NBN vital for Australia’s digital future, says IBIS

IBM has launched ‘A Snapshot of Australia’s Digital future to 2050’, a report written by Phil Ruthven, Founder and Chairman of IBIS. This is a confronting report because of the speed that the digital world is moving; people such as Ruthven, and many in the room where the report was launched, will be over 100 by the year 2050 and may not live to find out whether the reports’ predictions are correct or not.

The report looks into how Australia can harness high-speed broadband and technology to create a sustainable economy.

This is one of the largest projects IBM has undertaken and is the first report in the world to rate a nation’s entire list of industry classes against the impact of our digital future.

Ruthven said: “This forecast is as bullet-proof as we can get. We have been making predictions for 50 years and we haven’t been wrong yet.

“The GFC has narrowed down people’s expectations considerably. Australia has done well with the resources boom, but we have to get on with it, otherwise we are going to fall way behind Asia and could even end up like a cargo-cult country such as Papua New Guinea.

“Korea, Singapore, Finland and China have gigabit broadband speeds already and that is why the National Broadband Network is so important for Australia.

“Broadband is the new utility and is just as important as electricity and telephony have been. Forty six per cent of Australia’s revenues will be transformed and enhanced by broadband. ICT is underpinning what we have called the Infotronics age.”

It is predicted by 2050, GDP will be at least $AUS1.5 trillion because of the Infotronics age. Major industries will be: Public administration and safety; Retail trade; Mining; Health care and social assistance; and Education and training. A lot of industries will not be able to grow without the ‘new’ utility age.

Ruthven cited how the IBIS business is already hamstrung in this country by the lack of high-speed broadband.

The report also predicts that the term employee will disappear by 2050, along with 15 industries that include newspaper publishing, free-to-air TV broadcasting and many aspects of the music industry.

“The best is yet to come. Don’t be miserable for your children and grandchildren because life in the new age will be better,” said Ruthven.

Neer Korn, CEO of the Korn Group, one of the panellists discussing the report said: “The dream is to work without chains and fulfil the dream of being a tree changer and make money.

“Young people expect change but older people fear change. People are being left behind already because of the rapid pace of change and may need a technological zimmer frame to assist them in participating in the digital world,” said Korn.

“As the services industry is expected to account for 73% of GDP by 2050, we won’t be looking for jobs, but looking for people to do the work,” said Andrew Stevens, Managing Director of IBM Australia and New Zealand.