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Begin New Search Topic Digital Economy Author Oscar du Roy

1. Quantum Technology: A Policy Primer for EU Policymakers

Author:
Oscar Guinea, Dyuti Pandya, Oscar du Roy, and Andrea Dugo
Publication Date:
01-2025
Content Type:
Policy Brief
Institution:
European Centre for International Political Economy (ECIPE)
Abstract:
Quantum technology is rapidly emerging as a transformative force with the potential to reshape industries ranging from finance and pharmaceuticals to automotive and aerospace. In 2024 alone, investments in quantum technology reached over USD 56 billion. Its development, however, presents unique geopolitical challenges, stemming from its applications in defence and encryption, as well as its power to unsettle established comparative advantages and market specialisations across countries. Against this backdrop, an open and collaborative approach to quantum innovation is critical for maximising the benefits of this technology. Countries perform more effectively in quantum technology when they support cross-border collaborations and market specialisation. Firms producing quantum hardware or software solutions can sell to a range of industrial users who, in turn, integrate these cutting-edge systems into goods and services. Such synergy reduces the overall risks and costs of R&D, as different partners share both the financial burden and any uncertainties related to the commercial viability of quantum applications. Moreover, collaboration fosters a wider diffusion of quantum technologies. As firms specialising in quantum computing, communication, or sensing deepen their expertise, their insights permeate adjacent sectors through the shared knowledge enabled by joint collaborations. Conversely, restrictive policies that limit interaction between domestic and foreign firms risk stifling innovation. Self-reliance strategies reduce opportunities for knowledge-sharing, limit the pool of potential partners, and ultimately slow the pace of quantum breakthroughs. This operating framework supports the current EU approach to quantum technology, which emphasises openness and encourages a higher number of collaborations between EU and non-EU companies. This approach is grounded in economic realities: the EU ranks second only to the US in terms of the number of companies and collaborations between firms and it thrives on partnering with non-EU countries as the number of collaborations with companies outside the EU far exceeds the number of collaborations within the EU.
Topic:
European Union, Digital Economy, Digital Policy, and Quantum Computing
Political Geography:
Europe

2. Benchmarking Quantum Technology Performance: Governments, Industry, Academia and their Role in Shaping our Technological Future

Author:
Fredrik Erixon, Andrea Dugo, Dyuti Pandya, and Oscar du Roy
Publication Date:
03-2025
Content Type:
Policy Brief
Institution:
European Centre for International Political Economy (ECIPE)
Abstract:
In this study on the transformative potential of quantum technology in reshaping economies, we present results and evidence drawing on a unique and innovative quantum dataset compiled by ECIPE. This data offers new insights into the current state of quantum advancements. This comprehensive database sheds light on the roles of various actors – governments, industry, and academia – showcasing their contributions to the development of quantum technologies. By grounding the analysis in real data, we provide a clearer understanding of the dynamics at play, enabling stakeholders to assess the sustainability of quantum technology progress and foster an ecosystem that supports both public and private sector involvement.
Topic:
Science and Technology, Digital Economy, Private Sector, Industry, and Quantum Computing
Political Geography:
Global Focus

