TMT REPORT

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No longer a niche practice, TMT has taken the legal world by storm. And lawyers say that one thing is very clear in today's 'digital economy' - these days there is no industry that isn't affected by TMT. But the sector is evolving at such a rapid pace, that clients, law firms and regulators are having a very hard time keeping up, and applicable legal frameworks are almost out-dated before they become effective.

TMT is now an intrinsically 'global' sector, as regardless of whether or not clients 'physically' globalise their operations, the majority of business these days is conducted via the Internet and e-commerce -which know no frontiers.

Players in the Iberian TMT market are innovative and very active. "Their innovation departments are always looking for new products and services that can bring value to clients," says Magda Cocco, Co-Head of Telecoms & Media at Vieira de Almeida, "and, most of the time, these new products and services challenge traditional legal concepts".

But the TMT laws are a step behind the actual development reality, explains Javier Marzo Cosculluela, Co-Head of TMT at Garrigues, Spain, as the sectors are so technologically advanced and change at a very fast pace.

Despite being a fortunate and healthy industry, certain areas, particularly those that have not yet adapted their business models to the digital economy - traditional press, broadcasting, etc - are suffering. "What is clear is that disruptive technologies will transform business," says Javier Fernhdez-Samaniego, Managing Partner and Head of TMT at Bird & Bird Madrid, "pushing Spanish and global economies forward.

Companies must always stay ahead of their competitors, and reinvent themselves and their products in order not to be left behind, says Rodrigo Almeida Dias, a Corporate and TMT Partner at F. Castelo Branco & Associados. Therefore, imagination, proactivity and reaching out to the ever-more demanding

needs of consumers are key elements in this extremely competitive industry.

The challenges of innovation It seems that every day 1 there are new methods of communicating, says Pablo Mayor, Head of Public Law at Allen & Overy, as well as new I

devices, users and ways of providing services.

And both businesses and individuals are part of this digital economy, with smartphones, tablets, the Cloud and social networks forming part of their daily lives. "Therefore, one of the main challenges of the TMT sector is to find the right balance between increasing consumers' demand for services and products, and the level of security required to ensure privacy rights," explains Francisco Brito e Abreu, Corporate Partner at Uria Menendez - Proenqa de Carvalho.

Another issues is that the subsectors are converging - telecoms and contents for example - accelerated by the massive increase in use of mobile devices. "The challenge for clients is that they don't always have the expertise to deal with these 'neighbouring' markets and end up competing for the same clients," says Raul Rubio, IT and Communications Partner at Baker & McKenzie, Madrid, "but coming from very different backgrounds".

Every year there are new IT applications and devices, innovative software and social conducts that lack enforceable regulatory support. "We strive to help clients to be protected Las nuevas tecnologias and confident in this transforming han invadido en su environment, as we have to be constantly totalidad el mercado learning about technical developments," economico, como si de says Norman Heckh, Director at Deloitte una tormenta se tratara. Abogados. In the coming years, almost Los abogados afirman que every company will thereforehave to una cosa esta muy clara focus its business on the Internet and new en la economia digital: technologies, and law firms need to be Actualmente no existe prepared to provide the most up-to-date ninguna industria que no support. se vea afectada por las

The speed of change also presents nuevas tecnologias. El special challenges for the industry itself. sector esta evolucionando "We are witnessing big players in the tech a un ritmo vertiginoso y 10s industry, such as Blackberry or Nokia, clientes, 10s despachos struggle when their products and services y 10s juristas no logran are no ionger current in the market," says mantener el ritmo, por lo Hugo Ecija, Managing Partner of Ecija. que muchos de 10s marcos "TMT is not about adapting to the market juridicos a aplicar se - you're either in or out - it is about quedan obsoletos antes innovation and anticipation." de entrar en vigor.

September I October 2013 . IBERIAN LAWYER. 39

TMT REPORT

& & w e are witnessing big players in the tech Madrid, and driving heavy investment in fibre

industry, such as Blackberry or Nokia, struggle ..tics. Telef6nica and

: when their products and services are no longer oiheroperators' recent and projected €25bn investment

current in the market. TMT is not about adapting f ib re optics, for example, to the market - you're either in or out - it is is a historical investment,

which will revolutionise about innovation and anticipation. y y the digital market in Svain,

L d Hugo ~c i j a , Ecija And innovation is a key concept for success in today's

crisis economy - but the difficulty is finding the funds to do so. "Access to capital is difficult," explains Almudena Arp6n de Mendivil, TMT Partner at G6mez-Acebo & Pombo, Madrid, "and companies have to invent new forms of generating funds for their research and development projects".

