Bid to help Europe cash in on Internet

Date: 11/05/2000

By Peter Chapman

INFORMATION society chief Erkki Liikanen is poised to unveil plans for a multi-million-euro drive to boost the amount of European content on the world wide web.

The move comes amid fears that European companies, particularly small and medium sized firms, are missing out on the Internet revolution - and its massive earnings potential - while US firms such as AOL/TimeWarner continue to dominate.

A spokesman for Liikanen said a key part of the programme would involve providing web-content firms with information about how to finance their projects and seek help from venture capitalists.

The Commission will also propose a new, improved system to smooth the way for firms to gain copyright clearance from rights-holders for using works such as music, video and art clips in their products or online services. Projects aimed at boosting the presence of content using the EU's lesser-spoken languages will also be targeted.

However, aides to Liikanen say the budget for the programme has yet to be decided as the Commission strives for a formula which will not run into opposition from northern member states, which tend to balk at lavish Union spending programmes, while still giving the scheme "critical mass".

They argue, however, that EU leaders gave the Commission the go-ahead in principle for more initiatives to boost Internet content at the 'dotcom' summit in Lisbon in March. "It is our impression that Lisbon will open the way for us," said one official, adding: "The ball-park figure for the budget is between €100 and €200 million."

Angela Mills, executive director of the European Publishers' Council, welcomed the move, adding that it would be particularly helpful to small companies.

"A lot of big publishers are ahead of the game. They are already investing a massive amount in the Internet and have mega programmes in place re-organising their activities," she said.

The initiative comes ahead of a raft of other planned measures aimed at boosting the EU's Internet and communications capabilities in the face of tough competition from US and Far Eastern rivals due to be unveiled next month.

Liikanen has just published a recommendation urging national telecoms regulators to call on operators with big local networks to offer rival operators 'unbundled' access to the copper wire - known as the local loop - which runs directly into customers' homes and office premises. He hopes to follow this up by launching the next round of directives modernising the EU's 1998 telecoms liberalisation package in June. The Finnish Commissioner also hopes to clinch an agreement with other players in the global Internet community which would allow Europe to set up its own '.eu' domain name for Internet and e-mail addresses.

Information society chief Erkki Liikanen is poised to unveil plans for a multi-million-euro drive to boost the amount of European content on the world wide web.