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<p><font size="6"><b>Scientific and technological aspects of the
new information and communications technologies</b></font></p>

<p><font size="4"><b>Report</b></font><b> </b><a href="#Footnote1" name="Footref1"><b>(1)</b></a><b> </b></p>

<p><b>Doc. 7832</b> </p>

<p align="left">23 May 1997 </p>

<p align="left"><b>Rapporteur: Mr Claude FREY, Switzerland,
Liberal, Democratic and Reformers Group</b></p>

<hr size="1">

<p align="left">&nbsp;</p>

<p align="left"><i>Summary</i></p>

<p align="left">&nbsp;</p>

<p align="left">The impact of the rapid development of
information and communications technologies on society is already
making itself felt and will become ever more apparent. A proper
understanding of the scientific and technological aspects of
their development is essential to a clear view of any other
problems that might accompany them.</p>

<p align="left">&nbsp;</p>

<p align="left">Economic growth will depend in future on access
to information on one side and on the skills developed to exploit
that information on the other side. Coherent political measures,
on a continental scale, are necessary to ensure that Europe
remains one of the lead players in the information society which
is developing very swiftly. This report proposes measures and
policy strategies concerning scientific and technological
development in this field to be supported by the governments of
Council of Europe member states. </p>

<p align="left">&nbsp;</p>

<p align="left"><b>I. Draft recommendation</b> </p>

<p align="left">&nbsp;</p>

<p align="left">1.The Parliamentary Assembly, aware of the
challenge posed to society by the extremely rapid development of
the new information and communication technologies, has addressed
various aspects of this matter on numerous occasions. It realises
that changes in this field succeed one other at a phenomenal rate
and that any ad hoc approach may well therefore become obsolete
before its effects are even felt.</p>

<p align="left">&nbsp;</p>

<p align="left">2.It considers that the changes brought about by
the new information and communication technologies will affect
almost all areas of society and will have social, economic,
cultural, ethical, legal and other consequences. The main fields
of application of the new information and communication
technologies include education and training, health and the
ageing population, public authorities, the environment and
transport.</p>

<p align="left">&nbsp;</p>

<p align="left">3.It recalls Recommendation 1324 (1997) on its
contribution to the Second Summit of Heads of State and
Government of the Council of Europe, which asks the Summit to
decide that the Council of Europe's legal instruments be reviewed
and that, where appropriate, new legal instruments (conventions)
be drafted in the light of the development of the new information
and communication technologies and their consequences for
European society.</p>

<p align="left">&nbsp;</p>

<p align="left">4.It considers that finding answers to the
scientific and technological questions covered in the present
recommendation would be a necessary step towards solving other
problems posed by the new information and communication
technologies.</p>

<p align="left">&nbsp;</p>

<p align="left">5.To help bridge the gap between the extent of
development of the new information and communication technologies
and society's readiness for them, the Assembly recommends that
the Committee of Ministers:</p>

<ol type="i" start="1">
    <li><p align="left">analyse its work programme, taking into
        account the changes brought about by the new information
        and communication technologies in all fields of its
        activity;</p>
    </li>
    <li><p align="left">support and reinforce the work of the
        European Ministerial Conference on Mass Media Policy,
        which is to hold its 5th meeting in Thessaloniki on 11-12
        December 1997, in particular with regard to the new
        information and communication technologies, human rights
        and democratic values, as well as efforts to harmonise
        the relevant legislation in Europe and at international
        level;</p>
    </li>
    <li><p align="left">invite governments of Council of Europe
        member states and the European Union to pursue, in
        cooperation with private companies, research institutes
        and non-governmental organisations, their scientific and
        technological efforts by implementing <i>inter alia</i>
        the following measures:</p>
    </li>
</ol>

<blockquote>
    <ol type="a" start="1">
        <li><p align="left">developing and adapting technologies
            to facilitate the development of teleworking,
            including for senior citizens and people with
            disabilities;</p>
        </li>
        <li><p align="left">developing computerised medical
            systems and telemedicine systems;</p>
        </li>
        <li><p align="left">developing technological solutions
            that give the general public and companies electronic
            access to public services;</p>
        </li>
        <li><p align="left">developing telematic systems for the
            monitoring and analysis of environmental data;</p>
        </li>
        <li><p align="left">developing advanced telematic systems
            for the field of transport;</p>
        </li>
        <li><p align="left">facilitating the installation of the
            hardware necessary to use the new information and
            communications technologies in all education and
            training institutions;</p>
        </li>
        <li><p align="left">encouraging the development of
            multimedia applications and new teaching methods
            based on simulation and virtual reality at all levels
            of the education and training system, including
            aspects relating to cultural and linguistic
            diversity;</p>
        </li>
        <li><p align="left">facilitating general access to all
            services created by the new information and
            communication technologies, for example by fiscal
            measures, and encouraging in particular the
            development of interactive multimedia services;</p>
        </li>
        <li><p align="left">fostering interoperability between
            networks by stepping up international cooperation in
            the field of standardisation and in particular
            encouraging the International Telecommunications
            Union to continue its work in this area;</p>
        </li>
        <li><p align="left">encouraging and investing in the
            development of digital technologies and broad band
            networks and in new direct transcontinental links,
            particularly to the United States;</p>
        </li>
        <li><p align="left">assisting the siting of hardware and
            software manufacturing companies in all European
            countries and especially in countries in transition -
            which have a highly skilled workforce available at
            competitive rates - while supporting the digitisation
            of communication infrastructures in these countries;</p>
        </li>
        <li><p align="left">encouraging more intensive research
            in information cryptography in order to provide a
            satisfactory level of security for data transmitted
            on the network, which will encourage the development
            of electronic trade and the security of all other
            personal information;</p>
        </li>
        <li><p align="left">promoting the key technologies of the
            information society, which include communication and
            network technologies, software and system
            technologies, mobile communication technologies
            including the use of satellites, interfaces using
            different means of expression (for example, voice)
            and microelectronics;</p>
        </li>
        <li><p align="left">gearing the development of generic
            technologies and basic research towards real-time,
            large-scale simulation and visualisation
            technologies, virtual presence technologies,
            technologies for the creation of very
            high-performance computers and super-intelligent
            networks, and the creation of advanced broad band
            networks for research;</p>
        </li>
        <li><p align="left">supporting the development of
            filtering technologies which, combined with the
            adaptation of current legislation for conventional
            communication systems, will encourage self-regulation
            of network operators at international level;</p>
        </li>
        <li><p align="left">maintaining or setting up - and
            funding - national research centres for communication
            and information systems, especially as liberalisation
            is likely to reduce the efforts devoted to research
            by telecommunications operators, and paying
            particular attention to compliance with standards set
            by the scientific patents system;</p>
        </li>
        <li><p align="left">encouraging through every possible
            means - including financial - the creation of virtual
            centres of scientific research providing electronic
            access to sophisticated and expensive research
            equipment;</p>
        </li>
        <li><p align="left">monitoring in particular the
            implementation of their scientific and technological
            policies so that these policies do not harm
            democratic values in Europe, but consolidate their
            development.</p>
        </li>
    </ol>
</blockquote>

