the process of liberalisation set in and eventually led to the separation of British Telecom (BT) from the Post Office in 1981.
Three processes have been at work:
The transition to a more competitive institutional framework in still
going on. The British 'solution' is a hybrid model and has not, as yet,
led to full competition. The two existing networks, BT and Mercury, are
protected from further market entries until 1990. The principle of universal
service still prevails and is enforced by legislation and sanction. From
1981 to 1989 a diverse system of price limits has been imposed on BT. Price
increases must be 2-3% lower than inflation. This is intended to create
pressure for efficiency and to reduce tariffs in real terms.
Hungary
After the economic crisis of the 1970s, Hungary introduced, step by
step, more market elements into the economy. Several areas of conflict
between the central planning authority and the PTT still impede efficiency.
On the one hand the PTT Ministry has been given greater autonomy, e.g.,
to raise funds, while on the other hand the government still prescribes
areas of investment. One quarter of the revenues come from flexible prices,
three-quarters from sales at fixed prices. Investment is guided by five
year plans. The necessary funds are provided by government (about one-sixth),
from revenues of the PTT and its own resources, such as depreciation, (about
two-thirds) and from users in the form of investments (about one-sixth).
United States of America
The traditional approach of US regulation saw the telecommunications system as a natural monopoly. Private enterprise operated the system subject to regulation in several areas (e.g., prices and quality of service). The logic behind de-regulation, which has gathered momentum since the late 1950s, is to identify area in which competition is feasible (structural regulation/de-regulation). In other words to search for areas, where the monopoly was no longer 'natural', because of technical and/or economic developments. This is seen to be true in the telephone equipment and enhanced services sectors.
The process of de-regulation is primarily intended to benefit business users. Perceived benefits of this overall reliance on competition are:
France
A mixture of monopoly and liberalism characterises the French position.
The French case provides counter-evidence to the usual argument that monopoly
stifles innovation. Some major innovations such as the introduction
of digital switching or the development of TRANSPAC have been pushed by
the PTTs engineers. One of the factors favouring innovations may be that
the French PTT is dominated by engineers who have strongly supported advanced
projects and the high priority of public investment in telecommunications.
In the French system decision-making power is highly concentrated, therefore
the degree of innovativeness at the top is crucial to the whole system.
Federal Republic of Germany
The Deutsche Bundespost is characterised by a mixed system on monopoly
and competition. It does not manufacture equipment and provides only part
of the equipment to customers, viz basic equipment and modems. The PABX
market is competitive.
Driving forces for de-regulation
The de-regulation , or rather re-regulation, process has been set in motion by an interaction of technological and political developments.
New technologies such as domestic satellites, microwave transmission, sophisticated end-user equipment, electronic switching and a growth in demand have led to a possible decrease in economies of scale and changed the character and boundaries of natural monopoly. In most cases local service is considered to be a natural monopoly while long distance service are not. In the USA, it is argues that growth in demand allows for efficient replication of the basic network, in most European countries the network is still regarded as a natural monopoly.
In political terms the move from regulation to a regime of greater or lesser de-regulation shifts the process of change in the telecommunications industry from the arena of negotiation to that of market forces. The accession to power of the Thatcher and Reagan Administrations, with their implicit belief in the benefits of market forces and their view that free competition is a political target in itself, is only only aspect of the shifts between the private and public economies.
It seems probably that a move to de-regulation would have prevailed even without political change, though the resulting institutional frameworks would have been different.
In the interplay between technological and political forces the business sector has gained a better position than private consumers. The producers of terminal equipment are more aware of the needs of business users because of the sophisticated nature of the equipment and services they can provide to meet specific needs and applications. The de-regulation process is mainly directed towards the benefits of business users.
An overall view of the process of de-regulation has to take into account
the dialectical relationship between technology and politics.
Future developments and possible problems
Changes in the telecommunications sector have led to considerable uncertainty about future developments: the current state is far from stable. Although the American model has had a significant effect on European developments, it cannot be used as a blueprint for the following reasons:
The social perspective
The current technological optimism counters the pessimism of the recent past. However, the important of the challenge to the world by the USA, especially in the Strategic Defense Initiative ("Star wars"), is a significant factor.
The following pessimistic prognostications were made:
The technological perspective
The technological developments were largely expected to be in line with those considered by Johan Martin-Lof. The declining cost of hardware would transfer the burden of costs to communications and manpower. Local architectures were seen as being increasingly distributed. Driven by high manpower costs, software was seen to be shifting towards end-user support systems, although this would require the establishment of new international standards.