The difficulty is to be able to predict future problems in an area that changes at such astonishing rate. As well as explaining to clients that the existing entities - regulators, courts and public administration - evolve at a much slower speed, says Filipe Mayer, a TMT Partner at CCA Advogados, and, in most cases, are unprepared to reply in a suitable way to the challenges placed by this sector.

In the 1990s, there was time to plan and think about where technology was going, adds Pablo Gonzhlez- Espejo, Head of TMT at Uria Menendez. "Nowadays, there is little time to regulate as things change so fast and keep getting faster. Regulations can hardly keep up with the industry and therefore don't always meet the expectations of the market."

As TMT involves state-of-the-art innovation that changes so quickly, as lawyers we are always betting on what the regulators may do, says Diego Ramos, Head of TMT at DLA Piper Spain. And across Iberia, many developments have taken place recently, while some very notable examples do stand out.

Communicating issues The recent proposal to overhaul the EU Telecommunications rules - 'Connected Continent: Building a Telecoms Single Market' - aims to open up a very fragmented market, say lawyers. Key changes include the end of mobile roaming premiums and a guarantee of 'net neutrality'. But opponents argue that it is unachievable in its current format.

The Spanish Government has recently approved a new Telecoms Act to include the technological advances of recent years. The aim, say lawyers, is to foster the development of the country's digital economy, promote competition, offer more affordable tariffs and facilitate the introduction of next generation networks. However, given how fast the industry changes, there are concerns that the new Act will be obsolete from the moment it is enacted, explains Blanca Escribano, Co-Head of TMT at Olswang Spain LLP, as it will come into force after the 'Connected Continent' package is published, which finally tackles the real competition problems that the industry is facing.

The growth in data traffic and the need for data to be quick and efficient means that operators are also making major investments in Long Term Evolution (LTE) networks for 4G services, says Carmen Burgos, Counsel and member of the TMT group at Linklaters

says ~gvier Torre de ~ifva, ' a Public, Regulatory and TMT Partner at CMS

AlbiJiana & Sudrez de Lezo. Traditional telecom services are becoming

commoditised and the digital economy is where everything is heading. "And now you find big players like Telef6nica competing with the so called GAFA - Google, Amazon, Facebook and Apple," says Escribano at Olswang Spain LLP.

Portugal has also seen considerable developments, particularly in electronic communications - a trend that is set to continue, say lawyers. On the one hand, there is an increasing convergence of services with bundled and new digital services being made available by several operators, says Brito e Abreu at Uria Menendez - Proenqa de Carvalho. "On the other, the country's technological development and $$< modernisation has been one of the Government main objectives

%a. ..\j in recent years, in line with the w:s Lisbon strategy." 41. 8 .

And after five crisis years, I-#. 4

the TMT sectors are starting to conclude M&A projects

x:. I

and transactions. This global phenomenon is already domestically visible, says Jaime Medeiros, a Founding Partner of Coelho Ribeiro e Associados, with recent mergers in major telecoms and cable operators. The most noteworthy being that between cable TV operator Zon Multimedia and mobile phone unit Optimus (controlled by Sonaecom), resulting in the creation of a new operator 'Zon Optimus', says Marta Costa, Senior Associate in TMT at PLMJ, which will increase competition in the Portuguese market with the incumbent operator Portugal Telecom.

Another challenge on the horizon is the designation of the new Universal Service Providers (USPs), explains Margarida Couto, Co-Head of Telecoms & Media at Vieira de Almeida. "These changes will certainly make an impression on several regulatory matters, therefore we will certainly have a very dynamic year in what concerns legal and regulatory advice."

Virtual communication Traditional media has become outdated - now it is -

about content, networks and service providers, and the problem is how to regulate something that everyone can access at any time on any platform or device, explains Sylvia Alonso, Head of TMT at Avego Abogados, a legal boutique specialising in Litigation, Commercial and TMT. The belief is that the industry will need to be more self-regulating and take responsibility when it comes to the content it puts out.