<p align="left">&nbsp;</p>

<p align="left"><b>II. Explanatory memorandum by Mr Claude FREY </b></p>

<p align="left"><b>Table of content </b></p>

<blockquote>
    <p align="left"><a href="#I.&nbsp;Towards an information society"><strong>I.Towards
    an information society</strong></a></p>
    <p align="left"><a href="#II.&nbsp;Brief background and definitions"><strong>II.Brief
    background and definitions</strong></a></p>
    <p align="left"><a href="#III.&nbsp;Communications systems: present and future"><strong>III.Communications
    systems: present and future</strong></a></p>
    <p align="left"><a href="#IV.&nbsp;Scientific and technological objectives"><strong>IV.Scientific
    and technological objectives</strong></a></p>
    <p align="left"><a href="#V. The new information and communications technologies and society"><strong>V.The
    new information and communications technologies and society</strong></a></p>
    <blockquote>
        <p align="left"><strong><i>i) The new information and
        communications technologies and education and training
        systems</i></strong></p>
        <p align="left"><strong><i>ii) Man and the challenge of
        networks: social issues</i></strong></p>
        <p align="left"><strong><i>iii) A few ethical and legal
        aspects of the new information and communications
        technologies</i></strong></p>
    </blockquote>
    <p align="left"><a href="#VI.&nbsp;Conclusions"><strong>VI.Conclusions</strong></a></p>
</blockquote>

<p align="left">&quot;<i>Today's reality is yesterday's utopia</i>&quot;.
</p>

<p align="left">(Le Corbusier). </p>

<p align="left">&nbsp;</p>

<hr size="1" width="50%">

<p align="left">&nbsp;</p>

<p align="left"><a name="I.&nbsp;Towards an information society"><b>I.&nbsp;Towards
an information society</b></a> </p>

<p align="left">&nbsp;</p>

<p align="left">1.The revolution in information and
communications technologies continues apace, having ongoing,
rapid and sometimes surprising effects on society. The impact of
the new information and communications technologies extends to
all spheres of society and takes tangible form in economic,
social, ethical, epistemological and other changes.</p>

<p align="left">&nbsp;</p>

<p align="left">2.The number of homes connected to information
networks is expected to triple by the year 2000, reaching 100
million - 30 million of them in Europe. The world turnover for
telecommunications services has already passed the 600 billion
dollar mark. The likelihood of World Wide Web access for a
billion users by the turn of the century will certainly prompt
changes in professions, working conditions, job requirements and
the number of jobs. Political, social, cultural, economic, legal
and ethical issues are at stake, and aspects touching on
education and training, as well as scientific research and
technological development, are taking on new dimensions.</p>

<p align="left">&nbsp;</p>

<p align="left">3. Fundamental questions arise as to the funding
of the infrastructures, exactly what information will be
disseminated and the future of mankind in the information
society. There are still doubts as to the proportion of
advantages and disadvantages generated by the revolution in
information and communications tools, both for the present and
for the future; it is claimed by some that it will mean the
destruction of the economy, the environment and even society as
we know it. But we must beware of Manichaean thinking. Our path
to the society of the future - a society based on information -
must not be left to chance; it must be traced out now. Properly
controlled, new information and communications technologies can
give Europe new tools with which to develop technology, industry
and services while respecting the continent's cultural and
linguistic diversity.</p>

<p align="left">&nbsp;</p>

<p align="left">4.To gain a clearer idea of what these new
communications media hold for the future, the Committee on
Science and Technology organised the Colloquy on
&quot;Information highways: between dream and reality&quot; in
Neuch�tel at the beginning of April 1997. The colloquy focused
on four themes:</p>

<ul>
    <li><p align="left">Internet and multimedia: the virtual
        universe of the new information and communications
        technologies; </p>
    </li>
    <li><p align="left">Free access: myth and fact; </p>
    </li>
    <li><p align="left">Man and the challenge of networks: social
        issues; </p>
    </li>
    <li><p align="left">Ethics in the cyberspace age.<a href="#Footnote2" name="Footref2">(2)</a> </p>
    </li>
</ul>

<p align="left">&nbsp;</p>

<p align="left">5.The Rapporteur would like to thank all the
participants (parliamentarians, experts, representatives of
industry and trade unions, representatives of international
organisations), whose contributions formed the basis of this
report. I would also like to thank STOA (Scientific and
Technological Options Assessment) of the European Parliament,
whose excellent work on new information and communications
technologies was a further source of valuable information.</p>

