THE PORTUGUESE DIGITAL AGENDA:USING TECHNOLOGY TO CHANGE A COUNTRY

WHY A DIGITAL AGENDA?

“...when the sea was calmall boats alike show’d mastership in floating...”

Shakespeare, Coriolanus, Act IV, Scene I

“Uncharted waters ahead”Pierre Wack, HBR, 1985

WHAT HAS CHANGED?

THE WORLD HAS BECOME TRULY GLOBAL

THE WORLD HAS BECOME (MORE) UNPREDICTABLE

THE WEB IS CHANGING THE RULES OF CHANGE

A “NET GENERATION” HAS REINVENTED THE WEBWeb 1.0 Web 2.0

• Browse (Yahoo!)• Publishing (Britannica Online)• Download (mp3.com)• Mass advertising

(DoubleClick)• One to many (Akamai)• Static contents

(personal homepages)• Centralised content management

(CMS)• Taxonomy of contents

(directories)• Contents scattered over several web

pages (HTML)• Unique visitors & pageviews

• Search (Google)• Participation (Wikipedia)• Share (Napster)• Context Ads

(Google AdSense)• Many to many (BitTorrent)• Dynamic contents, continuously updated

(Blogs/Twitter)• Shared and open editing

(Wikis)• Folksonomy

(tags)• Syndicated contents

(RSS feeds)• Community members

(Hi5, Facebook, LinkedIn, etc.)

Adapted from http://www.oreillynet.com/pub/a/oreilly/tim/news/2005/09/30/what-is-web-20.html

...USING NEW WAYS TO COMMUNICATE AND SHARE

THAT GENERATION IS CHANGING THE WORLD

Stewart Brand

BUT CHANGE COMES IN DIFFERENT FLAVOURS...

NEW TECHNOLOGIES TRIGGER FASTER CHANGE

50kbps 500kbps 8Mbps 50Mbps

Phone line

Cable

Mobile networks

Next Generation Networks

Dial-up

Cable modem (DOCSIS/CDLP)

GSMGPRS

FTTH

3GUMTS

3.5G 4G

ADSL ADSL2/2+ VDSLVDSL2

100Mbps

FTTB/C

CollaborationInformationInteraction

AnywhereAnytime

With anyone

KNOWLEDGETECHNOLOGYINNOVATION

WHY A DIGITAL CHANGE AGENDA FOR PORTUGAL?

PORTUGALArea: 92,391 sq km

Population: 10,707,924 (July 2009 est.)Age structure: 0-14 years: 16.3%; 15-64 years: 66.1%; 65 years and over: 17.6%*

Population growth rate: 0.275%*Birth rate: 10.29 births/1,000 pop.*

Death rate: 10.62 deaths/1,000 pop.**Net migration rate: 3.14 migrant(s)/1,000 pop.*

Infant mortality rate: 4.78 deaths/1,000 live birthsLife expectancy at birth: 78.21 years

Total fertility rate: 1.49 children born/woman**2009 est. **2008 est.

(source: CIA - The World Factbook)

Following its heyday as a global maritime power during the 15th and 16th centuries, Portugal lost

much of its wealth and status with the destruction of Lisbon in a 1755 earthquake, occupation during the Napoleonic Wars, and the independence of its

wealthiest colony of Brazil in 1822. A 1910 revolution deposed the monarchy; for most of the next six decades, repressive governments ran the country. In 1974, a left-wing military coup installed

broad democratic reforms. The following year, Portugal granted independence to all of its African colonies. Portugal is a founding member of NATO

and entered the EC (now the EU) in 1986.(source: CIA - The World Factbook)

IN 2005, ECONOMIC GROWTH WAS SLOW

3,9%

2,0%

0,8%

-0,8%

1,5%

0,7%

2000 2001 2002 2003 2004 2005

GDP GROWTH (%)

PORTUGAL NEEDED TO CHANGE

•With the Euro currency, it became impossible to sustain competitiveness by devaluating the currency

• The Pact for Stability and Growth limited the possibility of using public expenditure to sustain growth and jobs

• The enlargement of European Union brought new competitors to the same playing field

•Globalisation made it impossible to compete based on low wages

PORTUGUESE CONSUMERS WELCOME CHANGE

Source: Ericsson ConsumerLab 2008

PORTUGAL NEEDED A DIGITAL AGENDA TO TURN

TECHNOLOGICAL CHANGE INTO AN ECONOMIC

OPPORTUNITY

WHAT DIGITAL CHANGE AGENDA FOR PORTUGAL?

