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Transborder data flows and the developing countries

Published online by Cambridge University Press:  22 May 2009

Karl P. Sauvant
Karl P. Sauvant
Affiliation:
Transnational Corporations Affairs Officer at the Centre on Transnational Corporations, United Nations, New York.
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Extract

Appropriately applied, accurate information is central to decision making, including decisions on all matters related to development. Information is a precondition for identifying alternatives, reducing uncertainty about their implications, and facilitating their implementation. Thus, information is a critical resource.

Type
Research Note
Information
International Organization , Volume 37 , Issue 2 , Spring 1983 , pp. 359 - 371
Copyright
Copyright © The IO Foundation 1983

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References

The views expressed here do not necessarily reflect those of the organization with which the author is currently affiliated. For a broader discussion of transborder data flows see the UN document “Transnational Corporations and Transborder Data Flows: An Overview” (E/C.10/87 and Corr. 1 of 6 July 1981), on which this article is based.

1. Broadly defined, transborder data flows are movements across national boundaries of machine-readable data for processing, storage, or retrieval. Such movements can be effected by nonelectronic means such as magnetic tapes, discs, punched cards, or other media. Increasingly, however, electronic means are used. In these cases, transnational computer-communication systems are established: that is, arrangements whereby one or several sophisticated computers in one or several countries are linked to affiliated computers in other countries and through them, or directly, to remote terminals.

2. The United States proposed this idea to the OECD Group of Experts on Transborder Data Flows at its meeting in Paris, 26–27 January 1982.

3. See United Nations, Transborder Data Flows and Brazil: The Role of Transnational Corporations, Impacts of Transborder Data Flows and Effects of National Policies (New York, forthcoming)Google Scholar.

4. See United Nations, Transnational Corporation and Transborder Data Flows: A Technical Paper (New York, 1982), p. 25Google Scholar. For a detailed study of the international on-line data-base market see United Nations, Transborder Data Flows: Access to the International On-Line Data Base Market (New York, forthcoming)Google Scholar.

5. OECD, INTERFUTURES: Facing the Future. Mastering the Probable and Managing the Unpredictable (Paris, 1979), pp. 114 and 336 respectivelyGoogle Scholar; emphases deleted.

6. The following discussion focuses on potential problems associated with TDFs because the perception of these (and other) problems could lead to policies that may hinder a full realization of the benefits potential in this new phenomenon. Furthermore, in a number of problem areas TDFs may accentuate difficulties but they may also–if they can be used effectively–help ameliorate the same problems.

7. See Antonelli, C. and Ergas, H., “Computer Communications, the Costs of Co-ordination and Multinational Enterprises,” paper presented to the conference “Information Access and International Negotiations: New Directions in North-South Relations,” University of Sussex Institute of Development Studies, Falmer, England, 29 September–2 10 1981Google Scholar.

8. Keynote address delivered by Charles M. Dalfen, vice-chairperson of the Canadian Radio-Television and Telecommunications Organization, at the opening session of the Intergovernmental Bureau for Informatics (IBI) World Conference on Transborder Data Flow Policies; reprinted in Transnational Data Report 3 (July–August 1980), p. 6.

9. Robinson, Peter, “Strategic Issues Related to Transborder Data Flow,” Telecommunications 13 (05 1979), p. 85Google Scholar.

10. Gottlieb, Allan, Dalfen, Charles M., and Katz, Kenneth, “The Transborder Transfer of Information by Communications and Computer Systems: Issues and Approaches to Building Principles,” American Journal of International Law 68 (1974), p. 236Google Scholar.

11. See, in this context, O'Brien, Rita Cruise and Helleiner, G. K., “The Political Economy of Information in a Changing International Economic Order,” International Organization 34 (Autumn 1980), pp. 445–70CrossRefGoogle Scholar.

12. Gassmann, Hans Peter, “Data Networks: New Information Infrastructure,” OECD Observer no. 95 (11 1978), p. 15Google Scholar.