One ruling that recently shook the sector is that of

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40 IBERIAN LAWYER. September 1 October 2013

TMT REPORT

biggest client concerns these days, from practices. I What clients want sma&hones and tablets to the cloud and in Spain, in particular, the new draft

the Spanish Supreme Court in November 2012, & & Companies must always stay cutting a number of broadcasting channels granted by the Government in 2010, without a head Of their competitors, and specifying how may and when, explains reinvent themselves and their

1 Cosculluela at Garrigues. "2013 Government decisions implementing this ruling have not products in order not to be left yet clarified the situation - so how do you explain this uncertainty to foreign investors,

behind. !! such as Disney or Paramount?" The sector is Rodrigo Almeida Dias eagerly awaiting the outcome of the ongoing F. Castelo Branco & Associados - deliberations, say lawyers.

The media sector has been a victim of the Security's surveillance programmes have put a spotlight crisis, particularly with the tightening of advertising on cyber security and data protection issues, as well as budgets. Operators keep trying to maintain the quality the potential dangers of the Cloud. of contents while decreasing the amount spent, says Handling data breaches and cyber security are among Roberto Shchez, Managing Associate and member of the biggest issues, not only for telecom operators and the TMT group at Linklaters Madrid, and in the pay-tv companies operating online but for any corporation, sector, maintaining average billing per client is clearly says Fernhdez-Samaniego at Bird & Bird, as IT is at the a major challenge nowadays. Consolidation has been heart of the operations of most of these organisations. a recent trend to compensate for the slowdown in Companies are demanding legal advice on

advertising, particularly in Digital Terrestrial e-commerce as they are increasingly replicating their Television (DTT) -between 2011 and 2012, four physical business in the 'online' world, says Marc Gil, Spanish TV stations merged into two groups: Head of Corporate and IT Law at Adarve Abogados. But

Antena 3/La Sexta and Telecinco/Cuatro. with this comes having to embrace the concept of 'cyber In Portugal, media is also the most affected security' and protecting a 'virtual' business.

sector. The Internet and digital newspapers, Five years ago it was just banks and insurance coupled with the decrease in advertising, companies that were worried about cyber security as

caused a deep crisis in the written press, they had so much to lose online, says Ecija at Ecija. which is trying to reinvent itself to survive, "Now it's every single company and it's a market worth

explains Ana fazendeiro, a Lawyer billions - so everyone wants to know how to protect all at Abreu Advogados. "As one of the of their assets'. consequences, some Portuguese One major challenge is the comprehensive reform of newspapers - SOL, Diario de Noticias the EU Data Protection regime, expected to take effect in and Jornal de Noticias -have been partly 2014. With a proposed EU harmonised law and a single

acquired by Angolan Groups." 'one-stop-shop' supervisory authority, compliance is Traditional media groups are being forced going to be key, as fines could amount to up to two

to review their business models and accept outside percent of annual worldwide turnover, say lawyers. investments due to the steady growth in online and no- And this will impact most 'online' sectors, including cost advertised-based media. And TV, cinema and music e-commerce, social networks, online gaming, publicity are still struggling to find new business models adapted and advertising, device apps, to name just a few. to the Internet - and, say lawyers, unless they do so And the sector is awaiting the outcome of the quickly, they run the risk of being overtaken by the new European Court of Justice (ECJ) pending data retention dominant players, such as Google and Facebook. cases. The ECJ is asked, in both preliminary rulings, to

decide upon the compatibility of the Data Retention Cyber and data security Directive with several articles of the Charter of Wikileaks and recent cases involving US National Fundamental Rights of the EU related to the protection I

online business. And compliance is key, Telecoms Law is prompting requests "If you look at our TMT clients eight years say lawyers, especially with the increasing for advice on the implication of the ago, they were very much dependent amount of obligations and requirements new obligations and how to apply, on credit - their business model was to - both locally and internationally - with comply and implement. The role of use this to develop new technologies," which they must comply - which can often public administrations in the provision says Ramos at DLA Piper Spain. "But the affect the companies' competitiveness. of telecommunications services and credit crunch means this business model Regulators are worked intensively to its impact on the market in terms of doesn't work anymore and this has left assure that compliance is not forgotten, competition is also an area of concern, them facing huge challenges." and lawyers and clients are noticing adds Carme Briera, Corporate-

Clients are seeking innovative that the authorities, both domestic and Administrative Law Counsel at Clifford technological solutions to improve delivery international, are coming down on any Chance. of their services, build their businesses infraction. And outside the telecoms sector, says and help customers achieve their goals, The current EU Data Protection Alfredo Gomez-Acebo Dennes, Head say lawyers. And with this comes a wave Reform, cloud computing and online of Public, Administrative and TMT at of new needs for lawyers to address, business development, and IT issues are Cremades & Calvo Sotelo, there is great including the increasing requirement to top of the agenda and impact on every interest in the distribution of audiovisual comply with existing TMT regulations. industry. And the Telecoms sector is content over the Internet and the obligation

Privacy and cyber security are the seeing a rise in cases of anticompetitive to pay associated rights.