<p align="left">&nbsp;</p>

<p align="left">6.Given the specific concerns of the Committee on
Science and Technology on the one hand and the structure of the
aforementioned colloquy on the other hand, I have chosen to focus
on the scientific and technological challenges raised by the new
information and communications technologies while viewing them as
part of the general social context.</p>

<p align="left">&nbsp;</p>

<p align="left"><a name="II.&nbsp;Brief background and definitions"><b>II.&nbsp;Brief
background and definitions</b></a> </p>

<p align="left">&nbsp;</p>

<p align="left">7.The generic term &quot;information and
communications technologies&quot; covers all the technologies
used to collect, store, process and transmit information<a href="#Footnote3" name="Footref3">(3)</a>. The information itself
may be presented in text, sound, graphic or animated form. The
Internet and the World Wide Web are the best known aspects of the
new information and communication technologies but there are
others too: micro-electronics, opto-electronics and all the
associated technologies.</p>

<p align="left">&nbsp;</p>

<p align="left">8.<b> </b><b><i>The Internet</i></b> is a
communications network structure capable of linking computers<a href="#Footnote4" name="Footref4">(4)</a> of different design,
configured as a web on which any two points can be linked, with
the information travelling along one strand or another of that
web. The concept dates from 1969 and belongs to the ARPA
(Advanced Research Project Agency - United States). Communication
between computers is based on packet switching, ie the
segmentation of a message into packets which are then transported
by the network. Each packet is capable of finding an available
pathway to its destination, even if the network is damaged for
some reason, because the packets carry their own individual
destination addresses.</p>

<p align="left">&nbsp;</p>

<p align="left">9.In 1970, four Californian universities were
linked up by the first decentralised packet-switching network. By
1971, the number of connections had risen to 23. In 1972, the
first International Conference on Computer Communications set up
a node with 40 connected terminals and decided that it was
necessary to develop a common protocol<a href="#Footnote5" name="Footref5">(5)</a> for communication between all computers
and all networks. In 1974, the Transmission Control Protocol
(TCP), including the future Internet Protocol (IP), was written.</p>

<p align="left">&nbsp;</p>

<p align="left">10.In 1980, the TCP/IP protocols were no longer
considered as &quot;military secrets&quot; and were moved into
the public domain; seven years later, over ten thousand computers
were interconnected in the United States. From 1988 onwards,
interest in the Internet reached beyond the frontiers of the USA.
According to the estimates of Microsoft (the world's largest
software company) there were 48 million Internet users world-wide
in 1996. About 75% of those users were in the United States and
11% in Europe.</p>

<p align="left">&nbsp;</p>

<p align="left">11.In 1989, the <b><i>World Wide Web</i></b> was
invented at CERN (European Laboratory for Particle Physics) in
Geneva. The Web is a hypermedia<a href="#Footnote6" name="Footref6">(6)</a> system based on the concept of hypertext
documents, which incorporate links to other documents. The Web
brings together the various Internet services (E-mail, remote
work sessions, file transfers, access to discussion groups) and
incorporates global document search engines.</p>

<p align="left">&nbsp;</p>

<p align="left">12.<i>E-mail</i> is a cross between conventional
mail, telephone and fax. It transports messages of perfect
quality almost instantaneously and at minimum cost. <i>Remote
work sessions</i> are made possible by a protocol facilitating
the connection of computers in a given location or computers in
very remote locations. At almost no cost, an experienced computer
scientist can connect his terminal to databases run by the
super-computers of scientific research centres, for example, and
benefit from their computing power. <i>File transfer</i> is a
process whereby two remote machines can be connected and data up-
and downloaded between them. As for <i>discussion groups</i>,
there are some 20,000 theme-related groups operating as virtual
communities on the Usenet.</p>

<p align="left">&nbsp;</p>

<p align="left">13.Under the common umbrella of the Web, these
services have become extremely user-friendly. Users simply click
with their mouse on the hyperlinks in hypertext documents.</p>

<p align="left">&nbsp;</p>

<p align="left"><a name="III.&nbsp;Communications systems: present and future"><b>III.&nbsp;Communications
systems: present and future</b></a> </p>

<p align="left">&nbsp;</p>

<p align="left">14.If similarities are to be sought, the overall
communications infrastructure is comparable not to a set of
&quot;information highways&quot; but rather a set of
&quot;information routes&quot;, including narrow country lanes,
single and dual-lane roads and motorways. Some of them may be
used only by certain categories of vehicles; some routes, even if
they lead to the same destination, levy tolls which differ
greatly for the same points of passage. The main differences are
that the communications infrastructure is used not by vehicles
but by data and the journey time required by this data bears no
relation in principle to physical distance, tending instead
towards zero.</p>

<p align="left">&nbsp;</p>

<p align="left">15.The world of information processing today
still comprises three principal spheres today: firstly <i>radio
and television</i>, then <i>telecommunications</i> (geared mainly
to the voice) and finally <i>information technology</i>, which
transports <i>data</i>. These three spheres are becoming less and
less independent as the dividing lines become increasingly
blurred, and they have begun to overlap. It is likely that the
&quot;computer interconnection&quot; industry will have a
predominating influence on networks in the future. It seems clear
from the battle raging in the United States at present between
the different media, that computer technology will win the day.
The conversion of any kind of information (image, text etc) into
digital data is at the origin of this development.</p>

