[Advisors] From Michael Geist's blog
Gareth Shearman
shearman at victoria.tc.ca
Fri, 11 May 2012 11:36:33 -0700
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TagsShareThursday May 10, 2012
=20
Canada's Digital Economy Strategy: The E-commerce Targets Revealed
The government posted its Reports on Plans and Priorities for dozens of =
departments and agencies yesterday. The Industry Canada report makes for =
interesting reading as there is a section on the still missing Digital =
Economy Strategy that includes targets for e-commerce buying and selling =
in Canada. The department states:
Industry Canada will continue to implement measures in support of the =
Digital Economy Strategy to accelerate adoption of digital technologies, =
promote trust and confidence in the online marketplace and foster a =
globally competitive ICT sector based on a modern legislative framework, =
a robust digital infrastructure and a digitally skilled workforce.
Leaving aside the fact that there is no digital economy strategy - or at =
least the government has still not released the long overdue document - =
the report also includes a target to determine whether the Canadian =
online economy is "governed by an effective policy and regulatory =
framework." The government's performance indicator is the percentage of =
Canadians buying and selling online, with the targets set at 43% of =
Canadians buying and 15% selling.
Read More ...
If anyone needed confirmation that the government, now led on this file =
by Industry Minister Christian Paradis, is completely clueless when it =
comes to the digital economy strategy, these targets provide it. First, =
there are multiple factors that comprise success in the Canadian digital =
economy (overall sales, new Canadian Internet companies, venture capital =
investment, global traffic, business use of e-commerce, etc.) such that =
merely relying on purchasing habits are insufficient. =20
Second, the government could not have set a less ambitious target. =
According to the Statistics Canada 2010 Canadian Internet Use survey, =
51% of Canadian Internet users ordered goods or services for personal or =
household use in 2010, while 19% of Internet users sold goods or =
services. The Statscan data admittedly covers Internet users (as =
discussed below comprising 80% of the population), while the government =
is interested in all Canadians, but the two-year old data suggests =
Canadians are already at or above the digital economy targets. This =
week's Industry Committee report on e-commerce cites similar data and =
indicates that 54% of Internet users had placed online orders by 2009. =
Given how long Canadians have waited for a digital economy strategy, it =
is hard to believe the government is setting outdated targets before =
even releasing the strategy document.
In fact, Industry Canada also identifies two additional targets with =
respect to e-commerce that provide further cause for concern. First, it =
sets a target of 65% of Canadian businesses being aware of their =
responsibilities and compliance obligations under Canada's privacy laws. =
Given that private sector privacy legislation took effect in 2001 =
(broadly applicable in 2004), setting a target that acknowledges that =
one-third of all Canadian businesses will not even be aware of their =
legal obligations with respect to privacy is incredibly weak. In fact, =
the Privacy Commissioner of Canada sets a target of 90% awareness among =
private sector organizations in its report.
In addition, the department has set a target of 86% of Canadians using =
the Internet. The last Canadian Internet Use Survey, based on 2010 data, =
found that 80% of Canadians use the Internet. While increasing the 80% =
figure is laudable, it may be difficult to do with the government's =
decision to cancel the Community Access Program, which was particularly =
instrumental in providing access to lower income Canadians. According to =
Statistics Canada, nearly 4 in 10 non-users (39%) come from households =
in the lowest income quartile.
