The spread of China’s “techno-authoritarianism,” its pursuit of the “innovation advantage,” and its incompatibility with the liberal democratic model is the focus of a new report. The underlying dynamics and tensions between markets, non-state actors and governments are compelling governments to pursue strategic alliances and partnerships, and the inherent ideological differences between the Chinese system and those of open market, liberal democracies will influence outcomes, argues analyst Alex Capri.
Beijing’s imposition of the national security law in Hong Kong, as well as its internment of ethnic Muslim minorities in China’s western Xinjiang autonomous region, were just several of the latest provocations causing European policymakers to rethink relations with China. Thus, for Beijing, it has become increasingly difficult to find sympathy in Europe regarding Washington’s campaign to crush Huawei….New partnerships, including the Global Partnership on Artificial Intelligence* (GPAI) and the G7 AI Initiative, that are designed to guide the liberal and transparent development of AI, stand in contrast to China’s export of techno-authoritarianism.
A question that has begun to circulate in trade policy circles is: could a coalition of willing nations form a new global trade institution with standards that require open market principles and democratic ideals? RTWT
In “Artificial Intelligence and Democratic Norms,” the fourth in the “Sharp Power and Democratic Resilience” series from the International Forum for Democratic Studies, Nicholas Wright explores how to establish democratically accountable rules and norms that harness the benefits of artificial intelligence-related technologies, without infringing on fundamental rights and creating technological affordances that could facilitate authoritarian concentration of power.
In Lebanon, around 350,000 Syrian refugees don’t have access to enough safe and nutritious food. To stem the crisis, the World Food Programme (WFP) of the United Nations introduced an electronic voucher system to distribute food aid. People are given debit cards loaded with “e-vouchers” that they can use in certain shops to buy food.
But we found that Syrian refugees living in rural Lebanon often have to make difficult choices when buying essential items at the expense of food. Their e-vouchers can only be used in exchange for food, not other essentials like nappies.
Refugees have to engage in “grey-area transactions” that work around the e-voucher system, by asking shop owners to sell them the nappies and instead record on the system that they bought food. This places refugees in a vulnerable position – shop owners often charge higher prices for scanning non-food items as food, but refugees have no choice but to depend on shop owners to cooperate.
Collective purchasing allows refugees to pool their cash and e-vouchers so that one person can buy non-food items for another and be repaid with food. This allows people a degree of autonomy – they don’t have to rely on shop owners to allow them to buy non-food items using their vouchers. Instead, the community can manage their resources and needs among themselves.
Unfortunately, the e-voucher system prevents refugees from buying goods in bulk. Shop owners are advised by the WFP that purchases by refugees should be typical of buying food for a family. If refugees want to buy enough rice for their community and benefit from a wholesale discount, then the shop owner can refuse the transaction. This makes collective purchasing – something refugees often prefer to do when they have cash available – more difficult.
The WFP is currently piloting blockchain technology to replace this e-voucher system in Jordan and Pakistan. This is an exciting opportunity to alleviate these problems and help to empower both refugees and the shop owners, but only if the refugees themselves are involved.
Food aid designed by refugees
Rather than using a debit card, under this new system refugees would have a digital wallet that is similar to a bank account that you can access online. And instead of it being hosted by a bank, it’s part of the blockchain.
A blockchain is a shared log of transactions, with each user being able to track how much money and goods have been exchanged. This is constantly updated as transactions of food aid and money transfers are agreed between the customer and the shop owner. Each transaction forms a block of new information. The digital ledger is an expanding chain of interconnected blocks of information – hence the name, blockchain.
The WFP is using blockchain technology to cut costs on currency exchange and bank transfers. But the blockchain still allows transactions between refugees and shop owners in the same manner as the e-voucher system. If this new and innovative technology mimics the model that came before, the restrictions on what refugees can do will continue and blockchain will mimic paternalistic aid models that focus on efficiently distributing aid, rather than empowering refugees to leverage their own ways of coping with food insecurity. But if aid is designed with input from refugee communities, the technology could give Syrian people in Lebanon more agency when buying the essentials they need to live.
