Rob Dowler

Corporate Chief Strategist, OCCIO

October 1-3, 2008

Ontario’s Digital Economy Conference

What does a Digital Future Look Like?

“New players, on a new playing field, developing new process and habits for horizontal collaboration.”

Thomas L. Friedman, The World is Flat

• Faster service• Information-rich and multi-

media websites

• User created content and self expression

• File sharing and collaboration

• Uploading and downloading

Online customer support –online chat with another personvia webcam and headsets

The digital society is driving demand and changing expectations

Broadband = Digital Economy• Ontario’s service producing industries, which include ICT,

financial services, new media and entertainment, contributed $363 billion (in 2002 dollars) to Ontario’s GDP in 2007.

• In 2005, Canada’s ICT sector accounted for nearly 6% of the country’s GDP, with ICT services alone accounting for 5%.

• Business access in Ontario has increased from 68 per cent in 2001 to 92 per cent in 2007.

• A 2004 CIBC report identifies that small and medium enterprises with broadband have more than twice the revenue of others.

• In 2007, 87 per cent of Ontario’s businesses had broadband access to the Internet compared to 27 per cent in 2001.

Ontario’s Current Context

• Ontario still has areas without access to high-speed broadband technology.

• Ontario’s urban centres are falling behind as capacity as well as citizens’ and businesses’ demand for faster bandwidth and content-rich applications grows.

• Ontario risks being left behind in the wake of leading broadband jurisdictions developing aggressive and interventionist broadband public policy.

• Government leadership and a coordinated response are critical to regain lost ground and move forward.

Challenges in a Digital Economy

• Global competition for investment, jobs and skilled workers.

• Mobile investment and workforce.

• Transitioning from an industrial economy to a knowledge economy.

• Moving to a “green” economy.

What is Ontario Doing? $40 million over the next five years to deploy broadband to rural

areas in southern Ontario: $30 million was recently announced in the March 25, 2008 provincial

budget $10 million was announced in 2007 and has been allocated to 18 rural

communities through the Rural Connections program and to strategic research initiatives

The Northern Ontario Heritage Fund Corporation has allocated $30 million over 3 years to address cellular ($15 million) and broadband ($15 million) access gaps in northern Ontario

$1.5 billion over three years in the Government of Ontario’s Skills to Jobs Action Plan

Over $1 billion throughout the next five years in the Next Generation of Jobs Fund

OMAFRA: 2007 Rural Connections Program

Rural Connections …The Ontario Municipal Rural Broadband Partnership Program is making progress in closing broadband infrastructure gaps by committing funding for selected unserved/partially served areas within the following 18 municipalities in rural southern Ontario.

• County of Elgin• County of Hastings• County of Perth • Regional Municipality of Durham• County of Peterborough • Township of Dawn-Euphemia

(Lambton County)• City of Kawartha Lakes • County of Grey• Huron County • Township of South Glengarry• Town of Georgina • Township of North Glengarry• County of Dufferin • Lanark County• City of Kingston • County of Haliburton• United Counties of Leeds & Grenville • Town of Milton

What does Ontario Need to Succeed in a Digital Economy and Society?

Conditions for Success in a Digital Economy

Digital Skills and Literacy

4. Digital citizens and businesses

6. Digital inclusion

5. Digital government and communities

1. Affordable, accessible broadband

2. Next generation infrastructure

3. Innovation in a digital economy

Digital Infrastructure Capacity

Ontario’s Digital StrategyStrategic Research Findings

What is Digital Infrastructure Capacity?

• Broadband infrastructure that supports the growingdemands of a digital economy and society.

• The use of information and technology to create wealth and to innovate.

• Strategic partnerships that leverage telecommunications assets to plan for future needs.

Digital Infrastructure Capacity

Research Focus Area 1: Affordable and Accessible Broadband

Country 2006 Average Residential Speed Available (Mbps)

2006 Average Cost ($US)

Japan 48.8 $37.13

South Korea 29.0 $40.98

Sweden 16.4 $41.57

France 10.3 $35.35

Italy 10.1 $35.46

United States 7.8 $53.21

United Kingdom 6.0 $45.03

Canada 5.8 $50.83Australia 5.6 $54.50

New Zealand 3.5 $49.17

[1] OECD, Communications Outlook, December 2007

Canada Compared to Other OECD countries: Average download speed and cost per month

Digital Infrastructure Capacity

To provide Ontarians with affordable, accessible and reliable broadband

Research Focus Area 2: Next Generation Infrastructure

Digital Infrastructure Capacity

To prepare Ontarians for the technological changes that drive the digital economy

Research Focus Area 3: Innovation in a Digital Economy

Digital Infrastructure Capacity

To lever broadband technology to bring new ideas, products and services to the market that create economic opportunities for Ontarians and support a wide range of competitive industries

• Supports world-class research

• Strengthens Ontario’s ICT industries

• Helps attract and retain knowledge workers

Digital Skills and Literacy

What are Digital Skills and Literacy?

• Human capacity, behaviour and knowledge related to broadband use.

• Confidence and trust using broadband technologies and tools, e.g., the Internet and Web 2.0 .

• Skillful use of technology to play, learn, socialize and work.

• An understanding of the social and economic benefits of broadband.

Web 2.0requires new skills and literacy

Web 3.0 is coming

To create talented and skilled citizenry and workforce with the confidence to use digital infrastructure to achieve social and economic benefits

Research Focus Area 4: Digital Citizens and Businesses

Digital Skills and Literacy

Research Focus Area 5: Digital Government and Communities To improve public sector service delivery and the quality

of life for Ontarians

Digital Skills and Literacy

Research Focus Area 6: Digital Inclusion

Type of User by age group, 2005

To encourage full participation in the digital economy by addressing critical socio-economic digital divides

Digital Skills and Literacy

A Digital Economy and SocietyNeeds Full Participation

• Governments, local communities, businesses, citizens and community groups are also planning for a digital future.

More effective if we all work together.

Digital Ontario Website