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0px; font-size: 8pt; ">Thursday May 10, =
2012</span></td></tr></tbody></table><span class=3D"article_seperator" =
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0px; margin-left: 0px; padding-top: 0px; padding-right: 0px; =
padding-bottom: 0px; padding-left: 0px; "><a =
href=3D"http://www.michaelgeist.ca/content/view/6472/125/" =
class=3D"contentpagetitle" rel=3D"bookmark" style=3D"color: rgb(0, 0, =
0); text-decoration: none; font-size: 15px; font-weight: bold; =
">Canada's Digital Economy Strategy: The E-commerce Targets =
Revealed</a></h3></td></tr></tbody></table><table =
class=3D"contentpaneopen" style=3D"padding-top: 0px; padding-right: 0px; =
padding-bottom: 0px; padding-left: 0px; margin-top: 0px; margin-right: =
-55px; margin-bottom: 0px; margin-left: 0px; width: 1052px; "><tbody =
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padding-bottom: 0px; padding-left: 0px; margin-top: 0px; margin-right: =
0px; margin-bottom: 0px; margin-left: 0px; ">The government posted =
its <a href=3D"http://www.tbs-sct.gc.ca/rpp/2012-2013/index-eng.asp" =
mce_href=3D"http://www.tbs-sct.gc.ca/rpp/2012-2013/index-eng.asp" =
style=3D"color: rgb(153, 0, 0); text-decoration: none; ">Reports on =
Plans and Priorities</a> for dozens of departments and agencies =
yesterday. The <a =
href=3D"http://www.tbs-sct.gc.ca/rpp/2012-2013/index-eng.asp?acr=3D1970" =
mce_href=3D"http://www.tbs-sct.gc.ca/rpp/2012-2013/index-eng.asp?acr=3D197=
0" style=3D"color: rgb(153, 0, 0); text-decoration: none; ">Industry =
Canada report</a> makes for interesting reading as there is a =
section on the still missing Digital Economy Strategy that includes =
targets for e-commerce buying and selling in Canada. The =
department <a =
href=3D"http://www.tbs-sct.gc.ca/rpp/2012-2013/inst/dus/dus02-eng.asp#sec2=
13" =
mce_href=3D"http://www.tbs-sct.gc.ca/rpp/2012-2013/inst/dus/dus02-eng.asp#=
sec213" style=3D"color: rgb(153, 0, 0); text-decoration: none; =
">states</a>:<br><br><span style=3D"font-style: italic; ">Industry =
Canada will continue to implement measures in support of the Digital =
Economy Strategy to accelerate adoption of digital technologies, promote =
trust and confidence in the online marketplace and foster a globally =
competitive ICT sector based on a modern legislative framework, a robust =
digital infrastructure and a digitally skilled =
workforce.</span><br><br>Leaving aside the fact that there is no digital =
economy strategy - or at least the government has still not released the =
long overdue document - the report also includes a target to determine =
whether the Canadian online economy is "governed by an effective policy =
and regulatory framework." The government's performance indicator is the =
percentage of Canadians buying and selling online, with the targets set =
at 43% of Canadians buying and 15% selling.<br><br><a =
href=3D"http://www.michaelgeist.ca/#" class=3D"fulltext_toggle" =
id=3D"fulltext_toggle_6472" style=3D"color: rgb(153, 0, 0); =
text-decoration: none; display: block; float: right; margin-top: 15px; =
padding-top: 0px; padding-right: 4px; padding-bottom: 0px; padding-left: =
4px; font-size: 8pt; ">Read More ...</a><div class=3D"fulltext" =
id=3D"fulltext_6472" style=3D"clear: both; display: block; "><br>If =
anyone needed confirmation that the government, now led on this file by =
Industry Minister Christian Paradis, is completely clueless when it =
comes to the digital economy strategy, these targets provide it. =
First, there are multiple factors that comprise success in the Canadian =
digital economy (overall sales, new Canadian Internet companies, venture =
capital investment, global traffic, business use of e-commerce, etc.) =
such that merely relying on purchasing habits are =
insufficient. <br><br>Second, the government could not have =
set a less ambitious target. According to the Statistics Canada 2010 =