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TMT REPORT

L 6 Handling data breaches and cyber security are among the biggest issues, not only for telecc operators and companies operating online but for any corporation, as IT is at the heart of the operations of most of these organisations. 9 9 Javier Fernandez-Samaniego Bird & Bird

as China and the US. The Spanish Government

has also proposed reforms to its IP Law to adapt it to recent changes in business models and in the services demanded by users. "It is necessary to introduce measures to encourage the generation of 'lawful' content," says Rafael Garcia del Povo. Partner in the

of privacy, says JoBo Gonqalves AssunqBo, a Senior Associate at Abreu Advogados. "The responses of the judge will be very important from the point of view of individual users of data and their right to privacy."

The 'Cookies' Laws continue to raise issues as companies must obtain users' prior consent to the use of cookies and similar technologies that collect personal data through websites. The laws are unclear as to actual implementation, say lawyers, and operators are more aware of the importance of data compliance, protection and breaches - fines can reach up to €5m.

The fast rate of adoption of cloud computing demonstrates the importance of this new solution, say lawyers, prompting a need for companies to review their systems, third-party provider contracts and security solutions. Cloud computing is liable to generate significant economic benefits for its users, since there are no installation costs but only on a pay-as-you-use basis which reduces economic risk, but raises several issues and concerns regarding data protection, says Leonor Chastre, Head of IP, Media and IT at Cuatrecasas, Gonqalves Pereira, Portugal. "The proliferation of this technology represents a challenge in terms of data protection, due to the risks associated with the lack of control over the data and the lack of sufficient information on how, where and by whom the data is processed."

The future creation of a unified patent system in the EU, with the Unified Patent Court, will also represent a new challenge and a new area of business for legal firms, says Vera Lkia Madeira, Head of TMT at Raposo Bernardo. The rules, due to come into force in January 2014, aim to reduce costs by approximately 80 percent, say lawyers, provide uniform EU-wide protection, and make the EU more competitive with jurisdictions such

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Digital ~ u s i n g ~ ; Department at Osborne Clarke Spain, "as only by developing legal measures related to the management of the so-called 'private copying', the establishment of anti-piracy measures, or addressing a more detailed regulation on rights management entities can we put Spain in a position to compete with the industries of other countries in a globalised economy".

Competitive advantages TMT's principal role for clients is to take advantage of cost efficiencies and reduce company infrastructure costs, increase competitiveness, ease access to users and faster manage customer relations through social media resources and improve productivity and immediateness, explains Heckh at Deloitte Abogados.

Lawyers believe we are on the verge of an industrial revolution, given all the new products and technologies that are flooding the market. And as we rapidly move towards an Internet-based economy, TMT plays a fundamental role in the innovation and growth of any business.

From e-health, e-payments and mobile applications to entire factories and industrial processes being controlled via iPads, tablets or even smartphones - the sky's the limit when it comes to the possibilities for businesses.

TMT now provides unprecedented levels of business acumen to IT-savvy small and individual entrepreneurs, says Luis Manuel Garcia, Corporate Partner at Lupicinio Abogados International Attorneys. "They can use tools that large corporations would have only dreamed of a few years ago, at very affordable prices. And new technologies and tools seem to be appearing every day, for example, the possibilities enabled by Google Glass -like products or by 3D

1 The new 'super regulator' In Spain, a key development is the recent unification of the telecommunications, energy and competition regulators under the National Markets and Competition Commission (CNMC), explains Javier Aparicio, a TMT Partner at Cuatrecasas, Gon~alves Pereira, Madrid.

And the first challenge is to see how the new CNMC will work, and the hope is that the union won't cause any delays or interruptions to the regulator's current work.

"The transition seems to have been carried out quite smoothly," says

Paloma Bru Arce, Of Counsel and Head of Government Regulation (TMT) at Jones Day, Madrid, "however, we feel that there is a risk that the way the different bodies are managed will mean some changes in the criteria applied that could affect the workings of the various bodies."