<p align="left">&nbsp;</p>

<p align="left">16.At present, the communications system consists
of: signal processing and audiovisual compression; mobile
communications; telecommunications networks and services;
multimedia and Internet applications; virtual reality. As far as
the future of communications and information systems is
concerned, a number of topics need to be considered. As far as <i>multimedia
services on the Internet</i> are concerned, the process of
standardisation is evolving in a manner that allows us to see the
television set of tomorrow as a multipurpose personal computer.
The <i>World Wide Web</i> - invented, it must always be
remembered, in the European Laboratory of Particle Physics (CERN)
but marketed in the United States! - has now been nicknamed the
World Wide Wait, because it is so congested. <i>Mobility</i>,
which is enjoying about the same degree of success in Europe as
the United States, faces the problem of a limited range of
available frequencies. <i>Universal broadband access</i> has had
new prospects opened up for it by the rapid evolution of
technology: high-flowrate modems on switched telephone networks,
modems for remote networks, local high-speed, asymmetrical links,
mixed architectures (fibre optics, coaxial cable, symmetrical
pairs). The <i>information search</i> situation may be summed up
as follows: there are enormous quantities of on-line data and a
tremendous volume of new information being produced, which offer
the potential for a worldwide digital library, but the search
motors, numerous and relatively backward, are seriously lagging
behind. The key problem is becoming one of sorting, indexing and
locating useful information. With one or two exceptions, the <i>price</i>
of traffic on the Internet is calculated on a flat-rate basis of
the kind &quot;all you can use for a fixed monthly rate&quot;, as
opposed to telecommunications traffic, which is evaluated
according to the time of use, distance and quantity of
information involved. As the two spheres have no other precisely
fixed parameters, a convergence of the two is beginning to make
itself felt but that convergence is not nearly as rapid as the
disappearance of the parameters.</p>

<p align="left">&nbsp;</p>

<p align="left">17.More specifically as regards the price of
Internet access, it should be noted that, although decentralised,
payment follows a pattern, varying from one case to another: a
number of networks decide how they are to be interconnected and
fund that arrangement; a corporation might pay for their
connection to a regional network, for example, and that network
would in turn pay a national access provider.</p>

<p align="left">&nbsp;</p>

<p align="left">18.One of the acts of the European Union on 1
January 1998 will be to introduce deregulation in the
telecommunications sector. The likely consequences of this step
are: a leap in the usual rate of traffic increase, at least in an
initial phase; a cut in the price of telecommunications (already
made by some operators, such as France T�l�com); staff cutbacks
by national operators; the arrival of new operators taking
advantage of the opportunities offered by the new system.
However, it will be a few years before there is genuine
competition.</p>

<p align="left">&nbsp;</p>

<p align="left"><a name="IV.&nbsp;Scientific and technological objectives"><b>IV.&nbsp;Scientific
and technological objectives</b></a> </p>

<p align="left">&nbsp;</p>

<p align="left">19.The transition to the information society
calls for fundamental industrial and social changes. Its
implementation will permit the development of new activities, by
both individuals and companies, in the areas of trade, work,
transport, education, health and culture. The technologies linked
to the information society will find their way into all
industrial activity and all levels of society, and their social
and economic impact will reach not only equipment manufacturers
and information and communications services but far beyond.</p>

<p align="left">&nbsp;</p>

<p align="left">20.The very origins of the revolution in
information and communications technologies lie in fundamental
research, namely in the scientific community's vital need for an
instant and flexible means of communication. From the point of
view of scientific research, the world has now become a
&quot;global village&quot;, made up of elements such as immediate
database access, co-operation in real time through the exchange
of messages, and the publication and dissemination of research
results.</p>

<p align="left">&nbsp;</p>

<p align="left">21.Political responsibilities as regards the
future of scientific research at global level entail providing
the scientific networks, at both national and international
level, with an adequate infrastructure on the one hand, and
creating a favourable environment for the development of an open
and productive scientific system, capable of strengthening the
contribution of science and technology to economic growth and
social development in all European countries on the other hand.</p>

<p align="left">&nbsp;</p>

<p align="left">22.As far as deregulation is concerned, Europe is
in a position to learn from what has happened in the United
States. The splitting up of AT&amp;T caused the break-up of Bell
Labs and the new protagonists invested little in research. It is
for this reason that a new research structure was set up,
receiving funding from several sources such as the NSF (National
Science Foundation) and industry. National research centres have
been set up for the telecommunications and multimedia sectors. In
Europe, liberalisation is likely to lead to a reduction in
research efforts on the part of telecommunications operators.
That is why centres with expertise in communications and
information systems should be maintained or, in some cases, set
up and funded.</p>

<p align="left">&nbsp;</p>

<p align="left">23.In the United States, the transfer of know-how
between universities and industry is easy, smooth and free of
pitfalls. There are venture-capital structures and large
corporations which generate spin-offs. On the whole, there is a
pool of wealthy individuals prepared to take risks, generated by
the high-tech field. European projects on the other hand involve
a great deal of effort and only modest industrial spin-offs.
Finance comes mainly from more conventional sectors. Obviously,
the opening up of competition will breathe life into the market -
for both services and equipment - and Europe must not miss the
right moment to create start-up funding in the field of
communications and information systems.</p>

<p align="left">&nbsp;</p>

<p align="left">24.Europe is well ahead of the United States in
the field of cellular telephony. The successful development of
GSM (Global System Mobile), thanks to co-operation between the
United Kingdom, Germany, France and Italy, is now facilitating
the introduction of digital technology; based on this technology,
it has already helped sales of digital systems to the detriment
of analog systems.</p>

<p align="left">&nbsp;</p>

<p align="left">25.The technologies of the information society
must satisfy users' expectations and needs and give them access
to high-quality services at low cost. On the level of the general
public, the areas likely to benefit are <i>education and
training, health, public authorities, the environment and
transport</i>.</p>