Blockchain can write smart contracts, which would allow people to buy items together. These are agreements whose terms are automatically enforced by an algorithm. Smart contracts act like a lock box with two keys that can be used to open it, one key is given for each party involved in the contract.
When the smart contract is created, both parties set the conditions that need to be met for them to be able to use the keys to open the lock box. Both keys need to be used for the lock box to open and for the money to transfer to complete the transaction. Before this can happen, both parties must agree that the conditions of the contract have been met. With this, refugee communities can negotiate collective purchases with shop owners and hold them accountable to the agreements they make.
Negotiating the terms of the smart contract means that refugees have more of a say over what they consider to be a fair deal. Once the smart contract is in place, the agreed sum of money for the purchase will be placed in a digital wallet – the lock box – that is bound by the terms of the smart contract. The value of items purchased by refugees is deducted once they’ve verified their identity with a retina scan, but the money will only be released to the shop owner if the refugees verify that they received the items.
We saw how these smart contracts could rebalance the power disparity between refugees and shop owners. Including refugees in the design process of humanitarian technologies and aid models can ensure they incorporate the values and practices of the people they’re supposed to help. Future innovations must be rooted in the daily lives of refugee communities. These technologies can empower people and make a real difference to their lives, but only if they’re allowed to design how they work.
“Scientific future shaped by ICT”: Dubai Science Park Director in a TahawulTech‘s article by James Dartnell is about how and why Marwan Abdulaziz Janahi, the Dubai Science Park’s executive director made such a statement at a time of non-negligible uncertainty not only for that country but for the whole region’s main contribution to the world economy, i.e. hydrocarbons. The highly mediatised UAE’s growing ambitions in Space for notably building a new city on Mars does perhaps come handy in helping to do away with some degree of that uncertainty as well as other things, but what about its ambitions with respect to developing an industry. What about holding on to its present and possibly foreseeable future’s success story in local and regional retail and trade centre? Here is TahawulTech’s article.
“Scientific future shaped by ICT”: Dubai Science Park Director
The executive director of Dubai Science Park has said that the future of the Middle East’s scientific industry will be significantly affected by swift technological advancements.
Marwan Abdulaziz Janahi, who has been confirmed as a judge for tahawultech.com’s inaugural Future Enterprise Awards on 14th October at Jumeirah Emirates Towers Hotel in Dubai, said that IT was now not only saving lives, but also advancing the pace of scientific research.
Dubai Science Park’s work focuses around four main areas of science: human science, plant science, energy and environmental science, and Janahi believes that all are now being inextricably linked with and transformed by technology. “Across all of these areas, technology is an important component,” he says. “There is more and more of an overlap between ICT and these sectors. The essence of managing green buildings is a building management system, which is founded on ICT. Using data to predict human conditions is another prime example of where technology is needed.”
[Marwan Abdulaziz Janahi is part of the judging panel of TahawulTech.com Future Enterprise Awards on 14th October 2018 at Emirates Towers, Dubai.| Learn more about TahawulTech.com Future Enterprise Awards.]
While Janahi believes that “all” industries are being disrupted by technology, he says that the healthcare industry in particular sets to benefit citizens through its transformation. “The changes we’re seeing in digital health are particularly impressive,” he says. “Data that sits within servers can now be mined and used for forecasting, while telemedicine gives allows people who don’t have easy access to medical facilities a chance to be looked after. Even regular GP checkups can be done remotely.”
He also believes healthcare transformation will have a significant knock-on effect on other verticals. “There will be a huge disruption in the insurance industry, and managing the journey of patient, which today is all done offline,” he says. “Wearables will be huge, while technologies for things like blood sugar monitoring that connect to smartphones will have a huge impact. The human and environmental sciences will see the biggest disruption in the scientific field.”
Janahi is a chairing member of the Pharmaceuticals and Medical Equipment Task force of the Dubai Industrial Strategy 2030, which was announced in 2016. The strategy focuses on five other key areas – aerospace, maritime, aluminum and fabricated metals, food and beverages and machinery and equipment – and aims to transform Dubai from being a service-based economy, to one that creates “25%” of its GDP from industrial activity.
