HUBEDITORIAL

What next for the Digital Economy in Ireland?

It was definitely a ray of sunshine during a week of bad economic news to see that online gaming company GOA was to create 400 Multilingual Customer & Operations Support Centre jobs in The Digital Hub. GOA is the online Games Division of Orange, Europe’s third largest mobile telephone operator and the largest provider of broadband services.

It was this and a mention by Tánaiste Mary Coughlan of the desire to develop Ireland as an Intellectual Property hub that got The Hub to wondering what initiative could coalesce the current digital media offerings in Ireland into a more coherent and truly global offering.

We have had success in this area before, all be it in a different industry sector: the International Financial Services Centre (IFSC), or An Lárionad Seirbhísí Airgeadais Idirnáisiúnta (LSAI), based in Dublin is now regarded as being a major economic engine for Ireland and arguably, its success was a cornerstone for the Celtic tiger era that followed its establishment. The centre was originally the brainchild of an associate of the billionaire Dermot Desmond, who together approached Charles Haughey, then in opposition, who made it the centre-piece of his economic manifesto (a brave move during recessionary times) when he came back into power. The Finance Act, 1987 (Section 30) allowed for the designation of such an area.

According to IDA Ireland, the main driving forces for attracting foreign investment to set up in the IFSC included: competitive corporation tax rate of 12.5 percent; the fact that Ireland is the only English-speaking common-law jurisdiction in the Euro zone; an extensive tax treaty network (41 treaties, and nine others awaiting ratification); EU and OECD approval; sophisticated pro-business regulatory environment; proactive, all-party political support; and world-class professional services. Other incentives for companies setting up in the IFSC also included: exemption from withholding tax on interest paid to non-residents; tax exemption for collective investment/life assurance funds; and no net asset value tax on funds.

Now as the financial sector worldwide stares into the abyss and our economy once more faces tough times ahead, it would make sense that another bold move be made to ground Ireland’s economic future. Times have changed and as we move closer to Europe (the Lisbon Treaty excluded), our hands are tied somewhat from offering the same generous incentives. However, where we can make a difference is tackling a global need with innovative solutions. Digital Media or more specifically, Digital Content offers a fine opportunity.

First off, what do I mean by digital content? Well, it is just over 5000 days since the Initial Public Offering of Netscape on August 9th 1995. Many observers have argued that this heralded the birth of the internet boom as we know it as the money raised from the IPO allowed Netscape to give away their internet browser for free. This also set the field for open standards on the internet and created a competitive landscape that has meant that the internet has thrived as a pluralistic endeavour.

Over the last 10 years we have seen the majority of the world’s content – be it audio, visual or text – being digitised in some form and made available online. Indeed, the big daddy of the web at present – Google – has as its oft-stated mission: “to organize the world's information and make it universally accessible and useful.”

However, the problem with that, increasingly, has been the issue of copyright. Much of the world’s information is owned by someone – but that hasn’t stopped it being digitised and made freely available. Google’s mission has run into sizeable opposition both in terms of its online books project and its acquisition of YouTube, where a sizeable lawsuit for copyright infringement is still pending with Viacom. The internet has brought about a new world order where freely available has come to mean free and that, quite simply, is unsustainable. Someone has to get paid for making worthwhile content…or else it doesn’t become worthwhile.

However, piracy, to a large extent, is also due to the machinations of content holders trying desperately to control the free distribution of their content. In an analogue world, that meant contending with backstreet boot-leggers. In a digital world, that means taking on every kid in the world with an internet connection. This equally is an unsustainable situation.

So an enormous opportunity for Ireland is to create a clearing house for digital rights – providing the legal expertise and technical know-how to assist rights holders worldwide to take advantage of the new medium for the distribution and exploitation of their content globally. This would not only provide a destination for high value knowledge economy activity with global reach; it would potentially act as a magnet for ancillary service providers to set up here such as video on demand platforms or co-location facilities. This legal and technical offering could be the cornerstone of a larger project – an International Content Services Centre – the content equivalent of the International Financial Centre, dealing instead in global content as opposed to capital.

Already we have indigenous world-class digital media companies like DV4 who are offering these services, if only on a more limited scale. Graeme Kelly, Digital Producer with DV4 says that they have “over 10,000 music videos (Sony, Warner Universal & EMI) in digital format that we deliver to 22 countries worldwide for Vodafone and to the Itunes music store.” For content owners managing the rights and making sure the right format is delivered is of utmost importance. “Ireland” Graeme adds, “as a world class hub for localisation is ideally positioned to be at the centre of the worldwide digital distribution network.”