13. For instance the Third Conference of Latin American Informatics Authorities was held at Buenos Aires in October 1979; the Conference on African Informatics Integration, in Abidjan in November 1979; and the African Conference on Informatics, at Dakar in February 1982). A high level conference on TDFs is schedules by the OECD for autumn 1983; the Second World Conference on Transborder Data Flow Policies is scheduled by the IBI for October 1983 (IBI had organized, in June 1980 at Rome, the First World Conference on Transborder Data Flow Policies); and the Second Intergovernmental Conference on Strategies and Policies for Informatics is scheduled by the IBI for 1984.

14. The United Nations Centre on Transnational Corporations focuses current work on the impact of TDFs on individual countries (country case studies); the issue of access to the international data market by developing countries; and transnational corporations and remotesensing data: see United Nations, “Transnational Corporations and Transborder Data Flows: Programme of Work and Progress Report” (E/C.10/1982/12 and Corr. 1 of 18 June 1982). The OECD's current work (conducted under the aegis of an Expert Group on Transborder Data Flows, which reports to a Committee on Information, Computer and Communications Policy), focuses on the impact of TDFs on the structure and management of transnational corporations, some legal aspects pertaining to these flows, and telecommunications services. The IBI has established three working parties mandated with examining various aspects of TDFs and is undertaking a survey of policies relating to these flows. In the business community, the International Chamber of Commerce has established a Commission on Computing, Telecommunications and Information Policies; also noteworthy is the Business and Industry Advisory Committee to the OECD. Among individual countries, note the research done in Canada, France, Japan, and Sweden: Canada, Department of Communications, Consultative Committee on the Implications of Telecommunications for Canadian Sovereignty, Telecommunications and Canada (Ottawa: Canadian Government Publishing Centre, 1979)Google Scholar; Madec, Alain, Lesflux transfrontières de donnés: vers une économie Internationale de l'information? (Paris: La documentation francaise, 1982)Google Scholar; A Vision of Telecommunications Policy in the '80s (Tokyo: Research Institute of Telecommunications and Economics, 1982)Google Scholar; and Government of Sweden, The Vulnerability of the Computerized Society (Stockholm: Ministry of Defence, 1978)Google Scholar.

15. See United Nations Development Programme, “Development Information Network: Project Description Paper” (INT/80/001, 1980)Google Scholar.

16. See, respectively, OECD, Guidelines Governing the Protection of Privacy and Transborder Flows of Personal Data (Paris, 1981)Google Scholar, and Council of Europe, “Convention for the Protection of Individuals with Regard to Automatic Processing of Personal Data,” European Treaty Series no. 198 (Strasbourg, 1981)Google Scholar.

17. It is estimated that about 5% of total TDFs involve personal data.

18. For Canada, France, Japan, and Sweden, see the sources mentioned in note 14. For Brazil, see United Nations, Transborder Data Flows and Brazil. See also Intergovernmental Bureau for Informatics, Transborder Data Flow Policies: Papers Presented at the IBI Conference on Transborder Data Flow Policies, Rome (Italy), 23–27 June 1980 (New York: UNIPUB, 1982)Google Scholar.

19. IBI is also working on guidelines for TDFs, both for personal and for nonpersonal flows.

20. The developing countries as a group are beginning to recognize the importance of TDFs. This is reflected in their support for UNDP's Development Information Network in the “Declaration” adopted by the Ministers for Foreign Affairs of the Group of 77 on 29 September 1981 (A/36/573). This (and the support given for the same project at the preceding Caracas meeting on economic cooperation among developing countries) is the first time that the Group of 77 has specifically addressed this topic.

21. The General Agreement on Tariffs and Trade may well decide to address TDFs. This is advocated, for instance, by Spero, Joan Edelman, “Information: The Policy Void,” Foreign Policy no. 48 (Fall 1982), pp. 139–56CrossRefGoogle Scholar.