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Network Wonderland Rael a Fenchurch Demos has received invaluable support from a wide range of organisations including: Northern Foods, Cable & Wireless plc, Pearson, Scottish and Newcastle, National Westminster Bank plc, British Gas, Shell International, Stoy Hayward, the Esmee Fairbairn Foundation, the Joseph Rowntree Charitable Trust, the Rowntree Reform Trust, the Inland Revenue Staff Federation, Etam, Heidrick and Struggles, the Charities Aid Foundation, the Corporation of London, and the Economic and Social Research Council. Demos’ Advisory Council includes: John Ashworth, Director of the London School of Economics Clive Brooke, General Secretary, Inland Revenue Staff Federation Jack Dromey, National Officer TGWU Sir Douglas Hague, Templeton College Jan Hall, Chief executive, Gold, Greenless Trott Stuart Hall, Professor of Sociology, Open University Chris Ham, Professor of Health Policy, Birmingham University Charles Handy, author and broadcaster Ian Hargreaves, Editor, Independent Christopher Haskins, Chairman of Northern Foods plc Martin Jacques, Journalist Richard Layard, Professor of Economics, LSE David Marquand, Professor of Politics, Sheffield University Sheila McKechnie, Director, Shelter Julia Middleton, Director, Common Purpose Yve Newbold, Company Secretary. Hanson plc, Director, British Telecom Sue Richards, Director, The Office of Public Management Anita Roddick, Group Managing Director, Body Shop PLC Dennis Stevenson, Chairman, SRU and the Tate Gallery Martin Taylor, Chief Executive, Barclays Bank plc Bob Tyrrell, Chief Executive, The Henley Centre. Open access. Some rights reserved. As the publisher of this work, Demos has an open access policy which enables anyone to access our content electronically without charge. We want to encourage the circulation of our work as widely as possible without affecting the ownership of the copyright, which remains with the copyright holder. Users are welcome to download, save, perform or distribute this work electronically or in any other format, including in foreign language translation without written permission subject to the conditions set out in the Demos open access licence which you can read here. Please read and consider the full licence. The following are some of the conditions imposed by the licence: • Demos and the author(s) are credited; • The Demos website address (www.demos.co.uk) is published together with a copy of this policy statement in a prominent position; • The text is not altered and is used in full (the use of extracts under existing fair usage rights is not affected by this condition); • The work is not resold; • A copy of the work or link to its use online is sent to the address below for our archive. By downloading publications, you are confirming that you have read and accepted the terms of the Demos open access licence. Copyright Department Demos Elizabeth House 39 York Road London SE1 7NQ United Kingdom [email protected] You are welcome to ask for permission to use this work for purposes other than those covered by the Demos open access licence. Demos gratefully acknowledges the work of Lawrence Lessig and Creative Commons which inspired our approach to copyright. The Demos circulation licence is adapted from the ‘attribution/no derivatives/non-commercial’ version of the Creative Commons licence. To find out more about Creative Commons licences go to www.creativecommons.org Demos Quarterly Issue 4/1994 Demos Quarterly is published by Demos 9 Bridewell Place London EC4V 6AP Telephone: 0171 353 4479 Facsimile: 0171 353 4481 © Demos 1994 All rights reserved Editorial team: Geoff Mulgan Daniel Sabbagh Martin Bartle Joanna Wade Zina Saro-Wiwa Ian Christie Ivan Briscoe Liz Bailey Printed in Great Britain by EG Bond Ltd Design and art direction: Esterson Lackersteen Special thanks to: Helen Norman Andrzej Krause Contents FEATURES Networks for an open society 1 Geoff Mulgan Before we rush to declare a new era 19 James Woudhuysen Network wonderland 33 Rael A. Fenchurch Push-button professionals 37 Sir Douglas Hague Plug-in politics 49 Martin Bartle The lean controllers: The new patterns of regulation 51 Martin Cave Open architecture: The case for separating networks 61 and services Suzanne Warner and Jonathan Solomon Netfacts 67 Daniel Sabbagh Architechnology? 79 John Welsh Demos 4/1994 McJobs or MACJobs: will the network make work? 83 Ian Christie and Geoff Mulgan Down your superhighway: shopping in 91 the electronic parish Nick Rowan Dial B for banking 97 Ian Courtney and Kevin Morgan Self-health and the virtual health service 101 Daniel Sabbagh The ABC of educational multimeda 107 Mark Edwards Regional is beautiful 111 Andrew Davies REGULARS Making vice a virtue 117 Jon Norton Project reports 121 Media Watch 127 vi Demos Liberation technology? Five years before the millennium governments across the world are trying to decide how best to develop the communications networks which they believe will be the key economic and social infrastructures for the next century. So far most of the debate has been about regula- tion, competition