As the economy shows increasing signs of recovery
and growth, many Internet companies see overseas markets as the next stage of
that growth. But to fully realize that growth for the technology industry, laws
would need to be modernized so companies can expand trade deals rather than
lawsuits.
This matters because the tech industry is a bright
spot in the economic recovery. Existing research indicates that the Internet
accounted for 21 percent of the GDP growth in mature economies, during a
five-year span, with 75 percent of the benefits captured by companies in more
traditional industries.
The Computer & Communications Industry
Association (CCIA), which has promoted open markets for the technology industry
for 40 years, released a research
paper Monday that shows how harmonizing liability rules can help ensure
open markets. The paper outlines the legal landscape in various countries and
the policies that could hamper growth of technology companies and the small
businesses in other industries that utilize the Internet for commerce.
The following can be attributed to CCIA Vice
President Matt Schruers:
“A key barrier to 21st century trade is
not other nations protecting domestic products, but 20th century
policies that perpetuate outdated liability rules not reasonably tailored for
the Internet era of cross-border commerce.
“It is also worth noting what’s right: some
governments have recognized that unreasonable liability rules would impede Internet
innovation, and have taken steps to ensure that technology growth is not
hindered. Modern trade policy must
promote rules that enable companies to respond to complaints about Internet
content, without fears of unreasonable liability.”
The following can be attributed to CCIA Policy
Counsel Ali Sternburg:
“Many Internet companies see overseas markets as
key to economic growth. But to
fully move into those market opportunities, liability laws will need to be
updated so companies are growing sales of products and services – not
increasing their exposure to lawsuits for activities that are legal in many
countries. There are legal actions
and interpretations of laws in countries including Belgium, Germany, France,
Italy, and throughout Asia that could slow the growth of both domestic and
international tech companies.
“To make Internet information more available and
searchable, laws must make it clear that indexing and using snippets is ‘fair
use,’ and therefore not copyright infringement, and provide safe harbors to
limit services’ liability for user conduct and content. In the absence of changes to
international trade policy, liability risks will delay the growth of Internet
commerce and imperil jobs.”