An action plan, whose coordination reported directly to the Prime Minister (2005-2009),

getting the whole Government as well as

private partners involved in making it

happen

KNOWLEDGEqualified individuals

INNOVATIONa competitive society

TECHNOLOGYflexible communities

A DIFFERENT KIND OF PLAN WAS REQUIRED...

Condition for the economic

activity

Economiccompeti-tiveness

Scientific and Technological InfrastructureQualifications &

Human Resources

Network society

Entrepreneurship

Financing Systems

A DIGITAL AGENDA ABLE TO EVOLVE AND ADAPT

78112 113 117 120

142163 176

11/200507/2006

11/200607/2007

11/200707/2008

11/200807/2009Initiatives 100% in the field

SCIENTIFIC DEVELOPMENT

QUALIFICATIONS

BETTER ADMINISTRATION

LESS BUREAUCRACY

INNOVATION NETWORKS

DIGITAL DIVIDE

Partnerships with the MIT, CMU, Harvard, Austin, Fraunhoffer, etc.

“New Opportunities” to enroll 1 million people in lifelong learning

Rising from 16th to 3rd in the EU ranking of online public services availability

“On the spot firm” to create a company in less than one hour

Public initiatives for collective efficiency embedded in Structural Funds support

Providing access and training to those excluded from the information society

SIX MAINFOCUS FOR CHANGE:

BRIDGING THE DIGITAL DIVIDE: EDUCATION 2.0

IN 2005, 6 IN EVERY 10 FAMILIES DID NOT HAVE A PC

58%11%

11%

20% Households with no

computer at home

2005: Technology usage in Portuguese households (%)

Computer with

broadband Internet

Computer with

broadband Internet

Computer with no

connectionSource: INE, 2005

WHAT IS IT?

• The “e-escola” is a public programme, funded through a public-private alliance with the 3G telecom operators (it was part of their licence agreements to promote the information society)

• The “e-escola” programme is framed in the Portuguese Government’s Technological Plan as the key initiative to bridge the Digital Divide

LAUNCHED IN JUNE 2007

• The “e-escola” programme makes available for the subsidised price of 150€ (about US$200) a cutting-edge laptop to 750.000 people:

• Students from the 5th to the 12th year of schooling, 10 to 18 y.o.

• Teachers of primary and secondary education

• Adults involved in lifelong learning

• The laptop comes bundled with software, training and mobile broadband at a discounted rate (17,5€ per month) for 2 years

• Expanding the “e-escola” initiative, the Portuguese Government announced in July 30th 2008 a strategic partnership with Intel to develop the Magalhães initiative.

ONE STEP FURTHER:

• Introducing the Magalhães laptop, made in Portugal based on the Intel Classmate platform (1GB RAM, 30GB HD, 8.9” LCD)

•Making it available to the 500.000 students enrolled in primary education, who pay 0 to 50€ for the laptop

ONE STEP FURTHER:

• In October 2008, Microsoft joined the “Magalhães Alliance”, unveiling the Magalhães Software Suite

• "This is a unique, amazing and wonderful program on a global scale" Steve Ballmer

ONE STEP FURTHER:

1 MILLION LAPTOPS DELIVERED SINCE 2007-07

235 000415 000

500 000590 000

140 000

300 000

370 000

2008-07 2008-12 2009-03 2009-06

Laptops delivered by thee-Escola Programme

Source: MOPTC

e-escola e-professor e-oportunidadese-escolinha

AN INDEPENDENT VIEW...

http://tinyurl.com/obamapt

Public initiatives Private initiatives

WORKING TOGETHER FOR THE DIGITAL INCLUSION

Web-enabling the whole education system, updating teaching and learning strategies to this new connected world: Education 2.0

•

(broadband-connected laptops for over 1 million teachers, students and adults in lifelong learning)

•Technological Plan for Education(400M€ to develop the schools’ technological infrastructures and upgrade teachers’ skills)

•Nation-wide broadband coverage

•IT Academies promoted by the industry

•Digital literacy development

EDUCATION 2.0 IS BEGINNING TO UNFOLD...

