Digital Economy and GVCs - SUBREI · Nicolás Schubert Services and Investment Department, DIRECON...
Transcript of Digital Economy and GVCs - SUBREI · Nicolás Schubert Services and Investment Department, DIRECON...
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Digital Economy and GVCs
Nicolás Schubert
Services and Investment Department, DIRECON
May 2019
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{Digital Economy: Why are we doing this?}
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• Internet has changed the way we communicate, access information, knowledge and culture
• Has modified industrial and economic structures
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• Decreasing average production costs
• Low reproduction, storage and distribution costs
• Modest capital requirements
• Wide range of products
Characteristics of the Internet and Digital Economy
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The new marketplace
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The technical sideof things
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Internet is a global resource and a platform
Internet
www
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¿What is the Internet?
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Dinamic group of public & privatenetworks
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Peering: voluntary interconection of networks to Exchange traffic
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How do different networks communicate?
Transmission Control Protocol / Internet Protocol
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ISP (VTR, Movistar) provides last mileconnection
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Implications for GVCs• Coordination costs are greatly reduced
• New developments (3D printing, IA and Big Data, new
competitors, R&D)
• Digital products (Dicotomy of goods and services is no longer
useful (SaaS); Data Analysis; Tech platforms change the way
people interact; Supporting industries)
• Enabling global platform as catalyzer for innovation and
creativity
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2 layers (chapters):
1.- Infrastructure(Telecommunications)
2.- Contents and applications(E-commerce/Digital Trade)
Chile’s recent FTAs
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1. Telecommunications Chapter
• Platform for multiple uses, present and
future, by serving as an innovation platform,
and socially, by facilitating the widest variety
of interactions between people
• Ensuring competition
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2. E-commerce Chapter
• Respecting the technical architecture
• Non-discrimination of digital products
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Thanks