<p align="left">&nbsp;</p>

<p align="left">26.As far as education and training are
concerned, the emphasis will have to be on multimedia
applications and new teaching methods based on simulation and
virtual reality, as well as the development of applications using
broadband communications. As regards health and the ageing
population, the priority must be to modernise computerised
medical systems, to install high-capacity health care networks
and to use interfaces and remote systems to integrate elderly or
disabled people into life in society. It will be possible to make
public services more accessible through specific applications. As
for environmental protection, telematics<a href="#Footnote7" name="Footref7">(7)</a> systems will handle monitoring and data
analysis. Transport will benefit greatly from the development of
telematics systems, which hold the key to the management and
future of remote services.</p>

<p align="left">&nbsp;</p>

<p align="left">27.The impact of the new information and
communications technologies on the <i>international banking
system</i> is not to be overlooked. The very functioning of
society relies on the proper functioning of this system, which
handles transactions between individuals, companies, branches of
business, States and international finance organisations.</p>

<p align="left">&nbsp;</p>

<p align="left">28.&quot;Electronic money&quot; seems to have
been taken on board thanks to the new information and
communications technologies. Technological progress will
certainly guarantee it a rosy future. Opinions on the security of
electronic transactions vary from one type of operation to
another; there are some forms of electronic transaction whose
security is a serious cause for concern in certain circles. The
use of the bank card has become widespread, as has confidence in
its reliability. Technological improvements such as the switch
from magnetic strips to chips - thanks to a French invention -
already make it possible to use one's bank card for many banking
transactions which, until recently, required us to go to a
counter. The prospects for development foreseen by the Nippon
Telegraph and Telephone Corporation (NTT) were presented in
detail at the colloquy organised by the Committee on Science and
Technology.</p>

<p align="left">&nbsp;</p>

<p align="left">29.Telesales remains a controversial issue. In
the United States, sales through Internet amounted to 900 million
dollars in 1996: according to European Commission documents on
the 5th Framework programme for R&amp;D, one third of the world's
bank transactions could be performed electronically by the year
2005; by the year 2000, nearly 40% of business transactions will
take place in this way. Fraud is certainly possible, even though
the relative risk is low (the electronic transmission of
confidential financial information would be far less safe), but
it must not be forgotten that it is the volume of transactions
via Internet, and not via the telephone, that is expanding.
Technology and commerce have stolen a march on the legislators in
this field. These staggered rates of development risk leaving a
worrying void, open to abuse, fraud and all kinds of crime.</p>

<p align="left">&nbsp;</p>

<p align="left">30.It is necessary, therefore, to consider
establishing an adequate legal framework to obviate bank fraud
and counterfeiting in the sphere of electronic money. States,
which are already taking steps to prevent money-laundering, must
without doubt address this highly topical issue too.
International norms should be laid down for the proper
development of the commerce of the future.</p>

<p align="left">&nbsp;</p>

<p align="left">31.Network security does not only concern trade
but also has implications for national security and defence. In
June 1996, the director of the CIA, John Deutch, regarded
&quot;cyber-war&quot; as one of the greatest threats to the
security of the United States.</p>

<p align="left">&nbsp;</p>

<p align="left">32.It is feared that the computers used to
control air traffic, financial transfers, telephone systems,
electric power stations and defence systems could be seriously
affected by sabotage either by &quot;pirates&quot; or terrorists.
In 1995, for example, there were 250,000 attempts to gain entry
to the computers of the Pentagon, 160,000 of which were
successful. A study covering 40 large corporations estimates that
they could have lost up to 800 million dollars in 1996 as a
result of the theft or illegal manipulation of data.</p>

<p align="left">&nbsp;</p>

<p align="left">33.An electronic &quot;attack&quot; is difficult
- and in some cases impossible - to pinpoint. Even if launched in
the same country, an attack could transit via a whole series of
computers abroad before striking its target in that country.</p>

<p align="left">&nbsp;</p>

<p align="left">34.Current regulations on <i>cryptography</i>
consider coding algorithms as part of the defence industry and
their use is often prohibited. This represents an obstacle to the
development of the different Internet services; effective
encoding is vital to ensure the security of information wherever
it is required.</p>

<p align="left">&nbsp;</p>

<p align="left">35.The Neuch�tel colloquy confirmed that the
vast majority of information circulating on the Internet is in
English, even though about half of Europe's Internet users are
not native English speakers. It was stressed that cultural and
linguistic diversity on a continental scale had to be one of the
concerns linked to the future of new information and
communications technologies and form part of the basis for
cultural, education and audiovisual policies. Creativity,
together with use of the <i>full scope of multimedia</i>, will be
of key importance in both putting the information society into
practice and fostering linguistic and cultural diversity. The
main thrust of action must be aimed at the development of
innovative forms within the scope of multimedia and at tools
designed to structure and process those forms. As the information
process is becoming interactive, the new methods of managing
information are making it possible to fragment that information
and even give it special functions and/or customise it. Advanced
technologies for accessing, filtering and analysing information
will make it possible to control its dramatic expansion and
facilitate its use. In other words, each user will be able to
compile his own television news or daily newspaper, drawing
information from the areas of interest to him. That is why the
development of <i>interactive multimedia services</i> must be
encouraged in Europe, while ensuring that the fragmentation of
information strikes the necessary balance between the demands of
the present (being obliged to assimilate an enormous quantity of
data to be able to find the information sought) and the tendency
for the future (assimilating only the information sought and
ignoring the rest).</p>