"The EU wanted a more independent regulator in Spain," adds Torre de Silva at CMS Albiiiana & Suarez de Lezo, "but what we have done with the new Super Regulator is quite the opposite". Lawyers agree that there is a great deal of uncertainty among clients regarding this new regulator, the functions it

assumes and how these will be developed.

The common concerns are the prevailing criteria within the new Regulatory Body - effective regulation and fair competition, says Jose Ramon de Hoces, a Partner at Perez- Llorca, as well as the distribution of powers between the various Governmental TMT Ministries and the new CNMC.

The creation of the CNMC has created huge expectations in the legal I sector.

However, it remains to be seen how exactly it deals with the different TMT sectors, particularly telecoms and media, concludes Ainhoa Veiga, a Partner at Araoz & Rueda.

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TMT REPORT

Printing." Information is likely the most

imvortant asset a comvanv has. And TMT is developing anh p;oviding new tools for the maintenance, management and obtaining of, and more importantly, access to such data, says Ricardo Rodrigues Lopes, a TMT Partner at Caiado Guerreiro. The possibilities of accessing to data everywhere is seen as an important competitive advanta~e, thus the success of

LL Technology is no longer niche, it is transversal, horizontal and

essential to today's economy. All sectors, with more or less intensity,

are affected by TMT. 11 Pablo Gonzalez-Espejo

Uria Menendez m u

the eloud. Lawyers are seeing clients moving from the 'real

economy' to a 'digital' one, with the aim of becoming multinational e-commerce players. And Spanish 'technology natives' - who have technology and innovation in their DNA - have more of a proactive rather than reactive approach, says Belh Arribas Sanchez, Senior Associate in IT and Data Protection at Monereo Meyer Marinel-lo Abogados.

The use of social networks as a way to keep in touch with customers is becoming increasingly popular, even in sectors that were traditionally quite opposed to these communication channels. Twitter, Facebook and LinkedIn have become marketing tools and even sales channels for many companies. "The expansion of cloud computing and SaaS solutions has allowed companies to reduce costs with tools that are easy to use," adds David Miranda, Head of Digital Business at Osborne Clarke Spain. "The use of mobile technology is delivering a competitive advantage to those companies that have rebuilt their business processes to work in a mobile world."

Online shopping has been hugely successful all over the world with customers attracted to the high levels of convenience - as online stores are available 24 hours a day, says Almeida Dias at F. Castelo Branco & Associados, as well as to broader selections, competitive pricing and greater access to information.

Every company wants to reach consumers online at every location (via mobile), says Ricardo Henriques, a Senior Associate in IP/TMT at pbbr, and media and advertising are an essential part of that strategy.

Internet advertising is a fascinating tool, which enables companies to conduct a global campaign at a really low cost, through interacting with future clients

and collecting data about their tastes and priorities, says Mario Embid Ruiz, a TMT Lawyer at Cremades & Calvo Sotelo. And the technology for remote and 'off station' working is more and more in vogue, becoming essential to a company's development and costs control, says Ana Rita Painho, Head of TMT at Anselmo Vaz, Afra & Associados

The development of TMT has enabled companies and individuals to do far better research on the markets and consumer demand. They are therefore able to offer better goods and services to customers, says Vitor Marques da Cruz, Founding Partner at Marques da Cruz e Associados, as well as developing new ones more adapted to the market's needs.

'Digital' is the way forward These are very exciting times we are living in, says Alonso at Avego Abogados, and technological developments have taken us to places we could not even imagine. Constant innovation and excellent client service are key in an extremely competitive environment. And, says Pedro Callol, a Competition and TMT Partner at Roca Junyent, it is probably accurate to say that nowadays virtually no company can survive without technology.

"Technology is no longer niche, it is transversal, horizontal, and essential to today's economy," says Gonzalez-Espejo at Uria MenPndez. "All sectors, with more or less intensity, are affected by TMT."

Companies have clearly understood how technology can be a key differentiating factor in today's global economy, say lawyers, and the clever use of TMT can prove the difference between survival and disappearing altogether. Something that applies in equal measure to today's law firms.

Taking a legal advantage TMT presents a brave new world of privacy, an inside industry perspective oo~ortunities for law firms, says Cocco and a full understanding and passion at bieira de Almeida. "The electronic cqmmunications, media and technology sectors are, by definition innovative, and every day a new product andlor service is launched, raising new and challenging legal questions."