and technological choices. But important as these are, they are not the whole story. Equally important are questions of culture and uses: how to nurture the enthu- siasm and creativity of the children and teenagers who are now far more at home with the networks than their parents; how to improve learning and health; how to widen access from the technophiles to the rest, from the young to the old, from the rich to the poor. Perhaps most important of all is the question of whether networks will truly be servants of an open society: open to service providers and citizens, and open in the sense of making public life and decisions more transparent and responsive. This special issue probes these questions. It deliberately seeks a bal- ance between overoptimistic hype and unrealistic pessimism. Along- side analyses of how networks should best be regulated, it focuses on their uses, in fields ranging from the professions to buildings, educa- tion to shopping. It illuminates some of the complex choices and points to how they might be resolved, proposing: a shift in public policy focus from hardware to software, technologies to applications Demos vii Demos 4/1994 a new model of regulation entailing a separation of networks and services, and reformed approaches to pricing, social issues, contents and access regulatory guarantees that networks will be open to service providers and direct public involvement in policy decisions political vision and leadership to involve the public, combined with experimental applications across a very wide range of institutions. Ensuring that technologies achieve their potential to liberate will not be easy. It will depend on foresight, care and active choice. It will depend on a clear grasp not only of the economics (and the dynamics of com- petition and monopoly), but also of the culture. It will depend on an informed public debate about who benefits and how. As the networks develop at breakneck pace it is to these more complex questions that the debate now needs to turn. viii Demos Networks for an open society Geoff Mulgan 1994 is a year of anniversaries. 150 years ago Samuel Morse’s first tele- graph messages were sent between Washington and Baltimore. 60 years ago the US established its Federal Communications Commission. 10 years ago we saw both the breakup of AT&T,and also the privatisation of BT. Looming on the horizon too is the most resonant anniversary of all, the millennium which is set over the next five years to focus people’s minds far more effectively on the future – its possibilities and its dangers. The future of the networks must be central to this. But as yet there is surprisingly little policy clarity about how best to foster high per- formance and life-friendly networks. One reason is that governments still need to discard two older models: on the one hand the directive, technology push model of the 1960s and 1970s which still has many advocates, often funded by vested interests involved in a particular technology solution, and on the other the belief that market forces on their own can make decisions effectively. Recent experience suggests that governments cannot avoid playing a role in shaping technological choices. But there are also other shifts in gear that will be needed if the right choices are to be made. Too often debate about networks has oscillated between absurd hype and equally unrealistic scepticism. Too often debate is dominated by technologists Geoff Mulgan is Director of Demos, and author of Communication and Control: networks and the new economies of communication (Polity, 1991). Demos 1 Demos 4/1994 and economists. Not enough attention is paid to how networks will be used, and to the very valid public fears that they will have no control over how networks circulate information about them. Moreover, too often debate is still couched in general terms, rather than acknowledg- ing that each nation, even perhaps each city and region, will need to develop its own solutions appropriate to distinct histories. In the last year, two factors have driven policy debate forward. One is the pace being set by the USA. There, an activist President and Vice-President are feverishly encouraging interest in the information superhighway, pushing through new legislation for re-regulation and deregulation, and helping US firms compete in the key markets for hardware and software. Much of what they are doing is based on simplistic high-tech hype, but it appears to be effective hype. The second factor is fear of being left behind. With strong industries in communications and tradeable services the UK is legitimately wor- ried that policy mistakes now will have costs far into the next century. Across Europe, problems of competitiveness in electronics and telecom- munications have not been resolved. But neither large-scale R&D pro- grammes nor deregulation will solve these problems on their own. Many of the issues raised by technology are universal. But what should be done in Britain in particular? First we need to acknowledge the strengths and weaknesses.
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