Why IT companies are so concerned by latest (and future) USA administration moves.


Latest USA administration moves are rising a lot of concerns towards the IT community, and a lot of concerns worldwide.

There are, of course, different sentiments related to political beliefs, ethics and moral considerations that should be considered. I will not enter here in the political, ethical and moral arena to present my personal point of view on the specific subject but I would like make some considerations on the IT sector reactions to what is happening.

It is an easy prediction that the future economic outlook will be impacted by USA administration approach and actions, and this can cause understandable reactions on the various stakeholders.

It is interesting to note the different approach from companies that need a global market to survive, as the technological ones, and the ones that rely on local and few other markets.

This difference is, nowadays, more evident on the IT (SW, HW, Services) sector, a highly technological and advanced area that has 2 important needs:

1) highly qualified and skilled personnel

2) a global market to act on

Setting aside the ethical and moral considerations (which are, don’t get me wrong, imperative to anyone), from a business point of view there is no doubt that some markets (as the technological one) need globalization more than other to prosper and survive.

The IT market, although, cover a critical position here, since it is the engine of the 4th industrial revolution and it is facing, as of now, a growing resistance from the older economical model players; comments and reactions I have seen on various platforms are mostly expression of this growing sentiment.

The IT market needs, market historically leaded by USA companies, has been able to growth thanks mainly to innovation, openness and intercultural exchange.

People working in this sector belongs to different ethnic groups, countries and religions bringing, due to this diversity, high value thanks to their experience and approach. In order to create something new (which is what all the Information technology industry is about) a different approach to things is needed. It is not a case that the IT industry in USA has historically found in the open approach (in terms of market and human resources) a tremendous advantage which brought USA to lead the IT market.

IT CEOs are understandably concerned that the environment that made them prosper now can change dramatically. USA administration announced economic protectionism and other rumored or in place actions (last but not least the improperly so called “muslim” ban) could, as a matter of facts, harms those company’s ability to growth and prosper.

In this view it is totally understandable the concerns of important CEOs towards the present and future actions of USA government and the need to address those concerns openly in public.

If, as rumor says, one of the next moves will be to target H-1B visas (working visas) this will heavily affect those companies that will be forced to rethink their approach to the technological market may be forcing them, as an example, to move R&D facilities to more friendly shores.

The truth behind this is that the need for qualified people in the IT sector is still growing to a rate that there is no single nation, nor even USA, that can provide the resources needed to back up this development; therefore the need for qualified and skilled people coming from virtually anywhere is imperative for this sector.

Like it or not some political issues does affect the economic of some sectors, therefore is absolutely understandable that the technology market reacts toward an approach that can undermine its chance to grow, expand, and ultimately bring value to a country in terms of economic wealth and image.

It is worth to notice also that the IT sector is changing, the technologies are shifting from products to services that need a worldwide market to be remunerative. From Cloud to IoT, passing through security and Big data all the recent technology trends calls for the most open and widest possible market.

But there is another factor to take into account; the consolidated IT technologies that need a limited innovation approach are now offered also by emerging competitors in countries outside USA as china and others.

Even if not ready to provide, in most cases, a disruptive technologies advance those companies are able to produce, in the consolidated technology market, a stable product implementation and constant improvement in a price\competitive fashion. Quality issues in consolidated technology fields are a minor concerns since products tend to be aligned.

If we add the geopolitical issues that lead, as an example, some countries to start looking for alternatives to USA products (China, Russia, Pakistan, India are an example, but understandable the middle east area in the future) the picture is more clear.

This is not politic, but economy.

One further economical consideration, the inevitable shift to a so called “data economy” (the real meaning of the 4th industrial revolution) is something that should be driven. Closing the economy to the old models although make you feel in your “comfort zone” will just retard the inevitable, creating more later costs to adapt.

But there are also ethical and moral consideration to be taken into account, and most of those CEO for once demonstrate that business and ethics can match, probably due not only to their business but also their heritage.

Kudos to Satya Nadella , Brad Smith, Sundar Pichai, Tim Cook, Mark Zuckerberg and the others that put business and ethics as a matter and speak out.

Antonio

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Why IT companies are so concerned by latest (and future) USA administration moves. was originally published on The Puchi Herald Magazine

Watching the new presidents’ acts and talks (and the possible future outlook) And I am scared


does the floor color make a difference here? really?

I usually do not write here about political stuff, if not in rare occasions but, hey, this is my blog at the end so I can express my feeling and thoughts.

I was watching today some videos related to USA president elected Donald Trump and his approach to the news (he would tweet: Fake news, sad!) and, honestly, I am scared to dead.