And there are always new challenges that must be adequately explored and tackled by firms with lawyers with the necessary expertise and training, adds Cesar Bessa Monteiro, IT & TMT Partner at pbbr. To do so, law firms need to have teams with highly specialised knowledge in regulation, IP, competition and data

about technology. "Clients don't want legal advice in TMT, they want solutions," says Rubio at Baker & McKenzie. "And so if you have to work with financial advisers or consultants to achieve it then so be it."

In this age of constant and dynamic changes, there are numerous trends and concerns that have emerged in the legal market. "The evolution of technology has transformed production processes to such an extent that it has largely replaced a human workforce," says lgnasi Costas, Head of Innovation and Entrepreneurship at Rousaud Costas

Duran. However, interpreting the law and adapting it to clients' needs continues to be an essentially intellectual task, where creativity, experience and expertise are the differentiators from a technological response.

social networking, e-commerce and the creation of new or development of current devices will be the emerging areas for TMT in the next years, due to the growth of Internet giants such as Facebook, Linkedln, Amazon, Apple, Samsung, etc, says A~varo Marco, Director of Corporate & Commercial at BDO Abogados y Asesores Tributarios, as well as the extension of e-commerce, also among the traditional sellers and distributors and a wide spectrum of consumers.

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Talking 'digital' business

Lawyers are no longer just supplementing existing methods of practice with digital technologies, but adopting a new approach to helping their clients

Digital technologies have become so to set up certain things related to, or intertwined with the traditional economy, with, a digital business, explains Garcia they now require a type of lawyer del Poyo. capable of meeting marketplace needs, "While big companies are looking for says Rafael Garcia del Poyo, Digital lawyers that are productive and business- Business Law Partner at Osborne Clarke orientated enough to accompany them in Madrid. This includes everything in their decisions," he explains, "SMEs from telecommunications, intellectual might just come to you wanting advice and industrial property, e-commerce and on being more compliant with the law hardware acquisition to outsourcing, as they realise that they will be more cloud computing and data protection. competitive and valuable if they do so".

Rafael Garcia del Poyo "When you talk about information technologies, you are talking about The right communication something that is transversal to many Identifying long-term opportunities productive processes and, thus, to many within the digital economy therefore areas of the law," says Garcia del Poyo. requires creativity on the lawyer's part, "This means that lawyers are constantly but often they need look no further than faced with IT law whenever dealing with their current clients. "We like to build a any company or industry." consistent portfolio of digital business

clients, which also includes start-up Knowing your role companies," says Garcia del Poyo, "so The fact that the word 'digital' pretty we accompany them mentoring and much covers everything in business, it providing legal assistance until they reach is imperative that lawyers determine the a certain degree of maturity that allows exact remit of their role in this new way us to charge legal fees according to their of doing business, says Garcia del Poyo. business achievements. Legal compliance

He stresses that he doesn't see himself certainly adds to the market value of a as an 'IT geek', but a normal lawyer who company but this is particularly true in just happens to be a specialist in EU and the global digital economy." international commercial law related to Anticipating the needs of the 1 the sector of information technologies. multinational comes down to providing 1 "But if we are talking about a person who short and precise bursts of advice on 1 is going to be dismissed because they certain matters that facilitate their were found sending inappropriate emails, business interests at the exact moment then that is a matter for labour law and they need it, he adds. "At the end of the I try to provide the client with the most day, they trust you and your legal criteria

LoS abogadoS ya no ven appropriate legal and human resources and sometimes do not need long legal las nuevas tecnologias to solve that particular contingency. It reports but just to know what's going coma alga suplementario becomes a matter of trust." on in the legal arena. So you have to al negocio principal, sin0 However, Garcia del Poyo admits that communicate legal advice in a way that is que estan adoptando his approach and focus in the digital useful to each business purpose." un nuevo enfoque mas economy doesn't just need to be different, Lawyers have been too conventional amplio para ayudar a it needs to be bespoke - every time. "We in the past and now we have to be more sus clientes, comenta never commoditise business for our open-minded, concludes Garcia del Poyo. Rafael Garcia del Poyo clients, because each one is different and "I consider myself a traditional lawyer