3. Regulating the Working Conditions of Platform Work: What Can We Learn from EU Member States?

Author:
Oscar Guinea, Elena Sisto, and Oscar du Roy
Publication Date:
01-2024
Content Type:
Policy Brief
Institution:
European Centre for International Political Economy (ECIPE)
Abstract:
Policymakers in Estonia, France, Greece, and Spain share the common objective of enhancing the working conditions of platform workers. However, variations in their labour markets, legal frameworks, and political landscapes have led to four distinct approaches in achieving this goal. Predominantly, the Spanish regulation has been geared towards attempting to reclassify platform workers from self-employed to employees. In contrast, the regulatory strategies in France and Greece have focused on retaining the sector within the realm of independent work, while simultaneously improving the working conditions of platform workers. Estonia adopted a broader perspective, emphasising the enhancement of working conditions for all freelancers, not exclusively those categorised as platform workers. This Policy Brief offers a comprehensive evaluation and comparison of the regulatory frameworks governing platform work in four European countries. The comparative analysis draws upon research conducted by the OECD and the World Economic Forum (WEF) on the principles of good regulation. Adapting this research to the context of digital platforms, three key principles for assessing the regulation of working conditions on these platforms were identified: (i) the consistency with the policy objective of improving the working conditions of platform workers; (ii) the feasibility of implementing the regulatory requirements; (iii) the presence of regulatory dialogue and appeal mechanisms. The evaluation of the four countries’ regulations against the three outlined principles offers valuable insights into the regulation of platform work. In Spain, the primary aim of the regulation regarding platform workers was not solely the improvement of working conditions but predominantly the reclassification of platform workers from self-employed to employees. This distinction is crucial, as platform workers highly value the benefits of self-employment, such as access to work, income opportunities, flexibility, and autonomy. Evidence presented in this study suggests that a majority of Spanish delivery workers preferred to maintain their self-employed status, while only about one-third expressed a desire to be classified as employees. Moreover, the Spanish regulation is characterised by a broad formulation of the conditions defining employment for digital delivery workers. This lack of specificity has led to an uncertain application of the regulation, with digital platforms adopting diverse strategies to achieve compliance. Ultimately, the Spanish regulatory framework has been marred by a profound disregard for the interests of, and a notable lack of communication with, those directly impacted by the regulation: the digital platforms and the platform workers. Greece has demonstrated that it is possible to enhance working conditions for platform workers while preserving the advantages of self-employment. The Greek regulation mandates that digital platforms adhere to the same welfare, health, and safety obligations for platform workers as they would for employees. Additionally, Greece has established clear criteria to define the presumption of self-employment for platform workers. This clarity offers legal certainty and enabled platform workers to accurately assess their employment status. Consequently, there has been a notable reduction in court cases regarding the classification of platform workers. France has progressively developed a comprehensive legal framework that has systematically enhanced the rights of platform workers. This development culminated in six pivotal agreements, addressing some of the most challenging aspects of working conditions on digital platforms, such as account deactivation and minimum revenue. These agreements were reached under the auspices of the Autorité des Relations Sociales des Plateformes d’Emploi (ARPE), a public entity instrumental in facilitating effective social dialogue between digital platforms and trade unions. The establishment of clear administrative procedures governing the negotiations within ARPE has been crucial in formulating measures that digital platforms can effectively implement. Estonia’s primary focus is on ensuring adequate working conditions for all freelancers, including platform workers. A considerable number of platform workers in Estonia engage in a contract-for-services (töövõtuleping) with digital platforms. This contract offers a social safety net, including unemployment benefits, sick pay, and healthcare services, while retaining the self-employed status of platform workers. Moreover, this framework provides clarity regarding the rights and responsibilities of both platform workers and digital platforms, facilitating the implementation of a clear and unambiguous regulatory system.
Topic:
Labor Issues, European Union, Regulation, Digital Economy, and Labor Market
Political Geography:
Europe

4. Openness as Strength: The Win-Win in EU-US Digital Services Trade

Author:
Matthias Bauer, Dyuti Pandya, and Oscar du Roy
Publication Date:
03-2024
Content Type:
Policy Brief
Institution:
European Centre for International Political Economy (ECIPE)
Abstract:
The discourse surrounding the EU’s supposed over-reliance on digital services imports from non-EU countries, particularly the US, has been a recurrent topic among some political circles. However, this viewpoint tends to oversimplify and misrepresent the nuanced and complex reality of the EU’s status within the global Information and Communication Technology (ICT) sector and digitally enabled trade. A thorough analysis of trade data and trends clearly illustrates that the EU’s engagement with foreign (non-EU) digital services, notably from the US, represents a strategic economic advantage, bolstering Europe’s competitiveness and fostering productivity growth. Below we underline the critical importance of openness to foreign innovation and technology diffusion for the EU’s economic future.
Topic:
European Union, Digital Economy, Strategic Competition, Imports, and Productivity
Political Geography:
Europe, North America, and United States of America

5. Future-proofing the EU’s Investment Attractiveness: A Bold Reform Agenda for Competition Enforcement, Taxation and Digital Policy