“The bulk of Dubai’s GDP comes from logistics, finance and tourism,” Janahi says. “Manufacturing currently creates around 9-10% of it, and we want to increase that number substantially. We want these kinds of enablers to make Dubai more successful, with opportunities for the short, medium and long-term.”
Janahi is keen to broaden his technological knowledge by participating as a judge in tahawultech.com’s Future Enterprise Awards. “I’m really excited to be a judge,” he says. “I’ve seen more and more technology adopted by the healthcare and pharmaceutical industries, but for me it’s interesting to see how technology can be deployed, and how we can learn from other industries.”
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In an ever changing world, and despite the combination of factors all linked to IT infrastructure complexities and security, how investors can support entrepreneurship in the MENA region and the way, businesses and individuals alike are rushing into, for the time being at least, anything digital in the hope that such a move could assure a better present and somehow a decent future, McKinsey’s Dubai office produced this article written by Ahmad Alkasmi, consultant in McKinsey’s Dubai office, Omar El Hamamsy, senior partner, Luay Khoury, associate partner, and Abdur-Rahim Syed, partner. We republish it with our compliments to the authors and thanks to McKinsey’s Dubai office.
It goes without saying that the situation of each country of the MENA has specifics that are not covered here but it remains that to a certain degree, these are nevertheless not totally far from what is said by the authors.
The potential for entrepreneurship in the region is high, based on digital consumption and a startling increase in investment funding for start-ups.
The Middle East and North Africa (MENA) region is one of the most digitally connected in the world: across countries, an average of 88 percent of the population is online daily, and 94 percent of the population owns a smartphone. Digital consumption is similarly high in some countries; for example, Saudi Arabia ranks seventh globally in social-media engagement, with an average of seven accounts per individual.
Despite this sizable appetite for online content and services, key digital sectors remain nascent, and entrepreneurship potential is yet to be fully tapped. Across MENA, only 8 percent of small and medium enterprises have an online presence—ten times less than in the United States. Only 1.5 percent of MENA’s retail sales are online, which is five times less than in the United States. Research by Digital McKinsey suggests that the Middle East has only realized 8 percent of its overall digital potential, compared with 15 percent in Western Europe and 18 percent in the United States.
However, we believe the region is at the start of a new S-curve: MENA is experiencing a startling growth in both the number of successful start-ups and the amount of investment funding available to them (exhibit). Start-ups are scaling by adapting offerings and business models, from digital music to digital logistics, to serve local needs. Examples of this abound, from Fetchr using GPS technology to power delivery in a region with few addresses to Fawry using a local network of retailers to anchor its payment network and overcome barriers in the fintech space.
Moreover, the number of investors in the region increased by 30 percent from 2015 to 2017, while total funding increased by more than 100 percent in the same period. Corporate-venture-capital funds, in particular, are rapidly emerging in the evolving MENA-investment ecosystem. In 2015 and 2016, 14 new, significant CVC funds entered the MENA market. The number of CVC assets under management grew by more than 2.4 times from 2012 to 2016, reaching 20 percent of total venture-capital AUM in the region.
Through items from targeted, venture-capital–like investment funds to structured incubator and accelerator programs, public institutions are also playing an increasingly key role in the start-up ecosystem. Recent examples include the establishment of Fintech Factory in Egypt, FinTech Hive in the United Arab Emirates, and National Fund for Small and Medium Enterprise Development in Kuwait.
Overall, the ecosystem supporting the growth of MENA’s start-up landscape has been falling into place. However, distinct gaps remain for investors in properly identifying potential in new business models and in scaling chosen start-ups. We recommend investors in the start-up space adopt the following six best practices to unlock the potential of entrepreneurship in the MENA region:
·Develop robust investment theses leveraging local context.
·Capture and proactively engineer network effects.
·Invest at scale.
·Manage performance with a patient, programmatic growth mind-set.
