The digital tax is coming to Austria - at least for the time being. The damages of a digital tax would be immense, hitting consumers and companies the hardest. (Article available in German)

In recent years, there has been rapid growth in trade in digital services (i.e. the ICT services sector as a key element of the EU’s digital frontier), one which effectively overshadowed increases in ‘general’ services trade in the region. Yet, benefitting from this phenomenon hinges on how economies perform in the digital services area – something European countries have not been very good at, according to the McKinsey Global Institute’s Industry Digitisation Index.

The digital revolution is only getting started. Digital disruption, which thus far has transformed a few sectors, is working its way into every sector of the economy. New technologies and exponential growth in the volume of data being produced by people and machines lend themselves to new business models and new kinds of products, while making everything from schools to hospitals more effective. Used correctly, this data explosion promises to make us healthier, richer, sometimes even more compassionate, and to solve intractable societal challenges like climate change.

The report examines the current and potential impact of digital trade at home and quantifies the economic value of technological gains enabled by digital trade. It also recommends perceived concerns related to digital trade and how they can be addressed.