06.10.2015 İstanbul
B20 Turkey and TOBB President M. Rifat Hisarcıklıoğlu stated that digital economy has brought about a new revolution and those who act first will be the ones to benefit from it.
Organized by B20 Turkey and Accenture, the B20 Turkey Digital Economy
Forum was held in İstanbul with the attendances of B20 Turkey and TOBB
President M. Rifat Hisarcıklıoğlu, Transportation, Maritime Affairs and
Communications Minister Feridun Bilgin, TÜSİAD Chair Cansen Başaran-Symes, TİM Chair
Mehmet Büyükekşi as well as the prominent organizations of the sector.
Speaking at the opening of the Forum, TOBB President Hisarcıklıoğlu
stated that they would lay digital economy on the table, previously discussed
under B20.
Stating that a business life without the internet has become
unthinkable, Hisarcıklıoğlu said, “In the future, it is projected that internet
economy in just the G20 countries will annually increase by an average of 8%.
If internet economy were a state economy it would be the fifth in the world. It
would have a growth rate higher than that of China. If the internet were to be
considered as a separate sector, it would exceed the weight of agriculture and
services sectors in the global GDP. Ten years ago, approximately 1 billion
people were internet users. Today, the number has reached 3 billion. In less
than 5 years, this number will reach 4 billion.”
Drawing attention to the fact that more than half the global population
has no access to the internet Hisarcıklıoğlu said, “This figure equates to 4.2
billion people. Internet access in Africa is only 13%. Developing countries,
which are the focus of G20’s current term, are expected to have less than 10%
access across the board by the end of this year.”
- “The most dangerous precipice
exists for SMEs”
Emphasizing that doing business on the internet requires new skills, the
TOBB President said that the internet, while bringing new opportunities, also
forms new precipices and that the most dangerous precipice exists for SMEs.
Hisarcıklıoğlu stated that growth for SMEs is built on investments aimed
at innovation and this is possible through the effective use of digital
technologies – that the SMEs which are unable to make effective use of these
technologies will be left behind.
Stating that restructuring is underway for not just SMEs but the whole
industry sector, Hisarcıklıoğlu said, “The world is undergoing a new industrial
revolution. Germany is calling in Industry 4.0 while the US prefers the Second
Machine Age, or, as we are using it today: the Third Wave, the Third Industrial
Revolution. Whatever we choose to call it, we are living in a time in which
industry will be reshaped information and communication technologies.
The first Industrial Revolution began with harnessing steam power. The second
Industrial Revolution took place with transitioning to mass production under
the auspices of Henry Ford. The third wave is brought on by the developments in
information and communication technologies.
Replacing human workers in factories with robots, communication between
machines and the widespread use of 3D printing technology as well as planning
production processes with information technologies has changed the rules of
competition. Countries which were late to the transitions of the first and
second Industrial Revolutions must catch up to this new age in order to
prosper. Otherwise, the gap between developing and developed countries will not
only not be diminished, it will grow.”
Stating that digital economy has brought about a new revolution,
Hisarcıklıoğlu said that those who act fast will be the ones to profit from
this process.
Hisarcıklıoğlu stated that no revolution is without pain and that this
new great change should not be expected to occur without any issues.
- Personal data security
Stating that foremost among these problems is the matter of personal
data security, TOBB President Hisarcıklıoğlu said, “Data is just as important
as money in the digital economy. They say, ‘Speak as much as the money you
have.’ ‘Speak as much as the data you have,’ has become a more apt saying. Just
as the economy will not function if we don’t trust the money we use, there can
be no digital economy without security in regards to the use of data. In trying
to secure personal data, rules regarding the protection of personal data should
not limit innovation.
To this end, the business world and governments need to work together. It
is, of course, the responsibility of the government to prepare and enforce
legislation. As the business world, we are prepared to do our part. We are
aware that the development of digital economy in the world will be made
possible through the establishment of an environment of mutual trust in regards
to personal data.”
Addressing Minister Bilgin, Hisarcıklıoğlu stated that they are awaiting
passing of the Bill Regarding the Protection of Personal Data, Hisarcıklıoğlu
stressed that a law which conforms to global standards would also lower costs
for Turkish companies in their international dealings.
- Suggestions regarding digital
economy
Reporting that the efforts of the B20 Task Forces throughout the year in
regards to digital economy have culminated under the efforts of the B20 Task
Forces throughout the year in regards to digital economy have culminated under
6 articles, Hisarcıklıoğlu stated that the report which includes these
suggestions has been compiled with suggestions brought forth by B20 Task Forces
and will form the framework for future work.
Hisarcıklıoğlu stated that they expect even more focus on digital
economy during China’s Term Presidency of the B20 and listed the suggestions
regarding digital economy:
“First, we expect that limitations on the transfer of data will be
avoided in order to facilitate worldwide and make legislation regarding
personal data compliant. We expect that the emergence of new business models
will not be prevented by limitations. The second suggestion is the improvement
of the global trade system for the digital economy. Solutions are necessary for
customs problems faced by SMEs which participate in e-commerce and other
commercial activities. Thirdly, the development of companies’ access to digital
economy is very important for us. To this end, as the B20, we suggest that the
G20 includes broadband network connections for every in their G20 5 Year Growth
Plan.”
Hisarcıklıoğlu stated that their fourth suggestion is ‘ensuring that
human capital is rendered compliant with the developing digital economy,’ and
emphasized the necessity of developing the science, technology, engineering and
mathematical skills of younger generations with regards to digital economy.
Stating that the fifth suggestions is in regards to accessing finance
for the digital economy, Hisarcıklıoğlu said, “In recent years, new financing
resources have surfaced such as the mass funding of SMEs with digital
technologies and person to person credit options. Our expectation of G20
governments is the creation of alternative financing resources and support via
growth, regulation and policy compliance.
Our last suggestion is one which will make everyone’s lives much more
easier, the digitization of government business. It is greatly significant that
processes ranging from the digitization of public tenders to customs
procedures. We have begun to put into practice various examples of these.
Prominent among these is the e-government initiative. We hope that government
procedures become more effectively digitized and the lives of citizens are
facilitated in our country and the world as a whole.”
- Expectations of the business
world in regards to internet legislation
Hisarcıklıoğlu complained that G20’s relations with digital economy have
been very limited so far while G7 is very active in this matter; stressing the
need for G20 to catch up to G7.
Stating that the internet has opened the way for entrepreneurship,
Hisarcıklıoğlu pointed to the importance of public and private sector, civil
society and end users to work together in the governance of the internet.
Hisarcıklıoğlu listed the business world’s expectations with regards to
the rules which would govern the internet: “The rules should not limit the
internet but take on the role of a pathfinder; must be simple and flexible
enough to catch up to technology; formed with input from the private sector;
should not be impositions for the end user but instead a wide framework; should
be consistent between governments.”
- TÜSİAD Chair Symes
TÜSİAD Board Chair Cansen Başaran-Symes also emphasized the need for
digital economy to spread throughout Turkish business life with all due haste.
Stating that scientific and technological innovations have increased in
value Symes stated that skills regarding technology are also gaining value.
Symes drew attention to the importance of well-educated personnel who
have embraced technology for the
integration of technology in business life.