~ C , " $ ~ ~ ~ ~ , " tan they come to us with totally different that is also capable of understanding ya tan entrelazadas con la needs - some are multinationals and each clients' business as a part of that economia traditional que others are start-up companies, but the legal advice. I see myself as a part of the ahora requieren un cierto common ground is that they all require complex decision-making and advice tipo de abogado capaz de legal advice." giving process, and a member of the entender las oportunidades That's why for lawyers, the digital business team, not just a mere spectator." y riesgos del nuevo economy is also prompting new ways Against a backdrop of continual entorno econdmico y de of working so that they can fit into change, lawyers in this digital economy mercadO. tecnologias the existing set up, whether it be a de la informaci6n son must therefore not only focus on the

a muchos multinational wanting an active team client's needs and development, but procesos pro~uc~ivos y, member fully engaged in all aspects of also draw on their own experience to go 10 tanto a muchas $reas the business, or small and medium-sized beyond the conventional and become a juridicas. enterprises (SMEs) needing legal advice legal expert who understands business.

44 IBERIAN LAWYER. September I October 2013 www.iberianlawyer.com

TMT REPORT

Technology driving business and law

The law operates at a far slower speed than technology, and the digital age demands greater efficiency to keep up with technological advances Technology is and will continue to be the treatments and the prevention of aging, online main driver of businesses and professions genetics marketplace, quadriplegics using their worldwide, including legal," says Ignasi minds to control robotic limbs and even DNA Costas, one of Rousaud Costas Duran's hackers, among others. "And this shows a future Founding Partners and Head of Innovation that is much closer than we think." and Entrepreneurship. In this competitive scenario, a law firm's

However, the legal demands of this survival and growth depends on two technological paradigm generate countless interrelated factors, he adds. "The firm's economic and social issues, he says, and fundamental legal excellence while attracting lawyers play an indispensable role in helping the brightest minds, and their ability to adapt clients understand them, anticipate problems, to technological advances." iden* potential pitfalls and provide Interdisciplinary intelligence is key to lgnasi Costas

appropriate SO~U~~OIIS. "Understanding moving forwards in the digital economy, but Las normas se desarrollan technology and the innovation that it brings is human knowledge also creates value-added a un ritmo mas lento que key to providing the assistance that the client services in which creativity or innovation are la tecnologia y la era requires." A technology-based society is not just involved, says Costas. "These services still digital exige una mayor the future. "Nowadays, it is quite clear that our have to be provided by a lawyer, and cannot eficiencia para estar al lives centred on mobile devices, and the past yet be automated. However, the legal industry dia, dice lgnasi Costas de five years have changed the mobile industry is no exception, in facing these new changes Rousaud Costas Duran. LOS forever, providing innumerable innovation he says. For example, artificially intelligent abogadosjuegan un papel opportunities, and it is impossible to foresee algorithms have been and are being developed indispensable para ayudar their full potential," explains Costas. There is to anticipate legal-related decisions predicting a 10s clientes a entender, a strong interaction between technology and human behaviours in judicial court. "While it anticipar, identificar 10s medicine, for example - automated health sounds challenging," he concludes, "the reality riesgos potenciales y ofrecer monitoring, the use of big data for cancer is that the best is yet to come." soluciones adecuadas.

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New law igniting film war

After the Government stopped opening production support tenders for new films, the Portuguese film industry is facing a new economic crisis, says Cksar Bessa Monteiro, a Founding Partner of pbbr.

The Film A d has been recently regulated, and contains a provision whereby the Institute for Cinema and Audiovisual (ICA) can earn its own income from financial contributions made by television (TV) networks and operators of paid TV. "They have introduced this Regulation to try and implement a model that could help national producers to create more films, as well as license and export national products," says Bessa Monteiro. "However, none of these TV operators are willing to finance other entities whatsoever."

Despite a compulsory tax of €3.50 per new subscriber, several major Portuguese TV operators have ignored the July 31st, 2013 deadline, and are refusing to pay

approximately €12.5m in tax - money that is said to be essential to the ICA's finances and the future of Portuguese film making, explains Bessa Monteiro.

For Ricardo Henriques, an Associate at pbbr, this looks likely to be a long drawn-out scenario. "The fight between TV operators and cinema producers will probably end up in court, to examine whether the tax actually complies with the law."

Such open opposition continues to Cesar Bessa Monteiro

invite discussion around the vercevtion of

responsibilities, so far there has been little progress to enforce a supposedly compulsory law, Henriques adds.

"In the meantime, this will hurt cinema even more because while some works have enjoyed success, there are now very few successful cinema producers - a true reflection of how the downturn is hitting the cinema sector." Ricardo Henriques

www.iberianlawyer.com September I October 2013 IBERIAN LAWYER 45