Indeed, a new report from the Irish-based Institute of International and European Affairs, entitled “The Next Leap”, will shortly make that very recommendation, based on a consultation with stakeholders across the Irish digital sector including the Digital Media Forum, the Irish Software Association and the Digital Hub Development Agency. Among The Next Leap's key recommendations is the development of a strategy to develop a Digital IFSC, established on the foundations of the Digital Hub. The first step, according to IIEA Senior Researcher Johnny Ryan, is for government "to convene a wise person’s council, involving some of the figures behind the IFSC, to consider whether and how to establish a Digital IFSC".

So what other activities could be generated within such a centre. With the advertising industry globally embracing the internet (with online spend expected to be valued at $80.7 billion per year by the end of 2011 – Research & Markets 2008), the need for media-buying, hosting, tracking and optimisation of online advertising is a potential core activity that could be based in Ireland.

With advertising monoliths like WPP planning to base themselves here, fleeing the onerous corporation tax base in the UK, these opportunities are potentially there to be seized, if a timely co-ordinated plan were invoked.

We already have a relatively strong burgeoning online advertising sector, with enterprises like ICAN, Sales Online and the newly formed Electric Media. Adding a global professional service is the obvious next leap.

Another potential activity relates to the future strategies of a number of multi-nationals whose European offices are currently head-quartered here – namely Microsoft, Google, IBM, Amazon and most recently, Facebook. All of these companies have outlined their strategy for the next phase of the internet – namely Cloud Computing. The race towards the Cloud – basically a globally-accessible hard drive that users can access through the internet - is as much about offering consumers content anytime, anywhere and on any device, but also about empowering the user-base to create their own content and applications that can be housed on the grid.

All of the above have released so-called Software Developer Kits – literally open source code instructions for developing applications that can sit on these companies various platforms, be it a mobile phone operating system like Google’s Android or a social network like Facebook or MySpace.

The impending explosion of user-generated content – both amateur and professional – will demand increasing management, both in terms of copyright issues and also payment fulfilment, hosting, legal obligations, accessibility etc. Ireland has a real opportunity to grasp this opportunity just as we did in the 80’s when the Financial Services sector became an increasingly global business. Entertainment, educational, instructional and public service content worldwide could be managed and hosted from Ireland, with an International Content Services Centre providing a co-ordinated, end to end managed service for content creators and copyright holders globally. It’s a big idea. But it’s no bigger then the one we’ve already successfully achieved on the banks of the Liffey.

So where could such a Services Centre be located? Well, already we have a world-class enterprise area targeting digital media start-ups collectively called The Digital Hub. This is also home to the National Digital Research Centre. Dr. Stephen Brennan, Head of Marketing & Strategy at The Digital Hub argues that “the main effect of this concept will be on foreign direct investment into the digital media industry in Ireland. The aim of building such a centre would be to produce scale and focus in the digital content domain. This would be targeted at foreign investment opportunities. The effect on the small and diverse indigenous digital media industry would be relatively small.” The kind of services he could envisage are: Tax designation aimed at international content distribution and associated e-commerce, Digital rights legislation to allow for operations akin to the funds activity in the IFSC and international telecommunications network connectivity with the USA, EU and Asia.

However, the long-term benefit that we have seen from the IFSC has been to accrue wealth into this country that has is turn facilitated the growth of other industries, both large and small. It might be simplistic to say, but all boats will rise if we have a determined effort to locate these new forms of product and services within the county. As The Digital Hub moves towards re-development, the location of an International Content Services Centre would be a welcome cornerstone to achieving Ireland’s aim of being a world-class knowledge economy – not just developing our own knowledge, but like Google managing the world’s knowledge as well.

HUBNEWS

News

Relaunched: Ireland’s digital creative network - www.thedigitalhubexhibit.com

The Exhibit Website - www.thedigitalhubexhibit.com- has been re-launched with added features to help digital media creative’s to exchange news of events, display their work in an online gallery and to encourage collaboration, social networking and a lot more. Galleries, organisations, artists and groups are also welcome to add their exhibitions/events/news and blogs to the site. Visit www.thedigitalhubexhibit.com to create your account today.

20th November 2008: Second annual Best in Show opens

Best in Show is an exhibition of work from Digital Media students from a cross section of colleges.
Click here for a review of the work of participants from the inaugural ‘Best in Show’ which took place in The Digital Hub in November 2007. The successful applicants for ‘Best in Show 2008’ have been announced on www.thedigitalhubexhibit.com. The exhibition will be launched in Digital Exchange, Crane Street, The Digital Hub, Dublin 8 on 20th of November and will be open to members of the public from 21st to 27th of November. For all other details please see www.thedigitalhubexhibit.com or email exhibit@thedigitalhub.com

Digital Media courses @ The Digital Hub

The Digital Hub offers short intensive courses in specific aspects of digital media. From introductory courses for those just starting out, to master classes aimed at industry professionals our experienced lecturers will share their skills in a professional friendly environment.
 
Please check www.thedigitalhubelevate.com for course updates and fees.