• Technological resources have become widely available at Portuguese schools

• The next step is to ensure the involvement of teachers in the redesigning of their role using the new available teaching tools 0

5

10

15

20

18

5,62005

2009

Students per PC ratio

Source: Portuguese Ministry of Education

SOME FIGURES TO ILLUSTRATE THE IMPACT OF THIS

DIGITAL AGENDA

INTERNET ACCESSComputer, Internet and

Broadband in Portuguese households (%)

Conventional (ADSL+Cable) Mobile

0%

5%

10%

15%

20%

25%

13% 14% 14% 14% 14% 14% 15% 15%

8% 9%11%

13%

16%18% 19%

22%

1T072T073T074T071T082T08 3T08 4T08

Conventional and Mobile Broadband penetration (% of total population)

Source: INE Source: ANACOM

0%

15%

30%

45%

60%

12%20% 24%

30%

39%46%

26%31% 35%

40%46% 48%41% 42% 45% 48% 50%

56%

20042005

20062007

20082009

Broadband Internet Computer

QUALIFICATIONS AND LIFELONG LEARNING

47,9%

49,6%49,0%

49,6%

53,4%

54,3%

2003 2004 2005 2006 2007 2008

Secondary level education attainment among 20-24 y.o. (%)

Source: Eurostat

54 972 77 246

298 060

516 000

772 521

2005 2006 2007 2008-102009-06

Adults enrolled in the New Opportunities lifelong learning

Source: MTSS

INVESTMENT IN SCIENCE AND TECHNOLOGY

1 0821 116

1 272

1 701

20052006

20072008

Public Budget for R&D(Million Euros)

1 194

1 6211 831

2005

2006

2007

Doctorate scholarships granted

Source: MCTES Source: FCT - MCTES

CONDITIONS FOR THE ECONOMIC ACTIVITY

78 78

54

8 7 6

2003 2004 2005 2006 2007 2008

Number of days required to open a business

397 319

792 227

30-04-200702-10-2007

10-2008

Simplified Information for Companies (issued declarations)

Source: MJSource: World Bank

ECONOMIC COMPETITIVENESS

Technological Balance of Payments

Income of theTechnological Balance

Values in millions of Euros for the first semester of each yearSource: Banco de Portugal

-231-168 -151 -175

-102

24 38 51

2002200320042005 2006 2007 2008 2009

169 164198 196

368

453

573

644

2002 2003 2004 2005 2006 2007 2008 2009

IS THE PORTUGUESE EXPERIENCE RELEVANT TO

OTHER COUNTRIES?

WHAT IS UNIQUE ABOUT THE PORTUGUESE INITIATIVE?

• The political priority given in Portugal to its Digital Agenda resulted from the vision of a determined Prime Minister, who has been rolling out his strategy for the past 4 year

• The main source of funding to the programme (commitments established when the 3G licenses were granted) is not commonly available

WHAT CAN BE REPLICATED, THEN?

• The Portuguese initiatives demonstrates the viability of the business model of subsidising connected laptops by telecom operators (like they do with handsets).

• The “e-escola” initiatives, particularly Magalhães, can also show the deep impact of the massive use of technology in the classroom.

• The format of a public-private alliance can be reproduced, gathering key stakeholders for connectivity, hardware and software.

KNOWLEDGE, TECHNOLOGY AND INNOVATION ARE KEYS

FOR A BETTER FUTURE

RUI GRILOFORMER DEPUTY COORDINATOR OF THE

PORTUGUESE GOVERNMENT’S TECHNOLOGICAL PLANDOCTOR OF MANAGEMENT IN ORGANISATIONAL CHANGE

RUI.GRILO@MAIL.TELEPAC.PTWWW.IDEASWORTHSHARING.NET

WWW.TWITTER.COM/RGRILO