<p align="left">&nbsp;</p>

<p align="left">36.The world market for information society
technologies is the fastest growing of all business sectors. It
grew by 11% between 1994 and 1995. These technologies account for
an impressive share of the price of high-tech goods in fields
apparently far divorced from information technology as such:
hardware and software account for nearly half of the price of a
plane; and over 15% of the price of a car. The <i>key
technologies of the information society</i> must be promoted in
Europe, their implementation must be faster and their scope
extended. Those technologies include: communications and network
technologies (the latter including architecture, protocols and
methodologies); software and systems technologies; mobile
communications technologies, particularly satellite services;
interfaces using several human actions; peripherals (flat
screens, microsystems); micro-electronics, including the
technologies and equipment required to design circuits and
develop applications. The multimedia industries of the European
Union already employ some 2 million full-time staff; this figure
is expected to rise to 3 million in ten years' time. The annual
turnover of the European Union represents 150 billion ECUs.</p>

<p align="left">&nbsp;</p>

<p align="left">37.All European efforts to develop <i>generic
technologies</i> and <i>fundamental research</i> in the field of
new information and communications technologies must target the
following technologies for representing, creating and managing
knowledge; technologies for simulation and visualisation in real
time and on a large scale, as well as virtual reality
technologies; technologies serving to build very high-performance
computers and super-intelligent networks, as well as advanced
networks with high flowrates for research purposes.</p>

<p align="left">&nbsp;</p>

<p align="left">38.The countries of Central and Eastern Europe
where, in most cases, communications use analog technologies on a
large scale, will be obliged to invest substantially in the
digitisation of networks in order to meet the demands of the
information age. In view of the considerable efforts required and
the specific financial circumstances of most of these countries,
possible assistance and co-operation projects launched within the
programmes run by the European Union, the EBRD and/or major
communications companies must be encouraged. Projects such as
this would help the countries of Central and Eastern Europe to
take some &quot;short cuts&quot; on the road to the information
society, which could enjoy the same level of development
throughout the continent.</p>

<p align="left">&nbsp;</p>

<p align="left"><a name="V. The new information and communications technologies and society"><b>V.
The new information and communications technologies and society</b></a></p>

<p align="left">&nbsp;</p>

<p align="left">39.In addition to different scientific and
technological aspects of the new information and communications
technologies, the Neuch�tel Colloquy on &quot;Information
highways: between dream and reality&quot; also delivered some
most interesting information on various factors linked to their
use in different sectors and covering a large number of
functions. The Rapporteur thought it useful to reiterate some of
these points, which could guide discussion of the new information
and communications technologies and how they affect our society -
even if this takes us somewhat beyond strict scientific and
technological analysis - in terms of its priorities and related
investment. This section contains a few thoughts, therefore, on
education and training, social issues and ethical and legal
aspects connected with the new information and communications
technologies.</p>

<p align="left">&nbsp;</p>

<p align="left"><em><strong>i)&nbsp;The new information and
communications technologies and education and training systems</strong></em>
</p>

<p align="left">40.There are two points to be made concerning the
future of education and training as regards new information and
communications technologies. Firstly, it is a fact that the
notion of education itself is becoming dependent on mastery of
these technologies. Until just recently, access to knowledge
hinged on the ability to read. Today, knowledge is gained more
easily through a grasp of the new information and communications
technologies. In the future, knowledge might be impossible to
acquire without the use of these technologies, in their various
forms. That is why education and training systems, from the most
basic level upwards, must also teach people how to use them.</p>

<p align="left">&nbsp;</p>

<p align="left">41.The second point concerns knowledge <i>per se</i>.
For decades, radio and television have been fulfilling the role
previously attributed to &quot;paper&quot;. More recently, the
Open University system has made it possible to study in real
time, without any physical presence required, through a computer.
The new technologies (particularly the Internet and CD-ROM)
harbour potential for a higher quality of education with many
advantages over conventional means: the possibility of
tailor-made teaching, taking account of the differing abilities
of students; reduced learning time; a more user-friendly approach
to subjects; direct contact with the notion of ongoing
technological development; the possibility of remote personal
development, particularly useful in providing access to education
for the disabled, for learning foreign languages etc, not to
mention the considerable progress made in simulation in all
fields (medicine, piloting, tests etc).</p>

<p align="left">&nbsp;</p>

<p align="left">42.Europe's backwardness compared with the United
States is also reflected in the statistics on the number of
computers in schools: 60% of US schools have Internet access,
compared with less than 10% in Europe.</p>

<p align="left">&nbsp;</p>

<p align="left">43.That is why efforts must be geared to
quickening the process of integrating the new information and
communications technologies into the European education system
and vice versa. Teaching practices using multimedia and the
creation of educational multimedia products must be encouraged.
In concrete terms, support is required for the interconnection of
schools networks, incentives to develop and disseminate
programmes of European interest, the fostering of training for
teachers in new information and communications technologies, and
access for all to the educational opportunities opened up by
multimedia. The European Union estimates that the education and
training market for &quot;the fifteen&quot; represents 10 billion
ECUs in the coming decade.</p>

<p align="left">&nbsp;</p>

<p align="left"><em><strong>ii)&nbsp;Man and the challenge of
networks: social issues</strong></em> </p>

<p align="left">44.New information and communications
technologies are increasingly an important and even essential
factor in the development of social relations. From the 19th
century onwards, those relations were based on a very clear
distinction (because it was easy to make) between different human
activities. Today, the conventional boundaries between workplace,
home, places of education, recreation, consumption and so on are
becoming blurred under the impact of the new information and
communications technologies. Work is becoming fun for
&quot;technophiles&quot;, making it difficult to define work in
the proper sense of the word, in relation to other activities.</p>

<p align="left">&nbsp;</p>

<p align="left">45.<i>The organisation of companies and social
relations</i>, both firmly founded, until now, on clear
distinctions in terms of place and time, are now seriously called
into question. A new system, described by some as
&quot;post-modernist&quot;, is becoming established. It is
characterised by the diversity of products, shorter product
life-cycles, shorter lead-times for the marketing of new
products, greater flexibility, flatter organisational
hierarchies, interactive and co-operative working relations, and
fiercer competition in terms of quality.</p>