I do not like Mr Trump, USA citizens elected him so I have to cope with that, but this does not means I have to like him. I found most of his tweet questionable, his cult of personality disturbing, his approach with media alarming.

This does not means of course that media are always right, but is unthinkable to me that in a open democracy a president can consider communication a one-way affair and anyone who criticize him is “fake news“, “bad person”, “untrusty” or whatever mr Trump consider worth to put in a tweet.

let say the first days of his activity made me more worried than ever.

It was like the silly polemic on the amount of people watching his ceremony live. more than Obama one? Less than Obama one? the point was he could have managed, for my taste, the whole affair differently… claiming false statement was not the best presentation to the world… but the whole Trump administration seems to be  suffering from a severe news detachment, funny form a man that owe so much to the media.

Will mr Trump makes America great again? I am not so sure and, honestly, I haven’t understood what means america being great again, and what will be the price the world will have to pay for his vision. for sure at the moment I saw a clear detachment from actual data (take economic and crime data in USA compared to mr Trump assumptions) and a willingness to not respond to any doubt. He is autoreferential, he is the unquestionable metric for truth, ethics and results.

I saw this in the near past, from president Duterte from philippine, or Zuma in South africa, or turkey president Erdoğan or in a less recent past from Benito Mussolini or Hitler.

What they have in common? Extreme nationalism, cult of personality, hate for free press, being autoreferential.

I am not saying here that Mr. Trump will be like Mussolini, I am saying that there is a common pattern, and when I listen to absurd justifications like the ones presented to justify the false statements related to the crowd presence during mr Trump ceremony I am frankly scared to death.

But Trump, Erdogan, Duterte are a symptom of a bigger problem

We are on the verge of a 4th industrial revolution, but people of the countries all around the world seems to be oriented to close themselves into their borders in an attempt to protect themselves from the inevitable change. Alas changes will eventually come anyway and this is scary. Protectionism and nationalism are the first answer to change. But in the new world that we are shaping what will the consequences be?

If USA citizen will try to close their country (build the wall, remember) is in their right although not sure in their interest. Sure they are a big market, but it is not self sufficient. Without selling their stuffs outside how much USA economy will be affected?  Why a mexican should then buy a USA car instead of an European or Japanese or Chinese or Indian one? or why we should take a USA air flight unless we are forced to? (I actually travel emirates when I can).

But also why we should buy apple or use googleandroid? And the whole new list of technologies that will shape the new economy?  because this is the point, the new industrial revolution will put its root on data sharing… we will move from products to services, and to justify the investment needed we will have to scale at an international level.

Hate calls hate, racism calls racism, violence calls violence, disrespect calls disrespect. I know you don’t see it in your leader at the end you have to support him because it is what you created with your hands (vote) to cover your fears, but you should try to see it in other reactions where this is going …

Like it or not, this new economy will force to change our approach to job, new jobs will comes while other will die. Alas the trend is moving away from manual jobs to more skilled ones, more focused on the new technologies. Not only engineering, a whole bunch of new knowledge workers that will reshape the current middle class.

But we are in the middle of this change, we can’t see the light yet we just see the scary shadows of the tunnel. The good news is that all the industrial revolutions increased the number of workers, but at the same times have been shaped by crisis and, worst scenario, wars. We are experiencing the economic crisis right now (it is not over i am afraid) but we are (as people did in the past) addressing the new with old recipes.

In a Hyperconnected world as we are attempt to leverage censorship are questionable. China, north korea, Saudi Arabia, Iran will be the new references for the once flag of freedom of speech?

This is not just a USA issue, the rise of populism in Europe and in the rest of the world is a sign that this feeling is running through all the population of the biggest democracies (where you do not have democracy, well, you do not have the right to question the government and its rule).

The whole Brexit rhetoric has been based on this kind of assumptions (regain the control of our destiny, of our nation, of our economy so we will be again bigger, better, stronger …)that is not so different from the Front Nationale or Lega nord statements, or the Grillo’s claim of the need of a “strong man”.

What a twisted world it has become? Ironically the champion of capitalism, at the moment, is china with its free trade and free commerce slogans, while we ought to russia the safety for someone who disclosed USA attempt to hack million of USA and worldwide citizens.

Willingly or not the change will come, no matter what. The point is how much we will have to suffer because of this resistance.and remember each time you do not drive the change the change drives you.

hope for the best but prepare for the worst… at the moment I am scared because I see the down of an old era trying to strake the last shots, and they will hurt…

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Watching the new presidents’ acts and talks (and the possible future outlook) And I am scared was originally published on The Puchi Herald Magazine