EU urged to pause new tech laws amid growing competitiveness concerns

Webp tcnbirtuzk985chjqbpm50haef98
Matthew Schruers President & CEO at Computer & Communications Industry Association | Official website

EU urged to pause new tech laws amid growing competitiveness concerns

As the European Parliament embarks on its hearings for the 2024-2029 European Commission, the Computer & Communications Industry Association (CCIA Europe) has issued a call to action. The association urges EU lawmakers to prioritize competitiveness in digital policy and suggests a temporary pause in enacting new tech laws.

This appeal arises amid concerns about Europe's digital future, highlighted by Mario Draghi's report on competitiveness. Draghi warns that excessive EU digital legislation could hinder innovation and harm Europe's competitiveness at a time of intense global competition. National governments and businesses are already facing challenges with recent EU tech rules, which are broad in scope and complex to implement.

A study by J. Scott Marcus and Maria Alessandra Rossi from the European University Institute echoes this sentiment. The authors recommend that EU "co-legislators should slow the pace of enactment of new laws for a few years" to allow firms and Member States time to adapt to existing regulations.

In response, CCIA Europe has created a Blueprint for Digital Innovation with recommendations aimed at preserving the EU's digital advantage. A key suggestion is providing governments and the digital sector with necessary breathing room.

The legislative process requires more scrutiny as new concepts are often introduced without proper assessment, leading to impractical outcomes. Both initial proposals by the Commission and later changes by Parliament or Member States should be evidence-based, according to the Guide to Effective EU Tech Regulation.

With tech-related hearings underway, CCIA Europe encourages policymakers to use this opportunity to reassess Europe's approach to tech regulation.

Daniel Friedlaender, Senior Vice President and Head of CCIA Europe, stated: "We are at a critical juncture for the EU’s digital economy. Excessive regulation is stifling innovation and undermines Europe’s position in a competitive global market."

He added: "In light of the hearings, our message to MEPs and future Commissioners could not be clearer: What Europe needs are smarter, more targeted policies that allow tech firms to innovate without being weighed down by unnecessary regulatory burden."