IDEAS home Printed from https://ideas.repec.org/p/coe/wpbeep/14.html
   My bibliography  Save this paper

Has the European ICT Sector A Chance To Be Competitive

Author

Listed:
  • Godefroy Dang Nguyen

    (ENST Bretagne)

  • C. Genthon

Abstract

In this paper we try to present the main trends of evolution of the ICT sector. Its dynamics, supported by a constant technical progress in ICs, compounded with “non convexities” such as network effects and high sunk costs, may either lead to a Schumpeter Mark I or Schumpeter Mark II competition regime. This means that in some segments, the market will be more competitive (Mark I), while in other it will be more monopolistic (Mark II). But a key trend is also the so called “convergence”. But digitization makes it cost effective to integrate different communications, information processing and entertainment systems and devices. Hence, Schumpeter Mark II grows at the core where software production dominates, while Schumpeter Mark I is established at the periphery. In this context, the European ICT industry is potentially smashed between two forces: the cost advantages of Asian countries on one hand, the inventiveness and dynamism of the US industry on the other hand. The way out of this very difficult situation is to create in Europe the conditions of restoring knowledge accumulation in a key sub-sector of ICT, that is software production. To do this, Europe can rely on its tradition of cooperation and knowledge sharing and on a set of institutions that have shown their ability to stimulate inter-regional cooperation. By concentrating on an ambitious project of open source software production in embarked systems and domestic networks, Europe could reach several objectives: to make freely accessible an essential facility, to stimulate competition, to help reaching the Lisbon objectives and to restore the European competitiveness in ICT.

Suggested Citation

  • Godefroy Dang Nguyen & C. Genthon, 2006. "Has the European ICT Sector A Chance To Be Competitive," Bruges European Economic Policy Briefings 14, European Economic Studies Department, College of Europe.
    • Handle: RePEc:coe:wpbeep:14
    as

    Download full text from publisher

    File URL: https://www.coleurope.eu/system/files_force/research-paper/beep14.pdf?download=1
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Godefroy Dang Nguyen & Maya Jollès, 2005. "Does the European Union Create the Foundations of an Information Society for All?," Bruges European Economic Policy Briefings 11, European Economic Studies Department, College of Europe.
    2. Linda Low, 2000. "Economics of Information Technology and the Media," World Scientific Books, World Scientific Publishing Co. Pte. Ltd., number 4075, February.
    3. Masahiro Katsuno, 2005. "Status and Overview of Official ICT Indicators for China," OECD Science, Technology and Industry Working Papers 2005/4, OECD Publishing.
    4. Fiorella Kostoris Padoa Schioppa, 2003. "Mutual Recognition, Unemployment and the Welfare State," Bruges European Economic Policy Briefings 3, European Economic Studies Department, College of Europe.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Christian Genthon & Godefroy Dang Nguyen, 2005. "Has the European ICT sector a chance to be competitive ?," Post-Print halshs-00096180, HAL.
    2. Jacques Pelkmans, 2010. "Product Market Reforms in EU countries. Are the methodology and evidence sufficiently robust?," Bruges European Economic Research Papers 17, European Economic Studies Department, College of Europe.
    3. Jacques Pelkmans, 2006. "Testing for Subsidiarity," Bruges European Economic Policy Briefings 13, European Economic Studies Department, College of Europe.
    4. Marcel Gérard & Mélanie Voin, 2013. "A Contribution to The Study of Global Competition for Talent: the determinants of student mobility and its consequences for the inter- nationalization of the labor market," Bruges European Economic Policy Briefings 27, European Economic Studies Department, College of Europe.
    5. Head, Keith & Mayer, Thierry, 2006. "Regional wage and employment responses to market potential in the EU," Regional Science and Urban Economics, Elsevier, vol. 36(5), pages 573-594, September.
    6. Alfred Steinherr & Ali Tukel & Murat Ucer, 2004. "The Turkish Banking Sector, Challenges and Outlook in Transition to EU Membership," Bruges European Economic Policy Briefings 9, European Economic Studies Department, College of Europe.
    7. Godefroy Dang Nguyen & Maya Jollès, 2005. "Does the European Union Create the Foundations of an Information Society for All?," Bruges European Economic Policy Briefings 11, European Economic Studies Department, College of Europe.
    8. Joanna Dreger & Aimé Heene, 2013. "European Integration and Europeanisation: Benefits and Disadvantages for Business," Bruges European Economic Policy Briefings 29, European Economic Studies Department, College of Europe.
    9. Raimund Bleischwitz & Katrin Fuhrmann & Elias Huchler, 2007. "The Sustainability Impact of the EU Emissions Trading System on the European Industry," Bruges European Economic Policy Briefings 17, European Economic Studies Department, College of Europe.
    10. Eliud Dismas Moyi, 2019. "The effect of mobile technology on self-employment in Kenya," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 9(1), pages 1-13, December.
    11. Huang, Can & Qu, Zhe & Zhang, Mingqian & Zhao, Yanyun, 2007. "R&D offshoring and technology learning in emerging economies: Firm-level evidence from the ICT industry," MERIT Working Papers 2007-023, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    12. Stanislav Ivanov & Craig Webster, 2020. "Robots in tourism: A research agenda for tourism economics," Tourism Economics, , vol. 26(7), pages 1065-1085, November.
    13. Jacques Pelkmans, 2012. "The Economics of Single Market Regulation," Bruges European Economic Policy Briefings 25, European Economic Studies Department, College of Europe.
    14. Ulijn, J.M. & Vogel, D. & Bemelmans, T.M.B., 2002. "ICT Study implications for human interaction and culture: Intro to a special issue," Working Papers 02.09, Eindhoven Center for Innovation Studies.
    15. Jacques Pelkmans & Andrea Renda, 2010. "Single eComms Market? No Such Thing..," Bruges European Economic Policy Briefings 22, European Economic Studies Department, College of Europe.
    16. Bajer, Malwina, 2012. "Technologie Informacyjno-Komunikacyjne Jako Narzędzie Ograniczania Dysparytetów Społeczno-Ekonomicznych Wsi W Unii Europejskiej," Village and Agriculture (Wieś i Rolnictwo), Polish Academy of Sciences (IRWiR PAN), Institute of Rural and Agricultural Development, vol. 1(154).
    17. Andrés Rodríguez-Pose & Riccardo Crescenzi, 2006. "R&D, Spillovers, Innovation Systems and the Genesis of Regional Growth in Europe," Bruges European Economic Research Papers 5, European Economic Studies Department, College of Europe.
    18. Jacques Pelkmans, 2006. "European Industrial Policy," Bruges European Economic Policy Briefings 15, European Economic Studies Department, College of Europe.
    19. Joanna Dreger, 2012. "Why Is Sovereign Debt Restructuring a Challenge? The Case of Greece," Bruges European Economic Policy Briefings 24, European Economic Studies Department, College of Europe.
    20. Jacques Pelkmans, 2008. "Economic Approaches of the Internal Market," Bruges European Economic Research Papers 13, European Economic Studies Department, College of Europe.

    More about this item

    Keywords

    information and communications technologies; industrial policy; competition regimes; knowledge based society; open source.;
    All these keywords.

    JEL classification:

    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
    • L63 - Industrial Organization - - Industry Studies: Manufacturing - - - Microelectronics; Computers; Communications Equipment
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:coe:wpbeep:14. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Jessie Moerman (email available below). General contact details of provider: https://edirc.repec.org/data/eescebe.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.