1 - Data Network as Enabler

Summary

Broadband infrastructure is the prerequisite that enables people to meaningfully participate in the data-driven economy, as well as to put to good use the “beauty” of datafication. Developing countries and LDCs need FDI to build their digital infrastructures. However, the economic benefit of the GATS Mode 3 market access commitments in the telecommunications sector has never been realized in many states. In this context, from Mexico – Telecom to Brazil – Taxation, the mere fact that the responding parties must have attempted to stretch the scope of the “universal services” or “public morals” to justify their digital inclusion policies within the WTO indicates that the interplay between international economic law and digital inequality invites further reflection. The pressing task for trade negotiators is to find the common ground necessary to balance digital trade liberalization and development needs, rather than creating another “Digital ‘Haves’ Trade Agreement.” One policy direction discussed in Chapter 1 is to impose obligations on big tech companies to contribute their fair share to universal service funds needed for infrastructure upgrades. Such a reform, of course, should be implemented in a transparent, nondiscriminatory, and competitively neutral manner, as required by the Telecom Reference Paper.