The government of the United Kingdom has hired the former chief economic adviser of Barrack Obama, the Former President of the United States of America, to tackle the competition between the tech firms in the United Kingdom and the tech giants in America.
Jason Furman is currently working at Harvard as a professor. He will now be the chairman of a group of experts that aims to analyse whether the emergence of tech superpowers such as Facebook and Google has come at the expense of smaller startups that are looking to make a global impact.
Philip Hammond, the chancellor of the United Kingdom, stated: “Our tech sector is now worth over £116b and a new digital job is being created in this country every 50 minutes.”
He added: “This is something to be proud of, but at the same time it is only right that we ask the big questions about how we ensure these new digital markets work for everyone.”
The panel is composed of experts who are from across the tech industry. They all have the knowledge of digital markets and competition law. They are tasked to consider how the United Kingdom will be able to make progress while making sure that new companies can compete adequately.
Particular attention will also be given towards the effect of foreign takeovers on the tech companies of the United Kingdom. The that has earned focus during the past weeks following the revelation of the government of a white paper regarding the issue.
The investigation was initiated by the Treasury. It will run from September until early next year, prior to the release of a final report.
The government published its findings in tandem with the declaration that said the data-driven technology could be worth approximately £60bn per year to the economy of the United Kingdom by 2020.
The competition in the tech industry has increasingly been a significant issue for those who are involved in the sector this year, ahead of the scheduled exit of the United Kingdom from the European Union.
Last month, Google, a tech giant, was imposed with a record-breaking fine amounting to £3.8bn. The fine was imposed by the European Commission following an investigation that discovered that it had abused the market dominance of the company’s Android operating system.
Furman stated: “While digital markets have produced significant consumer benefits, including in the UK, we need to fully understand how competition policy needs to adapt going forward.”
He added: “Our focus needs to be on ensuring that consumers continue to benefit from these new technologies while maximising the innovative potential from the economy.”