<p align="left">&nbsp;</p>

<p align="left">46.Virtual companies might well emerge. As
distance ceases to be an obstacle to contact and co-operation
between companies and individuals, people in different parts of
the world will be able to work together on the same projects. The
development of the new information and communications
technologies is opening up surprising possibilities in areas of
work traditionally dependent on physical contact, such as
telemedicine, for example, which makes remote diagnosis possible
through the exchange of information and images in real time. This
field represents a market of some 15 billion ECUs for the coming
decade in the European Union alone.</p>

<p align="left">&nbsp;</p>

<p align="left">47.Telecommuting can have beneficial effects on
the balance of the family unit. One of the spouses can choose to
pursue a given line of work while remaining at home to look after
the children.</p>

<p align="left">&nbsp;</p>

<p align="left">48.In fact, <i>new labour legislation</i>, taking
account of new social relations (or &quot;social
cyber-relations&quot;) should be drawn up. It must be based on
new arrangements for work-sharing, new concepts of working hours,
new systems of remuneration etc. The subject has already amply
dealt with in the report by Mr Beaufays on new technologies and
employment, discussed by the Assembly in January 1997 (Doc. 7713,
Recommendation 1314&nbsp;(1997)).</p>

<p align="left">&nbsp;</p>

<p align="left">49.As far as <i>social cohesion</i> is concerned,
there are fears that the new information and communications
technologies are helping to exacerbate rather than reduce
existing inequalities. A two-speed information society of
&quot;haves&quot; and &quot;have-nots&quot; is not to be
excluded. Although the equipment needed for network access is
increasingly broadly available and less and less expensive, there
are individuals who, because of their personal make-up, culture
or other reasons, reject the services offered by the information
society: these are the &quot;technopaths&quot; who feel excluded
not because products and services are poorly suited to them but
because they believe that they are &quot;too old&quot;,
&quot;lacking in training&quot;, &quot;not bright enough&quot;,
&quot;not abstract-minded enough&quot; or &quot;not quick
enough&quot;. Measures are necessary to ensure that tools of
communication do not become tools of social exclusion.</p>

<p align="left">&nbsp;</p>

<p align="left">50.Disconnection and social exclusion are not the
only worrying factors. Another related problem is <i>isolation</i>.
&quot;The screen and chair culture&quot; can result in withdrawal
from the social sphere and a tendency for contact between
individuals to take place increasingly via digital media,
reflecting a reality that has lost its material form.</p>

<p align="left">&nbsp;</p>

<p align="left">51.Another problem concerns the <i>ease of access</i>
to individuals, which has increased dramatically with faxes,
mobile telephones and E-mail. This ease of access can quickly
become invasive and have unexpected effects on social life. Steps
must be taken to ensure that individuals' right to isolate
themselves, ie their right to privacy, is respected. </p>

<p align="left">&nbsp;</p>

<p align="left">52.It must be ensured that a balance is always
maintained between technological and social innovations. On the
one hand, the system must be designed so that it does not
encourage uncontrollable upheavals in the social system and, on
the other hand, the proper means of adapting to change must be
made available to society, which is increasingly subject to
&quot;technology push&quot; from the new information and
communications technologies.</p>

<p align="left">&nbsp;</p>

<p align="left"><em><strong>iii)&nbsp;A few ethical and legal
aspects of the new information and communications technologies</strong></em>
</p>

<p align="left">53.Racism, violence, pornography and antisemitism
are some of the dangers increasingly evoked as an integral part
of the Internet and sometimes weighed against its benefits.</p>

<p align="left">&nbsp;</p>

<p align="left">54.Everything can be found on the Internet:
information on science, arts, tourism, music, media, literature,
sport, commerce and so on. Licentious topics are also covered.
The control of sites openly disseminating this kind of
information raises many legal and ethical problems. Firstly, the
very question as to whether <i>censorship</i> is desirable is far
from being resolved. And who would exercise such censorship?
States have differing legislation and above all geographic
obstacles to overcome. The purveyors of licentious information
are difficult to identify, in which case it is the service
providers which are responsible, yet they have no criminal
liability for the sites to which they give access. Adequate
legislation must be introduced, extending regulations governing
decency, applicable to conventional communications systems, to
new systems such as the Internet. Legislation of this kind is
likely to engender &quot;self-regulation&quot; among operators at
international level, who will themselves sift the information
made available.</p>

<p align="left">&nbsp;</p>

<p align="left">55.It should be noted that filtering systems
exist at individual level. &quot;Cyberpatrol&quot; software, for
example, enables users to select their desired level of
protection, blocking access to sites or discussion groups
containing certain information (in the form of text, images etc).
Given their present state of development, filtering systems of
this type are far from perfect and therefore inoperable on a
general scale. Such a programme blocked access to the White House
server, for example, because the text of the anti-pornography law
contained the word...&quot;pornography&quot;.</p>

<p align="left">&nbsp;</p>

<p align="left">56.Article 8 of the European Convention on Human
Rights enshrines the right to respect for private life and
correspondence. But there is a wavy line between correspondence,
as private communication, and public communication, as computers
provide access to both types of communication. Obviously, there
is a legal basis guaranteeing the <i>confidential nature of
correspondence</i> but it must be amended to take account
explicitely of the new information and communications
technologies. The Rapporteur welcomes the work carried out in
this sector <i>inter alia</i> by the European Ministerial
Conference on Mass Media Policy and the Council of Europe's
Steering Committee on the Mass Media (CDMM). </p>