Author:
Matthias Bauer, Dyuti Pandya, and Oscar du Roy
Publication Date:
07-2024
Content Type:
Working Paper
Institution:
European Centre for International Political Economy (ECIPE)
Abstract:
Reducing the deterrent effects from EU and Member State laws in three key cross-sector policy areas – competition policy, business taxes and VAT, and digital policies – could significantly enhance the business environment within the Single Market and boost the EU’s attractiveness to both domestic and foreign investors. The EU’s future competitiveness is at risk due to a significant disparity in investments, particularly in technological innovation, compared to the US. Despite having a larger population and labour force, the EU lags behind in large business activities, with US firms consistently outspending their European counterparts in key tech-intensive sectors such as software, computer services, pharmaceuticals, and biotechnology. Moreover, China and other emerging nations are rapidly catching up, dramatically diminishing the EU’s relative economic and political influence on the global stage. The urgency for the EU to bridge these gaps is more critical than ever (Section 2). The EU’s profound investment gap highlights a systemic advantage for the US in fostering innovation and economic growth. The EU’s regulatory complexity, largely driven by legal fragmentation in horizontal policies, further exacerbate the situation, deterring cross-border activities reducing the region’s attractiveness to global investors (Section 3).
Topic:
Markets, Reform, European Union, Digital Economy, Investment, and Digital Policy
Political Geography:
Europe

6. Enhancing Technology Diffusion in the EU amid Tough Structural Challenges

Author:
Matthias Bauer, Elena Sisto, and Oscar du Roy
Publication Date:
09-2024
Content Type:
Working Paper
Institution:
European Centre for International Political Economy (ECIPE)
Abstract:
To remain globally competitive, the EU must empower firms to adopt the best technology solutions available on global markets. Building on a strong tradition of innovation, the EU relies on corporations across industries to drive the diffusion of technology through the commercialisation of technological innovations. Technology diffusion is crucial for embedding new technologies into society and is essential for sustaining industrial competitiveness. EU and Member State governments must prioritise enhancing the EU’s “diffusion capacity” – the ability to effectively spread and adopt innovations across Member States.
Topic:
Science and Technology, European Union, Digital Economy, and Services
Political Geography:
Europe

7. Merger Policy, Competition and Innovation Leadership: Implications for the UK’s Investment Attractiveness

Author:
Matthias Bauer, Oscar du Roy, and Vanika Sharma
Publication Date:
10-2023
Content Type:
Policy Brief
Institution:
European Centre for International Political Economy (ECIPE)
Abstract:
The UK’s competition regulator has adopted hard-sitting views in its assessment of transnational mergers and acquisitions. Since 2019, the Competition and Markets Authority (CMA) has blocked a historic 59% of all mergers that were under investigation, which is double compared to the previous five years. With increased competence to set conduct requirements for large technology companies, aggressive enforcement by the CMA risks undermining Britain’s ambitions to become a leader in global trade, technology, and innovation.[1] Acquisitions in the technology sector have increasingly been scrutinised by competition authorities over the past decade, often based on the hypothesis that transactions involving large multinational companies tend to be anti-competitive. Authorities’ concerns are based on theories about post-acquisition market structures and the impacts of “killer acquisitions”. While their theories lack empirical justification, competition authorities have increasingly quoted them to assess cases through an ideological lens. Indeed, investigations into acquisitions show that competition authorities can come to markedly distinct conclusions when assessing the impacts on competition over time, especially in technology-intensive industries. The premise that acquisitions of small rivals by large tech companies inherently result in decreased competition lacks solid empirical evidence. Competition authorities often fail to adequately consider efficiency criteria and the resultant benefits for consumers. The proposed acquisition of Activision Blizzard, a video game maker, by Microsoft is a case in point. The UK CMA had initially found that the acquisition would reduce competition in gaming markets. EU and US competition regulators, by contrast, have cleared the transaction, highlighting the uncertain nature of merger review results for international transactions. Large multinational technology companies are major sources of innovation and productivity growth. The services they provide are increasingly pervasive across developed market economies, promising large productivity gains. Small, medium, and young companies in high-tech sectors are also important sources of innovation and productivity growth and, therefore, major targets for investment. Ideologically charged competition enforcement would have a negative impact on the UK’s investment attractiveness. The prospect of an innovative and commercially successful company being taken over by another company is an important precondition for investors to make early-stage and continued seed capital investments. Acquisitions also play an important role in driving investments in business growth and internationalisation. By contrast, there is no hard evidence to support the presumption that acquisitions by major tech companies result in decreased competition. A continuation of aggressive merger enforcement by the UK CMA would undermine investments in innovation-driven UK businesses and reduce access to funding for British venture capital-backed start-ups.
Topic:
Digital Economy, Leadership, Investment, Innovation, and Economic Competition
Political Geography:
United Kingdom and Europe