·Secure investment independence in governance to win the right talent.
·Monitor key performance indicators in line with the value-creation model.
Local MENA entrepreneurs have demonstrated they can be innovative and bold to meet changing demand. The appropriate adoption of best practices in venture investing can create significant value for investors, promising new businesses, and the entrepreneurship ecosystem in the region
Autonomous vehicles are coming and they have the potential to radically better our lives. But to reap the rewards of this new technology, we first have to adapt the world to its requirements. This means preparing the way for massive engineering projects that will introduce the latest generation of mobile networks into our cities. As future autonomous vehicles become safer and more efficient, they will rely on high-bandwidth mobile networks to wirelessly share and receive data from each other.
Here is an account of Saber Fallah, Director of Connected Autonomous Vehicles Lab at the University of Surrey on what looks like the ‘not-so-far-future’ in the developed world; the MENA region being only marginally affected with some realisations in the Gulf countries. Hence our proposed featured above picture with our due compliments to the author and publisher.
Self-driving vehicles currently work by collecting data from an array of sensors, which is then interpreted by various algorithms. These algorithms tell the vehicle where to drive, at what speed and when to stop.
But the data that these sensors collect is inherently limited. The vehicle cannot see any vehicles outside of its field of vision, nor can it be aware of traffic occurring ten miles further down the road. To overcome this, future autonomous vehicles will be constantly accessing and interpreting data collected by thousands of surrounding vehicles, and roadside units (computing devices that provide connectivity support to passing vehicles). Huge swathes of additional information will be provided to the vehicle about road surface, weather, traffic conditions, other vehicle information and intended control actions.
We expect that driverless cars will be commercially available by 2025 and the whole UK transportation system will be fully automated by 2070. When this happens, these vehicles will sometimes be controlled by a traffic management system, which could activate useful manoeuvres such as platooning, when automated vehicles travel very closely together at very high speeds, and intersection management. These connected autonomous vehicles (CAV) will create a completely different transportation network for future generations and one that is safer, faster, more efficient, more environmentally friendly and more productive. As we rapidly approach the point at which CAVs are ready for the streets, we have to make sure that our streets are ready for them.
With so much data needing to be shared, having a high bandwidth and fast wireless communication technology is essential. The next generation of wireless communication systems, based on the faster 5G technology, can potentially provide the required bandwidth. But to achieve this, we need to begin drastically increasing the number of radio antennas and roadside units in cities.
Even the most recent networks (4G LTE) that exist today simply aren’t up to the task and will have to be upgraded. 5G networks will demand faster and more flexible infrastructure that can adapt to unexpected problems. Countries across the world will also have to invest heavily in new roadside units’ that can help reduce any data delays and minimise the reliance on network data centres, by acting as alternative data sources. At the same time, the security of these networks have to be considered, ensuring the safety and privacy of all communication over them.
The slowly turning gears of policymakers are currently lagging behind the astronomical progress of connected autonomous vehicles. The Netherlands is currently the country furthest ahead in preparation, thanks mainly to its excellent road infrastructure. Singapore’s decision to allow self-driving cars to be tested on public roads mean that it is quickly also becoming a world leader in this field. Both the United States and Sweden are also beginning to prepare for this future.
Across the world, many governments are coming to realise the necessity of infrastructure change. For example, the UK government recently announced its goal of becoming a global leader in autonomous vehicles, with new development and testing areas to be championed. Indeed, several UK-based projects are attempting to lead the country onwards. UK CITE is equipping 40 miles of urban roads, dual-carriageways and motorways within Coventry and Warwickshire with extremely fast data networks required by CAVs. Another project, E-CAVE, is adapting Ordnance Survey digital data to help the development of CAVs. The data, which is used to create a local map of the environment, enhances the perception of CAVs and allows them drive more safely.
Even with the vast technological challenges and regulatory hurdles currently encompassing the deployment of autonomous vehicles, it’s not a question of “if”, but rather “when” they will be prevalent on the roads. Now is the time to have a conversation over developing the correct urban infrastructure for this new age.
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