July 8, 2024
BEIJING – Every September, heads of state and governments convene in New York for the annual UN General Assembly to engage in diplomatic dialogues on global issues. In 2024, in addition to the regular agenda, presidents, monarchs, and prime ministers will gather for the Summit for the Future to assess the progress of the Sustainable Development Goals (SDGs) halfway towards the 2030 target.
A distinctive feature of this summit is expected to be the UN’s first Global Digital Compact (GDC). This pioneering international framework will guide nations worldwide in managing the rapid digital transformation and addressing its potential uneven impacts.
It will do this by outlining international standards on shared principles for an open, free, and secure digital future, addressing critical issues like digital connectivity, human rights online, and the prevention of Internet fragmentation globally.
The first revision of the recently published Zero-Draft of the GDC by the UN Tech Envoy’s Office includes compelling provisions for involving the private sector, such as the tech industry and developers, to contribute to and implement the framework once adopted by member states.
Article 29 (b) of the draft highlights the pivotal role of the private sector in fostering global digital inclusivity by urging digital technology companies and developers to co-create industry accountability frameworks. These frameworks should define responsibilities and establish standards, acknowledging the historical leadership of the corporations in technological innovation.
The Asia-Pacific (APAC) region is home to 4.3 billion people — more than half the world’s population — but nearly 40 percent of them remain unconnected to the internet. Where digital divides persist and the population is rapidly digitizing, the stakes are particularly high.
Not only will the GDC close the governance gap by providing a framework that encompasses the development of digital infrastructure and services, but it also seeks to ensure digital benefits are accessible to all. This includes expanding affordable and reliable internet access, which is essential for economic development and social inclusion.
It is critical for governments in the region to actively participate in the negotiations of the GDC. It is especially essential to ensure that the aspirations and needs of their population are met, transforming the potential marketization of their population by global tech giants into real progress in reducing the digital divide.
We have witnessed the private sector playing a pivotal role in advancing digital inclusion as it possesses the resources necessary to drive innovation. In developing countries, the innovation of private tech companies acts as a catalyst for economic growth, new job role creation, the emergence of new digital skills, increased financial inclusion through e-banking, and the growth of micro, small, and medium enterprises and startups.
However, the World Benchmarking Alliance’s Digital Inclusion Benchmark 2023, which assesses the world’s 200 most influential tech companies, found that only 14 percent have a corporate commitment to advance digital inclusion. In the APAC region, where only two-thirds of the population has internet access, the commitment to digital citizenship is even lower than the global trend.
For instance, only 12.2 percent of tech companies in APAC are committed to online child safety, compared to a global average of 14 percent. Additionally, with women experiencing 10 percent less internet connectivity than men, only 28 percent of APAC tech companies focus on digital inclusivity for women and girls.
As one of the fastest-growing regions globally with a robust economic digitalization appetite, projected to reach beyond a gross merchandise value of $4 trillion by 2030, APAC governments must develop a unified stance for the forthcoming GDC.
This position should ensure that essential provisions on tech industry accountability are articulated in the GDC and further trickle down to regional and national regulatory frameworks that translate the ambition of an inclusive, safe, and trustworthy digital transformation for local communities.
Key regulatory proposals for corporate accountability in the digitalization sector include setting a minimum threshold for domestic components in tech products and ensuring a higher representation of the local workforce compared to foreign labor to enhance the trickle-down effect of digital skills. Other key proposals include incentivizing the inclusion of start-up products in larger tech supply chains and implementing industry-specific programs to scale up digital access, usage, skills, and innovation.
All of these should also be consequential to the sustainability of the companies. Only by having the private sector on board with the digital transformation agenda, can APAC fully unleash the benefits of innovation and technology in achieving the 2030 agenda.