Innovation Taking Center Stage in EU Policy by ProQuest


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									                                             Entertainment and Design conference       sectors open to foreign investment,”
China market to pre-install software
                                             in Long Beach, California. “We also       he says, “China remains a market of
designed to block access to websites
                                             provided notification when the local       massive potential rather than
that the government deems to be
                                             laws prevented us from showing            massive profits.”
illegal, although technical difficulties
with the software quickly forced a           information, and local competitors                       Peter Gwynne,
climb-down from that policy. At              followed suit.” But after the Beijing                    Contributing Editor
around the same time, the government         Olympics in 2008, Brin said, the                         Boston, Massachusetts
cut off all internet access in the           situation deteriorated rapidly.                
Xingjiang autonomous region in               Few analysts, therefore, expressed
China’s far northwest after a series of      surprise at Google’s complaint that it
riots involving the local Uighurs and        had been subjected to what it
the Han Chinese who dominate other           perceived as government interference.
parts of the country.                        Observers note that Chinese
Anxiety about the behavior of Chinese        institutions such as Shanghai’s
authorities has extended beyond              Jiaotong University have the
computer-related issues. In February,        capability to carry out sophisticated
a Shanghai prosecutor indicted four
employees of the Anglo-Australian
                                             cyber-attacks. Nevertheless, the
                                             Chinese government has denied any         Innovation Taking Center
mining company Rio Tinto, including
an Australian citizen. The charge:
                                             assertion that it has hacked into
                                             Western companies. It has countered
                                                                                          Stage in EU Policy
accepting bribes and stealing trade          with its own charge that its computer
                                                                                        If names are any indication,
secrets during negotiations over the         systems containing secret data are
                                                                                        innovation has risen to the top of
price of Australian iron ore that            being hacked by foreign companies
                                                                                        European Union policy agenda. The
China needs to feed its steel mills.         and intelligence agencies.
                                                                                        word can now be found inserted
Political analysts have suggested that       Some prominent technologists see           between science and research in
the indictments represent a ploy to          hacking and counter-hacking as             the recently renamed Science,
persuade Rio Tinto to improve the            inevitable parts of the computer           Innovation and Research Directorate
conditions of the planned sale—or            business. “People are always trying to (formerly the Science and Research
punishment for its refusal to do so.         break into other people’s data,”           Directorate). It is firmly anchored in
Nevertheless, the cyber attacks have         Microsoft’s co-founder Bill Gates told the name of the new European
the most relevance for Western               an interviewer on ABC’s Good               Institute for Innovation &
high-tech firms doing or planning to          Morning America. “There’s always           Technology (EIT), and it will be the
do business in the Middle Kingdom.           somebody trying to break into              entire focus of the planned new
“If the government is behind the             Microsoft. . . . Chinese efforts to censor Innovation Act.
spying, which most observers feel is         the internet have been very limited,”
                                                                                        Policy makers in Brussels now agree
likely in light of the targets, the events   he added. “It’s easy to go around it, so
                                                                                        that innovation is essential not only to
end any naïve beliefs that the               I think keeping the internet thriving
                                                                                        promote economic growth but also to
government there views privacy or            there is very important.”
                                                                                        lead the region to a sustainable future.
security in the same way it is viewed        Nevertheless, as Google continues to       But EU innovation policy has
here,” says Shane Greenstein, a              investigate the cyber-attacks and to       frequently been criticized for being too
professor of management at                   decide whether or not to fulfill its        fragmented and dispersed.
Northwestern University’s Kellogg            threat of pulling out of China, other
School of Business. “The restraints                                                     In a move to streamline its innovation
                                             overseas firms must consider the effect
that app
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