Canadian Internet Use survey, <a =
href=3D"http://www.statcan.gc.ca/daily-quotidien/111012/dq111012a-eng.htm"=
=
mce_href=3D"http://www.statcan.gc.ca/daily-quotidien/111012/dq111012a-eng.=
htm" style=3D"color: rgb(153, 0, 0); text-decoration: none; ">51% of =
Canadian Internet users</a> ordered goods or services for personal =
or household use in 2010, while <a =
href=3D"http://www.statcan.gc.ca/daily-quotidien/111012/t111012a3-eng.htm"=
=
mce_href=3D"http://www.statcan.gc.ca/daily-quotidien/111012/t111012a3-eng.=
htm" style=3D"color: rgb(153, 0, 0); text-decoration: none; ">19% of =
Internet users</a> sold goods or services. The Statscan data =
admittedly covers Internet users (as discussed below comprising 80% of =
the population), while the government is interested in all Canadians, =
but the two-year old data suggests Canadians are already at or above the =
digital economy targets. This week's <a =
href=3D"http://www.parl.gc.ca/Content/HOC/Committee/411/INDU/Reports/RP553=
5392/411_INDU_Rpt01_PDF/411_INDU_Rpt01-e.pdf" =
mce_href=3D"http://www.parl.gc.ca/Content/HOC/Committee/411/INDU/Reports/R=
P5535392/411_INDU_Rpt01_PDF/411_INDU_Rpt01-e.pdf" style=3D"color: =
rgb(153, 0, 0); text-decoration: none; ">Industry Committee report on =
e-commerce</a> cites similar data and indicates that 54% of =
Internet users had placed online orders by 2009. Given how long =
Canadians have waited for a digital economy strategy, it is hard to =
believe the government is setting outdated targets before even releasing =
the strategy document.<br><br>In fact, Industry Canada also =
identifies <a =
href=3D"http://www.ic.gc.ca/eic/site/ic1.nsf/eng/07150.html" =
mce_href=3D"http://www.ic.gc.ca/eic/site/ic1.nsf/eng/07150.html" =
style=3D"color: rgb(153, 0, 0); text-decoration: none; ">two additional =
targets</a> with respect to e-commerce that provide further cause =
for concern. First, it sets a target of 65% of Canadian businesses =
being aware of their responsibilities and compliance obligations under =
Canada's privacy laws. Given that private sector privacy legislation =
took effect in 2001 (broadly applicable in 2004), setting a target that =
acknowledges that one-third of all Canadian businesses will not even be =
aware of their legal obligations with respect to privacy is incredibly =
weak. In fact, the Privacy Commissioner of Canada sets a target of 90% =
awareness among private sector organizations in its <a =
href=3D"http://www.tbs-sct.gc.ca/rpp/2012-2013/inst/nd6/nd6-eng.pdf" =
mce_href=3D"http://www.tbs-sct.gc.ca/rpp/2012-2013/inst/nd6/nd6-eng.pdf" =
style=3D"color: rgb(153, 0, 0); text-decoration: none; =
">report</a>.<br><br>In addition, the department has set a target of 86% =
of Canadians using the Internet. The last <a =
href=3D"http://www.statcan.gc.ca/daily-quotidien/111012/dq111012a-eng.htm"=
=
mce_href=3D"http://www.statcan.gc.ca/daily-quotidien/111012/dq111012a-eng.=
htm" style=3D"color: rgb(153, 0, 0); text-decoration: none; ">Canadian =
Internet Use Survey</a>, based on 2010 data, found that 80% of Canadians =
use the Internet. While increasing the 80% figure is laudable, it may be =
difficult to do with the government's decision to cancel the Community =
Access Program, which was particularly instrumental in providing access =
to lower income Canadians. According to <a =
href=3D"http://www.statcan.gc.ca/daily-quotidien/111012/dq111012a-eng.htm"=
=
mce_href=3D"http://www.statcan.gc.ca/daily-quotidien/111012/dq111012a-eng.=
htm" style=3D"color: rgb(153, 0, 0); text-decoration: none; ">Statistics =
Canada</a>, nearly 4 in 10 non-users (39%) come from households in the =
lowest income quartile.</div><div class=3D"commentBlogView" =
style=3D"display: block; text-align: right; padding-top: 6px; =
padding-bottom: 6px; margin-top: 4px; margin-bottom: 4px; clear: both; =
"><br =
class=3D"Apple-interchange-newline"></div></td></tr></tbody></table></td><=
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