INMA_A01.QXD

 setting up international bodies to coordinate the Internet such as ICANN (the

Internet Corporation for Assigned Names and Numbers, http://www.icann.com) which has

introduced new domains such as .biz and .info.

Some examples of the role of government organisations in promoting and regulating

e-commerce is given by these examples from the European Commission:


 In 1998 new data protection guidelines were enacted, as is described in the section on

privacy, to help protect consumers and increase the adoption of e-commerce by

reducing security fears.


 In May 2000 the eEurope Action Plan was launched with objectives of ‘a cheaper,

faster, more secure Internet; investing in people’s skills and access; and stimulating

the use of the Internet’. The Commission intends to increase Internet access relative

to the USA, in order to make Europe more competitive.


 Also in May 2000 the Commission announced that it wants the supply of local loops, the

copper cables that link homes to telephone exchanges, to be unbundled so that newer

companies can compete with traditional telecommunications suppliers. The objective

here is the provision of widespread broadband services as a major aim of the EU.


 In June 2000 an e-commerce directive was adopted by the European Union. Pullen

and Robinson (2001) note that the most fundamental provision of the Act is in

Article 3 which defines the principles of country of origin and mutual recognition.

This means that any company trading in an EU member state is subject in that coun-

try to the laws of that country and not those of the other member states. This

prevents the need for companies to adhere to specific advertising or data protection

laws in the countries in which they operate.

The type of initiative launched by governments is highlighted by the launch in the UK

in September 1999 of a new ‘UK online’ campaign, a raft of initiatives and investment

aimed at moving people, business and government itself online (e-government). E-envoy

posts and an e-minister have also been appointed. The prime minister said in 1999:

There is a revolution going on in our economy. A fundamental change, not a dot.com fad,

but a real transformation towards a knowledge economy. So, today, I am announcing a

new campaign. Its goal is to get the UK on-line. To meet the three stretching targets we

have set: for Britain to be the best place in the world for e-commerce, with universal

access to the Internet and all Government services on the net. In short, the UK on-line

campaign aims to get business, people and government on-line.

Specific targets have been set for the proportion of people and businesses that have

access, including public access points for those who cannot currently afford the technol-

ogy. Managers who are aware of these initiatives can tap into sources of funding for

development or free training to support their online initiatives.

Internet governance

Internet governancedescribes the control put in place to manage the growth of the

Internet and its usage. Governance is traditionally undertaken by government, but the

global nature of the Internet makes it less practical for a government to control cyber-

space. Dyson (1998) says:

Now, with the advent of the Net, we are privatising government in a new way – not only in

the traditional sense of selling things off to the private sector, but by allowing organisa-

tions independent of traditional governments to take on certain ‘government’ regulatory

POLITICAL FACTORS

E-government
The use of Internet
technologies to provide
government services to
citizens.

Internet governance
Control of the operation
and use of the Internet.