Computer literacy would invariably rise and telematics would increase its penetration of the education system.
For homes and very small businesses a challenge in the provisions of services would arise between narrow-band telecommunications and interactive broadband cable television. In the long term, there would need to be an integration of these services.
For larger businesses, local area networks of high capacity would increasingly carry communications between people and machines, between people, and between machines. Gateways to very high speed wide area would improve. Wide are networks would increasingly use fibre optic cable but a fully digital service would take at least twenty years.
The information services sector was seen as an area of increasing competition
between existing and new suppliers. Available services would tend to become
more comprehensive and of wider application. Political processes and market
forces would influence the ownership of the new services. The resulting
services would be international in scope.
Introduction
The equipment producers, carriers (private and public) and users were identified as the actors at the national level (see figures 2 and 3).
Figure 2 National telecommunications market
Figure 3 National telecommunications supply
The factors militating against efforts to formulate national policies are
International institutional response
The absence of a single forum for the resolution of telematic issues
was not seen as disadvantageous, for the present. A variety of organisations
already consider many issues.
| Technical | ITU, ISO, CEPT, INTUG |
| Development | IBI, UNESCO, UNDP, World Bank |
| Satellites | Intelsat, Intersputnik |
| Privacy, politics and economics | OECD |
| Technology, politics and economics | ICC |
| Transnational corporations | UNCTC |
Two trends are evident in international organisations. The first is normative, e.g., in the OECD on TDFs. The second is operational, e.g., the IBI's work in making Third World countries aware of telematics. It acts to lay down the foundations of future developments, to sensitise the negotiating parties, to help clarify concepts and explore issues for international agreement.
In the long term it will be necessary:
Two solution are possible, either a new body or an ad hoc conference
probably under the auspices of the UN.
National institutional response
There is a lack of interest and willingness at the political and user levels. Beyond an identification of two simple ideas there is limited interest in telematics:
The problems of mobilising business, trades unions, political parties
and bureaucracies at a national level constitutes a major challenge for
the success of future international agreements.
Users
From the beginning of the discussions it was clear that the views of
manufacturers, software houses and the providers of telecommunications
services were known. Business and domestic user viewpoints were much less
well developed or articulated. This was identified as a critical omission
in national and international discussions. USers needs to be made more
aware of the potential of the technology, of its importance to them and
of the role their voices could and must play in policy formulation. It
is possible that the the absence of effective feedback from users contributes
to the continuing exponential growth of the technology.
Technology
The underlying force in all the changes seen in recent years has been the technology. While other factors (e.g., personalities and politics) have been evident, they have been much less important than the technologies advances.
The sophistication and speed of development of technology has militated against small countries and companies. Consequently, larger groups of both countries and companies are necessary.
A broader view of the role of telematics in the economy is necessary.
The provision of existing services has been much improved by the technology
and completely new services have been introduced. Consequently traditional
barriers have been eroded requiring a Liberalisation Of Trade In Services
(LOTIS).
Re-regulation
The break-up of AT&T, the so-called de-regulation of the telecommunication
market in the USA, and a similar picture in the UK have radically altered
a previously very stable state. What is important is the provision of services
rather than the regulatory mechanism used to achieve them.
Dependence
The increasing scale of the operators in the telematics sector makes
assurance of access vital. Users need to be able to buy equipment and services
without barriers (tariff, non-tariff, 'national security', etc.). Suppliers
need access to large markets to ensure their continuing viability.
National and international policies
International policies of nations in the multi-lateral organisations which deal with telematic issues must reflect careful internal debate. It is highly unlikely that a simple extrapolation of national policies will be desirable or acceptable to other countries. In the medium and long terms continuing erosion of sovereignty in this area is inevitable.
Where and when such a major new international agreement could be reached is uncertain. However, it is clear that such an agreement is necessary and that work towards it must continue and grow at national and international levels.
Further, considerable discussion and research of the topics is needed both formally and informally.
If telematics is as important as it appeared to be to the Group, then
it must be articulated in an interesting way for the national and international
participants.
Members of Group D
General theme
The general theme of the Group was consideration of the social, legal,
cultural and political effects of Transborder Data Flows (TDFs) on individual
countries, the global community and institutions. A subsidiary and related
theme was the institutional arrangements that would be necessary to address
the many issues presented by informatics and TDFs in particular.