Da Gist – new TV series airs on DCTV

On the 22nd of October teenagers from inner-city Dublin attended a special big-screen viewing at the IFI in Temple Bar of a television programme they produced themselves. ‘Da Gist’, a new series targeted at 14 to 21 year-olds, was developed through a partnership between Bradóg Regional Youth Services and The Digital Hub. It was produced with the support of the Broadcasting Commission of Ireland’s Sound and Vision funding scheme.

Broadcast on Dublin Community Television (DCTV) NTL Digital Channel 802, ‘Da Gist’ premiered on Friday 24th October at 6pm, with a new episode due for broadcast at the same time each of the following three Fridays. A promotional video for ‘Da Gist’ is currently available to view on YouTube.

DARE2BDRINKAWARE -  Film competition for 3rd level students launched

A film competition aimed at promoting responsible attitudes towards alcohol was launched at The Digital Hub on the 9th of October 2008.  Now in its second year, DARE2BDRINKAWARE is a digital film competition open to third-level students throughout Ireland. It is sponsored by drinkaware.ie and organised by the Digital Hub Development Agency (DHDA). Award-winning Irish director Lenny Abrahamson, the director of internationally acclaimed films such as ‘Adam and Paul’ and ‘Garage’, will deliver the keynote address at the DARE2BDRINKAWARE awards ceremony next April.

Students now have less than two months to come up with film ideas for DARE2BDRINKAWARE: the deadline for receipt of proposals is Friday, 12th December 2008. Teams that have submitted successful proposals will then have until 3rd April 2009 to produce and submit their short films.

Further information and full guidelines for the competition are available at www.DARE2BDRINKAWARE.com.

HUBEVENTS

Events

13th of November 2008: Digital Media Engagement
Location: Burlington Hotel, Dublin 2.

We are living in interesting times. The unprecedented economic turmoil, combined with the lightning paced rise of online as the main driver of growth in advertising and marketing means that now, more than ever, the internet is the largest marketing challenge we have ever faced. Marketers need to re-assess the historically accepted dynamics of advertising & media. It is not that the Internet is rewriting previous theories, but it is challenging them fundamentally and adding it's own Join us at Digital Media Engagement 2008 on November 13th at the Burlington Hotel Dublin and meet the very top minds in the field of internet marketing to see how you can meet these new challenges head on. Join us there and expand your horizons.......

More info:
Contact Des or Gail
Tel: +353 01 2846096
info@thebrainfoodstore.com

13th November 2008: 3rd Annual Data Protection Practical Compliance Conference
Location: Radisson SAS Royal Hotel, Golden Lane, Dublin 8.
Time: 9-5pm
Price: €995 plus VAT (€1,203.95)

This Data Protection Conference is a one-day event specifically designed to deliver the latest thinking in the rapidly expanding fields of data protection, data security, compliance and privacy. The keynote speaker is Billy Hawkes, the Data Protection Commissioner who will speak on ‘The good practice guide: how to avoid being investigated by the Commissioner’. Other topics include data sharing, dealing with data breaches, marketing, and training staff in data protection compliance.

More info:
Tel: +353 (0)1 657 1479  
Fax: +353 (0)1 633 5853 
http://www.pdp.ie/conference/

13th November 2008: “Lighting the Future”: Strategies for Education and Research Networking
Location: Lyrath Estate Hotel, Kilkenny, Ireland
Price: €545

The HEAnet National Networking Conference 2008 will attract IT Service Managers, Senior Technical personnel and key academics and researchers from HEAnet's clientele of Universities and other Irish Third Level and Research Institutions. This event will offer a unique opportunity to present and discuss technical, practical and strategic aspects of providing advanced Internet services and applications to the Research and Education community in Ireland.

More info:
conference@heanet.ie
Tel: +353 (01) 660 9040
Fax: +353 (01) 660 3666
http://www.heanet.ie/conferences/2008/

18th November 2008: ZFS Discovery Day
Location: Sun Microsystems, Boole House (Block R), East Point Business Park, Dublin 3.
Time: 9.30am-1.15pm
Price: Free

Attend our ZFS Discovery Day. A Sun expert will explain the design concepts of ZFS and outline Sun's open storage strategy. Delegates will learn how to set up file systems using ZFS and how to employ in-built facilities such as copy on write snapshots and data replication, and all of this will be demonstrated using the latest Sun CMT and X64 servers, combined with the latest open storage hardware. Delegates will then take a look at how ZFS and Solid State Disks can be combined to accelerate application performance. Various usage scenarios will then be demonstrated, such as MySQL, replication and porting from a legacy volume manager in a 'live' application environment. The session will conclude by demonstrating the Common Array Manager and with an investigation into the savings in total cost of ownership. Sun and ZFS can help you dramatically reduce your acquisition and operating costs, whilst providing the performance and security that is delivered through this advanced file system. Stop using technology that was designed for 20th century systems....move into the 21st century with Sun and ZFS.

