European online sales worth €2.2 trillion by 2006

22 Apr 2004

The EU roundtable taking place in Dundalk with the CEOs of some of the world’s biggest telecom firms heard today that transactions conducted online are expected to be worth €2.2 trillion in the EU by 2006.

The report, which was prepared by a group of 20 leading ICT chief executives from across Europe in collaboration with PricewaterhouseCoopers, revealed that currently e-business in Europe is worth €77bn and will increase substantially in the next two years.

The report said that broadband penetration in European households is expected to reach 30pc by 2008, compared to 8pc currently. This would see revenues from broadband increase from €3.3bn this year to €21.7bn in 2008.

The report stated: “The use of wireless broadband to access information and applications from mobile devices is still in its infancy, but total European mobile content and service revenues are projected to grow from €5.8bn in 2002 to €45.6nb next year.”

However, if these growth projections are ever to be met, the PwC report recommended the timely implementation of anti-spam, privacy and security regulatory framework initiatives to make competitively priced broadband available.

Executives present at the CEO roundtable, the first of its kind at an EU ministerial meeting in Europe, are estimated to have a collective market capitalization of almost US$200bn.

The Minister for Communications, Marine and Natural Resources, Dermot Ahern TD, who was hosting the roundtable, said: “This Roundtable has been a great success as it has allowed both policy makers and industry to focus on our strategic priorities for the future. Broadband, through the services and content it can deliver, is providing a platform for sustaining and creating jobs across Europe as well as helping business and consumers work and play smarter.”

By John Kennedy