Developments in the TMT Sector
Current trends & emerging legal issues
Dr Martyn Taylor
Software eats the world: global disruption caused by digital platforms
Technology: Big Data - legal issues in data security and sovereignty
Media: disruption to content business models and recent law reforms
Telecoms: The outlook to 5G mobile and the future of the NBN
Emerging issues in particular sectors: fintech, energy, transport
Software eats the world: global disruption
caused by digital platforms
The confluence of enabling technologies
High-speed Internet access
ADVANCED DEVICES AND COMMUNICATIONS
SOPHISTICATED OPERATING SOFTWARE
iOS / Android
Transactions via digital platforms
SIMPLE AND USER-FRIENDLY INTERFACE
The digital platform as a driver of disruption
Software eats the world
Technology: Big Data legal issues in data
security and sovereignty
Big Data is
(i) the capture of information on a large scale,
(ii) the application of powerful analytical computing to that information, then
(iii) the use of that analysis to generate value.
What is Big Data ?
Big Data as the fuel for innovation
"Now we stand facing a new industrial revolution: a digital one. With cloud computing its new engine, big data its new fuel. Transporting the amazing innovations of the internet, and the internet of things. Running on broadband rails: fast, reliable, pervasive
Take all the information of humanity from the dawn of civilisation until 2003 - nowadays that is produced in just two days.
That is the magic to find value amid the mass of data. The right infrastructure, the right networks, the right computing capacity and, last but not least, the right analysis methods and algorithms help us break through the mountains of rock to find the gold within.
Capture of information on a large scale
Data privacy laws focus on the collection, storage, use, disclosure and retention of personal information.
Australias Privacy Act 1988 (Cth) regulates the handling of personal information about individuals.
Personal information is information or an opinion about an identified individual, or an individual who is reasonably identifiable.
Examples: name, signature, address, phone number, date of birth, medical records, bank account details, commentary or opinion about a person.
Requires compliance with Australian Privacy Principles.
Storage of that information
Ensuring the security of information is a key legal issue, raising issues of responsibility and risk allocation.
Consequences of a data breach can extend well beyond legal liability to include reputational damage, cost in management time, loss of business.
A new Australian law was enacted in February 2017, known as the Privacy Amendment (Notifiable Data Breaches) Act 2017 (Cth).
Under the Privacy Act, affected individuals and the Australian Information Commissioner must be notified of a data breach.
Applies to entities regulated by the Privacy Act (>$3m turnover).
Applies to data breaches affecting personal information that are likely to result in serious harm to an individual
Processing of that information.
The export of personal data from one country to another country can present unique challenges.
In an environment of cloud computing, the export of data to offshore data processing centres is a reality of 21st
Integrated telecoms products and services may have a cloud computing or data processing component
Export of data can be affected by employment laws, healthcare legislation, banking laws, and laws specifically passed to block the transfer of information for certain purposes.
Location of information is also relevant to the operation of statutory notices in regulatory investigations.
Generation of value.
Contract: contractual protections to maintain confidentiality and prevent misuse of information.
Secrecy: IP can be practically protected by maintaining secrecy
Copyright: is a database a literary work and therefore subject to copyright protection ?
Software and algorithms
Copyright: source codes and object codes; sometimes algorithms
Patents: software and algorithms normally cannot be patented
Protecting IP rights
Media: disruption to content business models
and recent law reforms
Disruption - any platform can deliver any content
and deliver to
Internet historically enabled a decoupling of platforms and content services
The media market has moved from local markets comprising bundled
content, platforms and delivery to a global market for the supply of
unbundled digital content that may be accessed over the Internet
Media sector is experiencing dramatic reform
Historically, advertising supported the delivery of subsidised media content. Now, a proliferation of business models exist. The following diagram from 2010 is already well out of date in 2017 (eg Netflix).
Media law reforms addressing cross-ownership
Australian media ownership is currently subject to four key controls:
Foreign investment rules
Media diversity rules
The media diversity laws were amended in 2016 to remove two key tests:
The 75 percent reach rule that prevents individuals or companies from controlling a total license area that exceeds 75% of the Australian population capital city networks already reach much more than 75% of the population.
The 2 out of 3 rule that prevents mergers that involve more than two of three regulated media platforms in any commercial broadcast license area.
The Convergence Review under the Labor Government in 2012 had proposed more radical reforms:
Broadcasting licences replaced by content licensing
Media diversity based on minimum number of owners
ACMA replaced by new Communications Regulator
Refinements to minimum standards for content
Remove content quotas and instead provide subsidies
Telecoms: The outlook for mobile and the future
of the NBN
M2M and Internet of Things (IoT)
Internet of Things
Moores law is unleashing low cost, high processing, tiny chips that can go in anything from power outlet to water pipe.
Things can be controlled by an Internet-activated micro-chip with IP address.
Wireless technology is lowering the cost of telecoms to the point where things can be connected inexpensively.
Big data enables low cost storage and rapid processing of large-scale data.
Now economic to integrate things with processors and connect to the Internet, enabling real-time data and control.
Significant potential for innovation across a diverse range of sectors in the economy see next slide.
Machine to Machine (M2M)
M2M are a range of technologies that permit information to be exchanged automatically between machines or devices, without human intervention.
M2M has existed for many years (eg SCADA). However, growth of IoT is driving innovation and rapid M2M market growth.
Emerging legal issues in telecoms
Permanent international roaming SIMs
Embedded/programmable mobile SIMs
Spectrum management for IoT
Cross-border device certification
Anachronistic laws in a dynamic world (eg sale of a car with integrated telecoms services is a telecoms licence required)
IOT provides huge potential for innovation
MVNOs and M2M Mobile telecommunications in 201520
Australias National Broadband Network
Fibre to the premises (FTTP)
Fibre to the node (FTTN)
Fibre to the building (FTTB)
Hybrid Fibre Coaxial cable
Fixed wireless services
Sky Muster satellite services
2016 Statement of
expects the network
will provide peak
data rates (and
rates) of at least 25
Mbps to all premises,
and at least 50
Mbps to 90% of fixed
Increasing speeds driving different applications
500kbit/s to 1Mbit/s
Simple web browsing
1 to 5 Mbit/s
Complex web browsing
Email with attachments
IPTV SD (1-3 channels)
Digital broadcast (1 ch)
5 to 10 Mbit/s
IPTV SD (many channels)
Switched digital video
Video on demand SD
Broadcast video SD
Video streaming (2-3 ch)