Necessary investments in broadband, but digitization needs to be accelerated!

It is gratifying to see that the budget bill for 2021 makes clear the importance of expanding digital infrastructure. Financial resources are being set aside for broadband expansion, and the Government is allocating SEK 1.4 billion in 2021. This is an investment over five years with the aim of accelerating expansion in rural areas. A further SEK 500 million will be invested in broadband expansion in 2022 and then SEK 100 million annually from 2023 to 2025. This is a clear signal from the government - that broadband is actually a prerequisite for business and living throughout the country, and that Sweden will continue to have a strong position when it comes to IT use and broadband. This enables sustainable growth and strong Swedish competitiveness. This is an issue that we at IT&Telecom companies have been pursuing for a long time, and investment in broadband is also something we have called for in our package of measures to equip Sweden for the future.

The government has also highlighted the work we are doing together with our colleagues in Tågföretagen and is allocating some financial support for the work on the industry agreement to improve mobile connectivity on trains. In addition, the government is putting forward proposals to improve the way data is managed and transferred in public administration. These measures are of course welcome and it is positive that coordination of the soft digital infrastructure within the welfare system has been given a more prominent role in the budget bill. But beyond this, the budget for next year is unfortunately not the kickstart for the digital transformation that I had thought and hoped for.

There are certainly some investments in education, such as more places at the university of applied sciences, short courses for professionals and support for employers for skills initiatives for short-term work. But what is missing is investment in digital skills! As we have pointed out so many times, there is a great need for both broad and advanced skills in order to create the right conditions for digitization.

Measures relating to digitization are also conspicuous by their absence from the budget. The previously stated goal of Sweden being the best in the world at using the opportunities of digitization lacks concrete proposals and means that can act as a catalyst to drive development. There are still rather visionary descriptions of, for example, the need for increased use of digital technology in both public administration and society at large, the need for increased digital skills to create the right conditions for digitization of society and public administration, and that the digital transformation will be an important driver of Sweden's economic recovery and green growth. This needs to be further concretized during the rest of the mandate period in order for us to really have a chance to be a country in top position regarding digital use.

In summary, it is positive that digitization has some impact in the budget bill through a substantial investment in broadband expansion, but more needs to be done! We must accelerate the digital transition in all areas. Sweden, like most countries in the world, has had a difficult time with lockdowns and isolation, but despite an uncertain autumn ahead of us, much is pointing in the right direction and we are now in a recovery phase. It needs to be further supported and strengthened. Now is the right time for the government to take leadership and a concerted approach to digitization, remove obstacles and create conditions for new solutions. Let the budget bill and the investment in broadband infrastructure be the starting point for moving from words to action.

Hopefully, this will leave us even better equipped for the next crisis. And Sweden can really benefit from the opportunities of digitalization!

 

Christina Ramm-Ericson

Head of Industrial Policy