<p align="left">&nbsp;</p>

<p align="left">57.Privacy is already subject to many kinds of
intrusion made possible by the new information and communications
technologies. The mere use of a bank card, for example, provides
information concerning the user's private life: the shop where
the goods were purchased, the time of purchase, the quantity and
quality bought, the regularity of purchases, the amounts spent
each month on a given category of purchases etc. This information
is considered confidential but finds its way at least into the
shop's computer system and, as we have already seen, even the
Pentagon's computers offer no effective data protection. On that
basis, it might well be imagined that an insurance company might
one day refuse life insurance, for example, to a person
identified as a heavy consumer of alcohol and tobacco by pirate
checks of his purchases.</p>

<p align="left">&nbsp;</p>

<p align="left"><a name="VI.&nbsp;Conclusions"><b>VI.&nbsp;Conclusions</b></a>
</p>

<p align="left">&nbsp;</p>

<p align="left">58.It is the job of the public authorities to
define public interest within the new dimensions given to society
by the explosive development of the new information and
communications technologies. Indepth knowledge of the scientific
and technological factors behind that development is vital to an
informed response, so that society can fully benefit from it.</p>

<p align="left">&nbsp;</p>

<p align="left">59.The transition to an economy based on know-how
implies the need for co-ordinated political measures, at both
national and international level, in which political
decision-makers have not only to take account of existing
developments but also to identify the directions which the new
information and communications technologies are likely to take in
the short and medium term. It is only then that we will be able
to sketch out guidelines ensuring that the legislative system
will be up to its task in the Europe of tomorrow as a lead player
in the information society.</p>

<p align="left">&nbsp;</p>

<p align="left">60.Finally, the Council of Europe must revise its
work programme to fully cater for the impact of new information
and communications technologies on all the sectors of our
society. This process could begin with a new initiative taken by
the Heads of State and Government at the second Council of Europe
Summit, as proposed by the Assembly in its
Recommendation&nbsp;1324&nbsp;(1997).</p>

<p align="left">&nbsp;</p>

<hr size="1">

<p align="left"><i>Reporting committee</i>: Committee on Science
and Technology.</p>

<p align="left"><i>Budgetary implications for the Assembly</i>:
none.</p>

<p align="left"><i>Reference to committee</i>: Doc. 7547 and
Reference No. 2136 of 7 November 1996.</p>

<p align="left"><i>Draft recommendation</i> unanimously adopted
by the committee on 16 May 1997.</p>

<p align="left"><i>Members of the committee</i>: MM. <i>Melnikov</i>
(Chairman), <i>Tiuri</i>, Mrs Terborg, Mr Birraux
(Vice-Chairpersons), MM. About, Bartodziej, Bauer, <i>Beaufays</i>,
Berceanu, Mrs Biga-Friganovic, MM.<i> Bog�r</i>, Brunhart, <i>Caccia</i>,
<i>Cherep</i>, Cherribi, Chornovil (Alternate:<i> Yablonsky</i>),
<i>Cioni</i>, Connolly, Cunliffe, <i>Fernandez Aguilar</i>, <i>Frey</i>,
Galley, <i>Hadjidemetriou</i>, <i>Janecek</i>, Johansson,
Karlsson, <i>K�lahli</i>, Lambergs, Leers, <i>Lekberg</i>, <i>Lenzer</i>,
Liiv, <i>Lorenzi</i>, Maass, <i>Melc�k</i>, Mozgan, Mme Nistad,
MM. Niza, <i>Olrich</i>,<i> Onaindia</i>, Pawlak (Alternate:<i>
Rewaj</i>), Petersen, <i>Prokes</i>, <i>Prusi</i>, Raskinis,
Rokos, <i>Roseta</i>, Ryabov, Steolea, Szalay, <i>Theis</i>, Sir
Donald Thompson, Jack&nbsp;Thompson (Alternate: <i>Lord Newall</i>),
Toshev, <i>Turini</i>, Vella, <i>Weyts</i>, <i>Y�r�r</i>, Mrs
Zissi.</p>

<p align="left"><i>N.B. The names of those members who took part
in the vote are printed in italics.</i></p>

<p align="left">Secretaries of the committee: Mr Lervik, Mr
Torc�toriu. </p>

<hr size="1">

<p align="left"><a href="#Footref1" name="Footnote1"><i>Note: 1</i></a><i>
by the Committee on Science and Technology</i></p>

<hr size="1">

<p align="left"><a href="#Footref2" name="Footnote2"><i>Note: 2</i></a><i>
Cyberspace: term invented by the novelist William Gibson, to
describe the virtual worlds formed by global computer networks.</i></p>

<hr size="1">

<p align="left"><a href="#Footref3" name="Footnote3"><i>Note: 3</i></a><i>
Information: in information technology terms, written data,
facts, notions or instructions which can be processed wholly or
partly by machine.</i></p>

<hr size="1">

<p align="left"><a href="#Footref4" name="Footnote4"><i>Note: 4</i></a><i>
Computer: universal calculator comprising a variable number of
specialised units controlled by the same recorded program and
making it possible to perform complex sets of arithmetic and
logic operations without human intervention in the process.</i></p>

<hr size="1">

<p align="left"><a href="#Footref5" name="Footnote5"><i>Note: 5</i></a><i>
Protocol: set of rules enabling a user to connect to a network or
allowing different parts of a network to communicate.</i></p>

<hr size="1">

<p align="left"><a href="#Footref6" name="Footnote6"><i>Note: 6</i></a><i>
Hypermedia: documents containing multimedia elements (text,
graphics, sound, fixed or moving images).</i></p>

<hr size="1">

<p align="left"><a href="#Footref7" name="Footnote7"><i>Note: 7</i></a><i>
Telematics: set of techniques and services exploiting both
information technology and telecommunications applications.</i> </p>
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