Past Event

Policies for digital innovation

We were pleased to welcome Paul Misener, Vice President of Global Public Policy at Amazon.com, to discuss innovation and regulation.

Date: July 11, 2016, 12:30 pm Topic: Digital economy and innovation

Summary

See below for video recording.

Innovations pose novel questions for policymakers. Some are uncomfortable with the pace of innovation. Others stuggle with the fact that new technologies and services often do not fit neatly into existing regulatory systems, while long-term benefits are hard to predict. A balance needs to be found between the application of the precautionary principle and the innovation principle. Could customer-focused innovation itself have novel characteristics that should be recognised and appreciated by policymakers acting in the public interest?

Amazon has a consumer-focused way of innovating. Despite cultural differences among consumers across the globe, they all value greater choice, convenience and lower prices. When it comes to innovation, Amazon behaves like a start-up and has investors that take a longer-term view. Amazon has had very successful and unsuccessful innovations, technical and non-technical innovation and innovations in areas where they already had expertise as well as in areas where they did not.

E-commerce in Europe is between 5 and 13 percent of total retail and 7.5% in the US. This is much lower than we would have thought two decades ago. There is still room to grow, as well as room for multiple players.

Another company that has significantly improved its position in the market, partly due to innovation, is Iberdrola. Iberdrola has an open innovation concept, where its works in a network, alongside universities, manufacturers and technical centres. However, as innovations in this sector require huge investments, it is vital to have a regulatory framework that is stable and innovation-friendly. An example of an area where innovation is needed is to reach the decarbonisation objectives, where cheaper alternatives need to be introduced, in order to get consumers to switch. Smart grids are an example where innovation has been hampered by regulation.

However, not only regulation has an effect on innovation and the extent to which it takes place. The speed of innovation also has implications for regulation. In EU regulation scale potential, harmonising systems and creating a level playing field are deemed important. However, different types of innovation may need different types of regulation. Regulating every specific innovation model is not likely to be a solution. We need to look at how to improve flexibility levels while preserving scale economies.

Regulating the outcome instead of the process, as was done with renewables, may come at the risk of excluding new and potentially better types of products and services that do not match the outcome exactly.

Finding the balance between the innovation principle and precautionary principle is difficult. We need regulators that focus on real-world innovation, an open regulatory process. Digital single market barriers still need to be removed.

Event summary by Nuria Boot, research assistant

VIDEO RECORDING

Innovations pose novel questions for policymakers, some of whom are uncomfortable with the pace of innovation or simply the fact that new technologies and services often don’t fit neatly into existing regulatory systems. Could customer-focused innovation itself have novel characteristics that could be recognised and appreciated by policymakers acting in the public interest?

We were pleased to welcome Paul Misener,  Vice President of Global Public Policy at Amazon.com to present on these issues, followed by comments from Eva ChamizoStephan Raes and other speakers.

Schedule

Jul 11, 2016

12:30-13:00

Check-in and lunch

13:00-13:30

Keynote speech

Chair: Reinhilde Veugelers, Senior Fellow

Paul Misener, Vice President for Global Public Policy, Amazon.com

13:30-14:30

Panel discussion and audience Q+A

Eva Chamizo, Director Brussels Office, Iberdrola

Stephan Raes, Head of Economic Department, Permanent Representation of the Netherlands to the EU

14:30

End

Speakers

Eva Chamizo

Director Brussels Office, Iberdrola

Paul Misener

Vice President for Global Public Policy, Amazon.com

Stephan Raes

Head of Economic Department, Permanent Representation of the Netherlands to the EU

Reinhilde Veugelers

Senior Fellow

Location & Contact

Bruegel, Rue de la Charité 33, 1210 Brussels

Matilda Sevon

[email protected]

Read article Download PDF More on this topic
 

Working Paper

Market power and artificial intelligence work on online labour markets

In this working paper, the authors investigate three alternative but complementary indicators of market power on one of the largest online labour markets (OLMs) in Europe.

By: Néstor Duch-Brown, Estrella Gomez-Herrera, Frank Mueller-Langer and Songül Tolan Topic: Digital economy and innovation Date: December 16, 2021
Read about event More on this topic
 

Past Event

Past Event

How to deal with small banks: consolidation, tailoring and the fintech challenge

Small banks face multiple challenges. What structural changes are needed to tackle these pressures?

Speakers: Alexander Lehmann, Nicolas Véron, Xavier Vives, Anne Fröhling and Philip Evans Topic: Banking and capital markets Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: December 9, 2021
Read about event More on this topic
 

Past Event

Past Event

Inside the European crises: a conversation with Marco Buti

At this event Marco Buti talks to Maria Demertzis, André Sapir and Guntram Wolff about his new book, in which he gives an insiders look at European policy making.

Speakers: Marco Buti, Maria Demertzis, André Sapir and Guntram B. Wolff Topic: European governance Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: December 3, 2021
Read about event
 

Past Event

Past Event

China’s medium term outlook: Will innovation save China from becoming old before it becomes rich?

What can China do to stop the deceleration of its economy. Is innovation the solution?

Speakers: Jean-Francois Di Meglio, Alicia García-Herrero and Guntram B. Wolff Topic: Digital economy and innovation, Global economy and trade Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: December 1, 2021
Read article More on this topic
 

External Publication

'In Situ' Data Rights

Privacy empowers individuals to control what is gathered and who sees it; portability permits analysis and creates competition. By moving our data to portals that would share more value in return, we might capture more of our data value. After all, that data concerns us.

By: Bertin Martens, Geoffrey Parker, Georgios Petropoulos and Marshall Van Alstyne Topic: Digital economy and innovation Date: December 1, 2021
Read article Download PDF More on this topic
 

Policy Contribution

What is holding back artificial intelligence adoption in Europe?

To accelerate the roll-out of AI technology across the European Union, policymakers should alleviate constraints to adoption faced by firms, both in the environmental context and in the technological context.

By: Mia Hoffmann and Laura Nurski Topic: Digital economy and innovation Date: November 30, 2021
Read about event More on this topic
 

Past Event

Past Event

Role of innovation in decarbonisation

A fireside conversation with Eni CEO Claudio Descalzi on decarbonisation.

Speakers: Claudio Descalzi and Guntram B. Wolff Topic: Green economy Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: November 29, 2021
Read about event More on this topic
 

Past Event

Past Event

Fiscal policy and rules after the pandemic

What are the possibilities for shaping the new fiscal policy?

Speakers: Zsolt Darvas, Maria Demertzis, Michel Heijdra and Katja Lautar Topic: Macroeconomic policy Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: November 24, 2021
Read about event More on this topic
 

Past Event

Past Event

Covid recovery and the green transition: What can promotional banks do?

What is the role of promotional banks in financing the green transition?

Speakers: Sophie Barbier, Maria Demertzis, Ricardo Mourinho and Lucinio Muñoz Topic: Green economy Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: November 18, 2021
Read article Download PDF
 

Policy Contribution

Inclusive growth

Biometric technologies at work: a proposed use-based taxonomy

Technology may not have a significant negative impact on the quantity of jobs available to humans, but it certainly transforms them, changing how jobs are performed, with implications for workers’ quality of life and for productivity. Hence the focus shifts from a quantitative to a qualitative perspective.

By: Mario Mariniello and Mia Hoffmann Topic: Digital economy and innovation, Inclusive growth Date: November 17, 2021
Read article Download PDF More on this topic
 

Working Paper

Towards efficient information sharing in network markets

In this paper, we turn our attention to market failure due to information asymmetry between platforms and their users and between competing platforms.

By: Bertin Martens, Geoffrey Parker, Georgios Petropoulos and Marshall Van Alstyne Topic: Digital economy and innovation Date: November 10, 2021
Read about event
 

Past Event

Past Event

How can we create more sustainable value chains?

There is an urgent need for GVCs to become more resilient and inclusive, and meet the net-zero challenge.

Speakers: Erik Berglöf and Alicia García-Herrero Topic: Global economy and trade, Green economy Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: November 10, 2021
Load more posts