More info:
info@hos.horizon.ie
http://www.hos.horizon.ie/events/zfs

18th November 2008: AMAS seminar on ‘Securing business from the public sector’
Location: Presentation Room, Digital Depot, The Digital Hub, Dublin 8
Time: 1pm – 2pm

AMAS is the leading Irish consultancy specialising in online channels. Their presentation will cover:
New business opportunities for digital media companies.
Marketing, promoting and selling your company to the public sector.
The do’s and don’ts of public sector procurement.

More info:
Register your interest in attending by emailing info@thedigitalhub.com

19th November: Matheson Ormsby Prentice seminar on ‘Investment opportunities for Start-up companies’
Location: Presentation Room, Digital Depot, The Digital Hub, Dublin 8
Time: 1pm – 2pm

Presentation will cover investment opportunities for digital media start up companies particularly in the areas of venture and seed capital funding:
 An overview of the different types of investment available, the structure of such investments and the documentation typically involved in such investments.
A unique opportunity to learn more about the mechanics of such funding and the risks and rewards involved.
Dealing with any queries the participants may have in relation to the process.

More info:
Register your interest in attending by emailing info@thedigitalhub.com

19th November: Enterprise Support Day as part of the Dublin City Enterprise Week
Location: City Hall, Dame Street, Dublin 2
Time: 9:30am – 6.00pm

Dublin City Enterprise Board supported by Dublin City Council and organisations involved in the promotion of enterprise are coming together to host a Dublin City Enterprise Week. Enterprise Support Day will see a number of events take place in City Hall, including a Focus on Technology event with a panel of guest speakers including Damian Mulley, a lunchtime seminar, a debate chaired by John Bowman with a panel of 7 people including Jay Bourke (Café Bar Deli), Marc Coleman (Economist, NewsTalk 106), Brian Carey (Sunday Times), Damian Young (Bank of Ireland), the evening event will focus on start up businesses and the theme of Change.

More info:
For a full listing of the day’s events and booking form please see www.dublincityenterpriseweek.ie

20th November 2008: eircom Golden Spiders Awards
Location: Burlington Hotel, Dublin 2.

The Golden Spider Awards are an annual event honouring Irish individuals and organisations for their outstanding achievements online and celebrating the successes of the Irish internet and digital media.
The awards not only reward Irish businesses and community organisations but also individuals for their creativity and innovation. The Golden Spiders provide an important opportunity to recognise and showcase online excellence and are considered an important benchmark for distinction and merit in web-based business strategies.
This year’s 24 different categories range from "Internet Hero" to the overall "Grand Prix", acknowledging the achievements across a wide range of industries - including Media, Entertainment, Sports & Leisure, Finance, Retail, Professional Services, Travel, Tourism & Hospitality and e-Business.

More info: www.goldenspiders.ie

25th November 2008: Logical Domains Discovery Day
Location: Sun Microsystems, Boole House (Block R), East Point Business Park, Dublin 3.
Time: 9.30am-3.00pm
Price: Free

Attend our Logical Domains Discovery Day. In the Morning, a Sun expert will explain the concepts of chip multi-threading and how this can be virtualised using LDoms. Various usage scenarios will then be explored, such as server consolidation, binary compatibility between Solaris versions, Solaris 8 containers, Database consolidation and more. You will then see a demonstration of a fully operational LDom system. The morning session will conclude with an explanation of the potential savings in total cost of ownership. In the afternoon, an optional technical workshop will take you much deeper into the configuration, build, data migration and management of these systems and discuss migration strategies and best practices. Sun and Logical Domains can help you reduce your power consumption, heat output, required space, server acquisition costs, support costs and management costs...and avoid licensing charges for server virtualisation.

More info:
info@hos.horizon.ie
http://www.hos.horizon.ie/events/ldoms

27th November 2008: Software Release Management Seminar
Location: Jury’s, Croke Park, Dublin 1.
Time: 9am
Price: Free

Pushing out releases can be painful. Once code is built, the Application Development team's work is largely done, but it's just the beginning for IT Operations for testing and pre-production. And the handoff between the different teams is typically complex, cumbersome and manual. If you would like to know more about how you can simplify the handoff from AD to IT Ops, and reduce the costs and risks associated with deploying applications to production, you need to attend this seminar. In "Crossing the Chasm of Application Deployment," you will learn how you can effectively manage multi-dimensional, cross-departmental projects, navigate "gray" zones, and succeed at global deployment. You will also see a live demo of Serena Dimensions CM, our solution to simplifying Application Deployment.

More info:
Tel: +44 1727 812812
ukinfo@serena.com
http://www.serena.com/pages/campaigns/09ukalm_crossing-the-chasm-of-application-deployment/index.html?Campaign_Id=43640&Activity_Id=30781