European Commission kick starts ambitious internet projects

The European Commission has announced the first phase of a €600m public-private partnership designed to modernise and develop the internet in order to spur related innovation and jobs in the mobile, software and services industries.

The Future Internet Public Private Partnership involves 152 organisations, and will start with a first phase lasting until 2012 with private companies, research organisations and the public sector committing to match the EU's funding of €90m.

The main element of the first phase is the FI-WARE project, which will receive €41m in EU funding to develop the core platform tools needed to facilitate large-scale trials of internet services and apps for phase two, said the Commission.

Eight case projects will lead the developments, covering areas such as personal mobility, making urban public areas safer, networked media and making the food value chain smarter.

The projects will require the use and development of cloud computing, real-time processing and privacy technologies, among others, according to the Commission.

Digital Agenda commissioner Neelie Kroes said that the internet economy will grow to 5.8 per cent of GDP, or almost €800bn, by 2014, but that "we are only at the beginning of the internet era".

"Europe must mobilise all its talent to keep ahead in this sector, not only to ensure Europe's future competitiveness and to unlock European creativity, innovation and entrepreneurship, but to safeguard European values like privacy, openness and diversity," she added.

"Therefore we should use public finances in a smart way to leverage industry investment. If we don't invest and innovate first, our global competitors will."