There are a number of reasons the Transatlantic Trade and Investment Partnership (TTIP) holds the potential to be a significant agreement. Not least of these is the fact that the United States and European Union together account for half the world’s output and a third of all trade. But when all is said and done, the most significant aspect of a US-EU trade pact could turn out to be its impact on global commerce and trade in the kinds of products and services that rely on exchanging information digitally.
As digital products and services like cloud computing roll out in markets around the world, data flows increasingly have become the lifeblood of companies large and small. Whether they are selling digital technologies or using them, companies operating in the global economy need to transmit data across borders. The TTIP can establish trade rules that stimulate this digital trade across the Atlantic — and set a precedent for the rest of the world. (more…)