Particular topics
The following issues were addressed:
Privacy protection
The way in which informatics and TDFs had been seen as causing dangers to the privacy of individuals were described. The great growth in the capacity to collect personal data, the ever diminishing cost, the speed of retrieval, the permanency of availability and the absence of established legal protection all demanded responses by national dna sub-national regimes to the social problems then perceived to be created. This demand was voices against the background of the moves following the Second World War to express human rights in international instruments.
Reference was made to the provisions on the right to information (and the countervailing right to privacy) in the provisions of the Universal Declaration of Human Rights, the International Covenant on Civil and Political Rights and the series of international instruments addressed to the specific issue of data protection (privacy). These were the Nordic Council Resolution, the Resolutions of the Council of Europe and the Council of Europe Convention. The last of which, having just received the fifth signatory, will come into force in October 1985. In 1985, the OECD agreed on Guidelines on Privacy which had been accepted by all the OECD countries except Ireland. These guidelines were proving influential in the design of local laws on privacy or data protection in a number of countries.
The international and instantaneous nature of TDFs make international solutions to privacy protection necessary. A novel problem was presented. By keeping data in databases outside a jurisdiction, the effective control of the country over such data would be lost or severely diminished. Hence, the demand for international action for two reasons:
The groups considered the OECD Guidelines. The basic principles can be summarised as related to the throughout of data in an information system:
Freedom of information
The groups considered the implictions of TDFs on freedom of information laws. The link between such laws and central provision of privacy-data protection laws was observed, namely access to data. The group was informed of a case mentioned by mentioned by Professor Bing of a Norwegian social scientist who accessed a terminal in Washington DC, under the Unites States Freedom of Information Act to secure NATO deployments in Norway. However, this was a state secret in Norway. The ineffectiveness of municipal secrecy laws once freedom of information permits access in some jurisdictions was seen as yet another example of the breakdown of municipal sovereignty by the force of TDF. In many ways this would be a good thing.
Information technology generally challenges secrecy and the habits of closed bureaucracies. The photocopied was already a powerful weapon for greater openness. However, TDFs would also contribute the haemorrhaging of information considered secret or confidential by some holders of it.
Some countries, such as the United Kingdom, were resisting the enhancement of legal rights of access by citizens to government information in rights of citizenship to make democracy work better. Other countries, such as Australia, Canada and New Zealand, had, on the other hand, recently enacted freedom of information laws. In Europe, the Committee of Ministers of the Council of Europe is reviewing Article 10 of the European Human Rights Convention to see if it cannot be enhanced to increase freedom of information rights in those countries which do not have them in the national law.
In the USA, Australia and other countries, there has lately been a backlash against freedom fo information. This is based partly on considerations of cost and partly because of feeling that freedom of information is being used more by media and business to obtain information that will help it to outmanoeuvre government to obtain a commercial advantage; rather than by citizens enforcing democratic rights. This concern will need to be addressed, as will the impact of information technology on freedom of information. On the other hand, Scandinavian countries have so far expressed satisfaction with freedom of information.
The possible use of information technology to enhance opinion sampling
was discussed by the group.
Computer crime
The group recognised the need to adapt current laws, practices, institutions and law enforcement to cope with anti-social manipulation of information technology. There was a need to redefine theft, which in common law countries traditionally implied carrying away goods. In information crimes, no goods may be taken away; simply information which had a value divorced from physical objects. Changes would be needed in police recruitment, rules of admissible evidence in criminal trials and the training of lawyers and national laws would be needed to cope with transborder crime.
For example, a terminal may be accessed in country A and the message may be switched through countries B, C and D and transmitted to do damage in countries X, Y and Z. Whose law would apply? Whose police would receive the info-criminal?
mention was also made of the difficulties of detection. The value of
code words and encoding was stressed. However, these may be of limited
use against an "inside job" by a trusted member of the computer staff with
full access to the data. Offences may also include the insertion of false
data into a system.
Vulnerability of wired society
Considerable time in the group was spent discussing aspects of the vulnerability of the informatic society. The results of a Swedish study were outlines (published as Vulnerability of the Wired Society). This report suggested the need for administrative and even legal measures to protect society as a whole and groups within society from unacceptable damage through the destruction of data of vital importance held on a few tapes liable to loss or destruction by:
The group discussed the possibility of back-up copies, something the
Swedish report had recommend for truly vital national data. however, it
was suggested that some risk-taking was inevitable, involving a weighing
of the risk and acceptability of loss or damage. A cost-benefit equation
had to be done in each case. However, it was important that the risks be
considered.
