Shaping the Digital Future of Europe

Europe is on the right track…… Before diving into that how Europe is shaping its Digital future, first, we must understand what Digital transformation is. The act of employing digital technology to build new business processes, cultures, and customer experiences—or adapt current ones—to satisfy shifting business and market requirements is known as digital transformation. Digital transformation refers to the reinvention of a company in the digital age.

It goes beyond conventional job functions like sales, marketing, and customer service. Instead, how you think about and interact with customers is where digital transformation starts and ends. With digital technology on our side, we can rethink how we conduct business and interact with our customers as we go from paper to spreadsheets to smart applications for managing our business. New methods to study, be entertained, work, explore, and achieve goals are brought about by the digital society and its technologies. Additionally, they allow EU residents the chance to connect with others outside of their physical communities, geographical areas, and social positions. They also bring new freedoms and rights.

The crucial enabling role of ICTs in achieving Europe's goals was first acknowledged in the 10-year digital strategy for Europe in 2010. To ensure a fair, open, and secure digital environment, the digital single market strategy further developed the digital agenda by laying out specific provisions based on three pillars: 1) improving access for consumers and businesses to digital goods and services across Europe; 2) creating the ideal environment for the growth of digital networks and services; and 3) maximizing the growth potential of the digital economy.

How Europe Started Digitization and Digital Transformation

Europe started its digitization and digital workplace in 2010 with a 10-year digital strategy the first digital Agenda for Europe. By giving the EU a cutting-edge system of user rights and protection for consumers and businesses, the first digital agenda aimed to improve access for consumers and businesses to digital goods and services across Europe.

• Reduced costs for electronic communications, as well as the 14 June 2017 elimination of roaming fees;
• Greater access to basic broadband for all users, primarily due to advancements in mobile and satellite broadband technologies that have enabled the establishment of gigabit connectivity for all key socioeconomic factors;
• Consumers are better protected in the telecommunications industry thanks to privacy and data protection laws, which are further strengthened by a new regulatory data protection framework.

The European Parliament strengthened the Body of European Regulators for Electronic Communications, which facilitates cooperation between national regulators and the Commission, promotes best practices and common approaches, and harmonizes regulation on communications in the single market, to foster the ideal conditions for digital networks and services to flourish.

By encouraging digital literacy and high-performance computing, digitizing business and services, creating artificial intelligence (AI), and modernizing public services, the approach aimed to maximize the growth potential of the digital economy.

The EU has taken a variety of measures in addition to the new data protection legal frameworks to encourage the growth of a data-agile economy, including:

• The non-personal data free flow regulation, which enables businesses and governmental agencies to keep and use non-personal data wherever;
• The Cybersecurity Act bolsters the EU Agency for Cybersecurity (ENISA) and creates a framework for cybersecurity product and service certification;
• The Open Data Directive establishes uniform guidelines for a market for government-held data in Europe.

Where does Europe stand after the implementation of the first Agenda for Digital Europe 2010

A recently released study of I-DESI 2020 reveals that although EU nations constantly trail behind other developed nations in the digitalization of public services, they do better than other developed nations in terms of digital capabilities, from basic to advanced. The International Digital Economy and Society Index (I-DESI) compares the positions of 18 other non-EU nations with those of the EU in terms of connectivity, digital skills, internet use, integration of technology, and digital public services.

The best nations in the EU are on par with or even above the top nations worldwide. In both the I-DESI index and the DESI rankings for 2019 and 2020, Finland was the top-ranking nation. The leading non-EU nation was the United States, and four of the top 10 spots for the main I-DESI index were occupied by EU27 Member States, Switzerland, Norway, and Iceland.

Five dimensions of the I-DESI report:

1. Connectivity

Connectivity is an I-DESI dimension that examines the deployment and adoption of fixed and mobile broadband. The EU27 average compares favorably with non-EU nations, especially in terms of broadband take-up and mobile broadband.

2. Digital Skills

EU27 Member States outperformed their 18 global counterparts in terms of having the skills necessary to benefit from the opportunities afforded by a digital society. When it comes to both of the metrics that make up the Advanced Skills and Development sub-dimension, EU27 Member States outperform their competitors.

3. Use of-internet

The average performance of EU Member States is inferior to non-EU nations over the four years analyzed, from 2015 to 2018. The strongest area for non-EU countries is the citizen use of the internet factor. On this dimension, the top four non-EU nations perform on par with the top four EU Member States.

4. Digital Technology

The digitalization of enterprises and the growth of online sales channels were the focus of the incorporation of digital technology aspects. For the first time since 2013, the average performance of the EU27 Member States in this dimension was on par with non-EU nations in 2017. The EU27 fell behind once more in 2018. The Recovery and Resilience Facility and the European Digital Strategy both have several economic goals, including fostering competitiveness, economic growth, and job creation. Investment and assistance in this sector would aid in achieving EU goals and might improve the competitiveness of EU27 Member States with non-EU nations.

5. Digital Public Services

I-DESI measures performance in several areas, including digitization of public services with a focus on e-Government, where, on average, EU27 Member States have continuously been behind their 18 non-EU counterparts. Yet, the top four non-EU nations have regularly underperformed the top four EU27 Member States.

In 2021, all EU citizens aged between 16 and 74 had "at least basic overall digital abilities," according to new statistics from Eurostat, which indicates that more than half (54%) of the population had these skills. This indicates that they have at least a basic understanding of each of the five abilities listed below: information and data literacy, communication and teamwork, creating digital content, safety, and problem-solving. The Netherlands, Finland, and Ireland received the highest marks, while Romania, Bulgaria, and Poland received the lowest.

Second Agenda for Digital Europe 2020-2030

The importance of digital services and markets, new EU technology aspirations, and geopolitical aspirations were all emphasized in the second digital agenda. Digital technologies have brought about significant changes. The Commission outlined the particular activities it will take to support the development of safe and secure digital services and markets based on two strategic communications, namely forging Europe's digital future and Europe's digital decade. In addition, the current decade's priorities include the development of quantum computing, a blockchain strategy and trade policy based on blockchain, human-centric and reliable AI, semiconductors (European Chips Act), digital sovereignty, cybersecurity, gigabit connectivity, 5G and 6G, European data spaces and infrastructure, as well as setting international technology standards. The EU proposed a digital compass on March 9, 2021, with four digital goals to be accomplished by 2030:

• Skills: The EU should employ 20 million ICT specialists, and more women should apply for such positions; At least 80% of adults should have basic digital skills;
• Business: More than 90% of EU small and medium-sized organizations should reach at least a minimum level of digital intensity; 75% of companies should embrace cloud computing services, big data, and AI; and the number of EU unicorns should double;
• Infrastructure: 5G should be available in every populous area of the EU, and gigabit connection should be available in every home; 20% of the world's production of advanced and environmentally friendly semiconductors should be produced in Europe; The EU should deploy 10,000 highly secure edge nodes that are climate neutral and possess Europe's first quantum computer;
• Public services: 80% of citizens should adopt an electronic identity solution, all major public services should be accessible online, and everyone should have access to their electronic medical data.

A further aim is to increase trust in the online environment, which is essential for social and economic progress. The Regulation on Electronic Identification and Trust Services for Electronic Transactions in the Internal Market is a significant step in the creation of a predictable regulatory environment that supports seamless and secure electronic interactions between individuals, organizations, and public authorities. The digital services package will be examined as part of the new agenda to increase its efficacy, expand its use to the private sector, and encourage usage.

The second major axis on which the new European digital agenda is built is data exchange. The EU aspires to maintain a balance between the open flow of data and the preservation of privacy, security, safety, and ethical norms while supporting data-based innovation. To do this, it is necessary to look at the use and dissemination of non-personal data to create new, successful technologies and business models.

Conclusion

The act of employing digital technology to build new business processes, cultures, and customer experiences—or adapt current ones—to satisfy shifting business and market requirements is known as digital transformation. European Union started its digitization and digital transformation in 2010 with the first Digital Agenda for Europe. This included decisions like reducing the cost of communication electronics, waving off roaming fees, providing basic broadband connectivity, and providing protection for the privacy and data of all individuals. According to the I-DESI 2020 report EU nations constantly trail behind other developed nations in the digitalization of public services, they do better than other developed nations in terms of digital capabilities, from basic to advanced. The I-DESI report was based on 5 parameters Connectivity, Digital skills, Use of the Internet, Digital Technology, and Digital public services. Of EU citizens aged between 16 and 74 more than 54% of people had "at least basic overall digital abilities," after the first Digital Agenda for Europe.

After the success of the First Digital Agenda for Europe the Second Digital Agenda was launched which includes Skill development to employ 20 million ICT specialists, 90% of EU small and medium-sized organizations should reach at least a minimum level of digital intensity, 75% of companies should embrace cloud computing services, big data, and AI, ensuring the availability of 5G in every populated area, and digitization of identity of 80% citizens. Enhancing the regulation for increasing trust for electronic transactions and identification.