Sovereignty and cultural integrity
The overwhelming influence of Anglophone systems in mass media and other information flows was seen as a threat to more vulnerable languages and cultures in some countries. Reference was made to the saturation of television by cheap re-runs of North American soap operas. The fear had been expressed by one French minister that the future history of France maybe written from English language translations of Le Monde kept in a Chicago database.
The pioneering work of multi-cultural television in Australia was described. Cheap programmes from all countries were reproduced in their original languages with sub-titles. This was suggested as a model for developing cultural diversity.
The Group expressed concern about this issue and about personal alienation caused by the new technology. Television, computer games and the new modes of working in front of terminals, rather than with fellow human beings, had reduced the humanity of many people. It threatened the humanity of the workplace in the future. The value of tele-conferencing was discussed and whether they would be of the same intellectual and personal value as encounters - such as the Salzburg Seminar.
Leonard Marks expressed confidence that the Salzburg Seminar would survive
and not be replaced by tele-conferencing - though these would be a useful
and cost-saving alternative for international negotiations and other highly
costly meetings which presently involve the costs and dislocations of international
travel.
Intellectual property and business law
The group then turned to a study of aspects of business law and way it would need to adapt to the realities of TDFs and informatics. Issues discussed included:
Information security
A number of national data protection (privacy) laws apply rules for
securing the safety of personal data. Most information system owners adopt
security systems of their own, but sometimes the law is necessary to enhance
the protection offered in this area.
Institutional consideration
The group considered the machinery, national and international, for examining the many issues of informatics policy and TDFs. The difficulty of getting legislatures of lay persons to consider these complex and sensitive issues acknowledged. Parliamentary committees face the same problem. The issues are, as participant described, "too hot for legislation". Yet, the courts may be too slow and inexpert. And bureaucrats may not be sufficiently sensitive to the interests involved.
The work of the Australian Law Reform Commission (ALRC) on privacy protection, defamation law reform and other issues related to informatics. The need to help and stimulate the political was stressed to respond to the urgent problems but to do so in an informed way. The techniques of the ALRC were mentioned, in multi-disciplinary expertise, public consultation, expert seminars and the use of the media to enliven the debate and condition politicians and society to address the social effects of the new technology.
International institutions addressing the issues of TDF - the list is long - includes: CCITT, Council of Europe, EEC, GATT, ICC, INTUG, ITU, OECD, UNCTC, UNCTAD, UNESCO, WIPO and others.
The view was expressed that bilateral negotiations have a place, the
very universality of the problems and the scarcity of trained negotiators
(especially in developing countries) made the importance and urgency of
seeking international solutions obvious. Yet the main initiatives had been
taken in OECD and Council of Europe which represented developed countries
of the first world. This left a vacuum which needed to be filled - whether
by UNESCO or IBI or some other body so that the multi-faceted issues of
informatics could be addressed on a global basis - with something like
the sense of urgency which is evident in the technological advances themselves.
Conclusions; optimism or pessimism?
The group demonstrated varying degrees of optimism and pessimism in respect of the issues and institutional problems brought to light. Some called to attention the warning of Jacques Ellul - "the face that it is a dictatorship". Others were anxious about the dislocations being caused to settled societies by the sudden impact of the new technology. Others were more optimistic. They saw the new technology as inevitable - thereby requiring us to find solutions to the problems identified. The optimists emphasised that the new technology has a global dimension; it tend to spread the flow of information, it may yet prove a great stimulus to the world economy, and it will tend to beat down barriers of secrecy by the liberating effects of flows of data and the knowledge and power that go with them.
Whether the conclusion which our societies will draw will be optimistic
or pessimistic will, it was felt, depend in part upon the contributions
to be made at home by the participants in the Salzburg Seminar, using the
knowledge they acquired in a mostly sunny week in one of the most beautiful
places on earth and resolving to keep the flows of personal data crossing
borders between each other in the years to come.
Basic texts
M D Kirby "The morning star of information law and need for a greater sense of urgency" IBI Second World Congress of TDF, Rome, 1984
OECD "Guidelines on transborder data barriers and the protections of privacy" OECD, Paris, 1980.
Complete list of people at the Seminar with links to where they are now:
