Appendix 1_____________


Buenos Aires, Argentina, March 21, 1994*

Remarks Prepared for Delivery
Vice President AL GORE
International Telecommunications Union
Monday, March 21, 1994

I have come here, 8,000 kilometers from my home, to ask you to help create a Global Information Infrastructure. To explain why, I want to begin by reading you something that I first read in high school, 30 years ago.

"By means of electricity, the world of matter has become a great nerve, vibrating thousands of miles in a breathless point of time...The round globe is a vast...brain, instinct with intelligence!" This was not the observation of a physicist -- or a neurologist. Instead, these visionary words were written in 1851 by Nathaniel Hawthorne, one of my coun-try's greatest writers, who was inspired by the development of the telegraph. Much as Jules Verne foresaw submarines and moon landings, Hawthorne fore-saw what we are now poised to bring into being.

The ITU was created only 14 years later, in major part for the purpose of fostering an internationally comparable system of telegraphy.

For almost 150 years, people has aspired to fulfill Hawthorne's vision--to wrap nerves of communications around the globe, linking all human knowledge.

In this decade, at this conference, we now have at hand the technological breakthroughs and economic means to bring all the communities of the world together. We now can at last create a planetary information network that trans-mits messages and images with the speed of light from the largest city to the smallest village on every continent.

I am very proud to have the opportunity to address the first development conference of the ITU because the President of the United States and I believe that an essential prerequisite to sustainable development, for all members of the human family, is the creation of this network of networks. To accomplish this purpose, legislators, regulators, and business people must do this: build and operate a Global Information Infrastructure. This GII will circle the globe with information superhighways on which all people can travel.

These highways or, more accurately, networks of distributed intelligence--will allow us to share information, to connect, and to communicate as a global com-munity. From these connections we will derive robust and sustainable economic progress, strong democracies, better solutions to global and local environmental challenges, improved health care, and--ultimately--a greater sense of shared stewardship of our small planet.

The Global Information Infrastructure will help educate our children and allow us to exchange ideas within a community and among nations. It will be a means by which families and friends will transcend the barriers of time and distance. It will make possible a global information marketplace, where consu-mers can buy or sell products. I ask you, the delegates to this conference, to set an ambitious agenda that will help all governments, in their own sovereign na-tions and in international cooperation, to build this Global Information Infrastruc-ture. For my country's part, I pledge our vigorous, continued participation in achieving this goal--in the development sector of the ITU, in other sectors and in plenipotentiary gatherings of the ITU, and in bilateral discussions held by our Departments of State and Commerce and our Federal Communications Commis-sion.

The development of the GII must be a cooperative effort among governments and peoples. It cannot be dictated or built by a single country. It must be a democratic effort.

And the distributed intelligence of the GII will spread participatory demo-cracy.

To illustrate why, I'd like to use an example from computer science. In the past, all computers were huge mainframes with a single processing unit, solving problems in sequence, one by one, each bit of information sent back and forth between the CPU and the vast field of memory surrounding it. Now, we have massively parallel computers with hundreds--or thousands--of tiny self-contained processors distributed throughout the memory field, all interconnected, and together far more powerful and more versatile than even the most sophisticated single processor, because they each solve a tiny piece of the problem simul-taneously and when all the pieces are assembled, the problem is solves.

Similarly, the GII will be an assemblage of local, national, and regional networks, that are not only like parallel computers but in their most advanced state will in fact be a distributed, parallel computer.

In a sense, the GII will be a metaphor for democracy itself. Representative democracy does not work with an all-powerful central government, arrogating all decisions to itself. That is why communism collapsed.

Instead, representative democracy relies on the assumption that the best way for a nation to make its political decisions is for each citizen--the human equiva-lent of the self-contained processor--to have the power to control his or her own life.

To do that, people must have available the information they need. And be allowed to express their conclusions in free speech and in votes that are com-bined with those of millions of others. That's what guides the system as a whole.

The GII will not only be a metaphor for a functioning democracy, it will in fact promote the functioning of democracy by greatly enhancing the participation of citizens in decision-making.

And it will greatly promote the ability of nations to cooperate with each other. I see a new Athenian Age of democracy forged in the fora the GII will create.

The GII will be the key to economic growth for national and international economies. For us in the United States, the information infrastructure already is to the U.S. economy of the 1990s what transport infrastructure was to the econo-my of the mid-20th century. The integration of computing and information net-works into the economy makes U.S. manufacturing companies more productive, more competitive, and more adaptive to changing conditions and it will do the same for the economies of other nations.

These same technologies are also enabling the service sectors of the U.S. economy to grow, to increase their scale and productivity and expand their range of product offerings and ability to respond to customer demands.

Approximately 60% of all U.S. workers are "knowledge workers"--people whose jobs depend on the information they generate and receive over our information infrastructure. As we create new jobs, 8 out of 10 are in informa-tion-intensive sectors of our economy. And these new jobs are well-paying jobs for financial analysts, computer programmers, and other educated workers.

The global economy also will be driven by the growth of the Information Age. Hundreds of billions of dollars can be added to world growth if we commit to the GII. I fervently hope this conference will take full advantage of this potential for economic growth, and not deny any country or community its right to participate in this growth.

As the GII spreads, more and more people realize that information is a trea-sure that must be shared to be valuable. When two people communicate, they each can be enriched--and unlike traditional resources, the more you share, the more you have. As Thomas Jefferson said, "He who receives an idea from me, receives instruction himself without lessening mine; as he who lights his taper at mine, receives light without darkening me."

Now we all realize that, even as we meet here, that Global Information Infra-structure is being built, although many countries have yet to see any benefits.

Digital telecommunications technology, fiber optics, and new high-capacity satellite systems are transforming telecommunication. And all over the world, under seas and along the roads, pipelines, and railroads, companies are laying fiber optic cable that carries thousands of telephone calls per second over a single strand of glass.

These developments are greatly reducing the cost of building the GII. In the past, it could take years to build a network. Linking a single country's major cities might require laying thousands of kilometers of expensive wires. Today, a single satellite and a few dozen stations can be installed in a few months--at a much lower cost.

The economics of networks have changed so radically that the operation of a competitive, private market can built much of the GII. This is dependent, how-ever, upon sensible regulation.

Within the national boundaries of the U.S. we aspire to build our information highways according to a set of principles that I outlined in January in California. The National Information Infrastructure, as we call it, will be built and maintain-ed by the private sector. It will consist of hundreds of different networks, run by different companies and using different technologies, all connected together in a giant "network of networks," providing telephone and interactive digital video to almost every American.

Our plan is based on five principles: First, encourage private investment; Second, promote competition; Third, create a flexible regulatory framework that can keep pace with rapid technological and market changes; Fourth, provide open access to the network for all information providers; and Fifth, ensure universal service.

Are these principles unique to the United States? Hardly. Many are accepted international principles endorsed by many of you. I believe these principles can inform and aid the development of the Global Information Infrastructure and urge this Conference to incorporate them, as appropriate, into the Buenos Aries Decla-ration, which will be drafted this week.

Let me elaborate briefly on these principles.

First, we propose that private investment and competition be the foundation for development of the GII. In the U.S., we are in the process of opening our communications markets to all domestic private participants.

In recent years, many countries, particularly here in Latin America, have opted to privatize their state-owned telephone companies in order to obtain the benefits and incentives that drive competitive private enterprises, including innovation, increased investment, efficiency and responsiveness to market needs.

Adopting policies that allow increased private sector participation in the telecommunications sector has provided an enormous spur to telecommunica-tions development in dozens of countries, including Argentina, Venezuela, Chile, and Mexico. I urge you to follow their lead.

But privatization is not enough. Competition is needed as well. In the past, it did make sense to have telecommunications monopolies.

In many cases, the technology and the economics of scale meant it was inef-ficient to build more than one network. In other cases--Finland, Canada, and the U.S., for example--national networks were built in the early part of this century by hundreds of small, independent phone companies and cooperatives.

Today, there are many more technology options than in the past and it is not only possible, but desirable, to have different companies running competing--but interconnected--networks, because competition is the best way to make the telecommunications sector more efficient, more innovative--and more profitable as consumers make more calls and prices decline.

That is why allowing other companies to compete with AT&T, once the world's largest telephone monopoly, was so useful for the United States. Over the last ten years, it has cut the cost of a long-distance telephone call in the U.S. more than 50%.

To promote competition and investment in global telecommunications, we need to adopt cost-based collection and accounting rates. Doing so will accelera-te development of the GII.

International standards to ensure interconnection and interpretability are need-ed as well. National networks must connect effectively with each other to make real the simple vision of linking schools, hospitals, businesses, and homes to a Global Information Infrastructure.

Hand in hand with the need for private investment and competition is the necessity of appropriate and flexible regulations developed by an authoritative regulatory body.

In order for the private sector to invest and for initiatives opening a market to competition to be successful, it is necessary to create a regulatory environment that fosters and protects competition and private sector investments, while at the same time protecting consumers' interests.

Without the protection of an independent regulator, a potential private inves-tor would be hesitant to provide service in competition with the incumbent provider for fear that the incumbent's market power would not be adequately controlled.

Decisions and the basis for making them must also be made public so that consumers and potential competitors are assured that their interests are being protected.

This is why in the U.S., we have delegated significant regulatory powers to an independent agency, the Federal Communications Commission. This expert body is well-equipped to make difficult technical decisions and to monitor, in conjunction with the National Telecommunications and Information Administra-tion and the Department of Justice, changing market conditions. We commend this approach to you.

We need a flexible, effective system for resolution of international issues, too -- one that can keep up with the ever-accelerating pace of technological change.

I understand that the ITU has just gone through a major reorganization de-signed to increase its effectiveness. This will enable the ITU, under the able leadership of Mr. Tarjanne, to streamline its operations and redirect resources to where they are needed most. This will ensure that the ITU can adapt to future and unimaginable technologies.

Our fourth principle is open access. By this I mean that telephone and video network owners should charge non-discriminatory prices for access to their net-works. This principle will guarantee every user of the GII can use thousands of different sources of information--video programming, electronic newspapers, computer bulletin boards--from every country, in every language.

With new technologies like direct broadcast satellites, a few networks will no longer be able to control your access to information--as long as government poli-cies permit new entrants into the information marketplace.

Countries and companies will not be able to compete in the global economy if they cannot communicate instantly with customers around the globe. Ready access to information is also essential for training the skilled workforce needed for high-tech industries.

The countries that flourish in the twenty-first century will be those that have telecommunications policies and copyright laws that provide their citizens access to a wide choice of information services. Protecting intellectual property is abso-lutely essential.

The final and most important principle is to ensure universal service so that the Global Information Infrastructure is available to all members of our societies. Our goal is a kind of global conversation, in which everyone who wants can have his or her say.

We must ensure that whatever steps we take to expand our worldwide tele-communications infrastructure, we keep that goal in mind.

Although the details of universal service will vary from country to country and from service to service, several aspects of universal service apply every-where. Access clearly includes making service available at affordable prices to persons at all income levels. It also includes making high quality service availa-ble regardless of geographic location or other restrictions such as disability.

Constellations of hundreds of satellites in low earth orbit may soon provide telephone or data services to any point on the globe. Such systems could make universal service both practical and affordable.

An equally important part of universal access is teaching consumers how to use communications effectively. That means developing easy-to-use applications for a variety of contexts, and teaching people how to use them. The most sophis-ticated and cost-efficient networks will be completely useless if users are unable to understand how to access and take full advantage of their offerings.

Another dimension of universal service is the recognition that marketplace economics should not be the sole determinant of the reach of the information infrastructure.

The President and I have called for positive government action in the United States to extend the NII to every classroom, library, hospital, and clinic in the U.S. by the end of the century.

I want to urge that this conference include in its agenda for action the commit-ment to determine how every school and library in every country can be connect-ed to the Internet, the world's largest computer network, in order to create a Global Digital Library. Each library could maintain a server containing books and journals in electronic form, along with indexes to help users find other materials. As more and more and more information is stored electronically, this global library would become more and more useful.

It would allow millions of students, scholars and business people to find the information they need whether it be in Albania or Ecuador.

Private investment ... competition ... flexibility ... open access ... universal service.

In addition to urging the delegates of this conference to adopt these principles as part of the Buenos Aires Declaration, guiding the next four years of telecom-munications development. I assure you that the U.S. will be discussing in many fora, inside and outside the ITU, whether these principles might be usefully adopted by all countries.

The commitment of all nations to enforcing regulatory regimes to build the GII is vital to world development and many global social goals.

But the power of the Global Information Infrastructure will be diminished if it cannot reach large segments of the world population.

We have heard together Dr. Tarjanne's eloquent speech setting forth the chal-lenges we face. As he points out: the 24 countries of the OECD have only 16 percent of the world's population. But they account for 70 percent of global telephone mainlines and 90 percent of mobile phone subscribers.

There are those who say the lack of economic development causes poor tele-communications. I believe they have it exactly backwards. A primitive telecom-munication system causes poor economic development.

So we cannot be complacent about the disparity between the high and low income nations, whether in how many phones are available to people or in whether they have such new technologies as high speed computer networks or videoconferencing.

The United States delegation is devoted to working with each of you at this Conference to address the many problems that hinder development.

And there are many. Financing is a problem in almost every country, even though telecommunications has proven itself to be an excellent investment.

Even where telecommunications has been identified as a top development priority, countries lack trained personnel and up-to-date information.

And in too many parts of the world, political unrest makes it difficult or impossible to maintain existing infrastructure, let alone lay new wire or deploy new capacity.

How can we work together to overcome these hurdles? Let me mention a few things industrialized countries can do to help.

First, we can use the Global Information Infrastructure for technical colla-boration between industrialized nations and developing countries. All agencies of the U.S. government are potential sources of information and knowledge that can be shared with partners across the globe.

The Global Information Infrastructure can help development agencies link experts from every nation and enable them to solve common problems. For instance, the Pan American Health Organization has conducted hemisphere-wide teleconferences to present new methods to diagnose and prevent the spread of AIDS.

Second, multilateral institutions like the World Bank, can help nations finance the building of telecommunications infrastructure.

Third, the U.S. can help provide the technical know-how needed to deploy and use these new technologies. USAID and U.S. businesses have helped the U.S. Telecommunications Training Institute train more than 3500 telecommunications professionals from the developing world, including many in this room.

In the future, USTTI plans also to help business people, bankers, farmers, and others from the developing world find ways that computer networking, wireless technology, satellites, video links, and other telecommunications technology could improve their effectiveness and efficiency.

I challenge other nations, the development banks, and the UN system to create similar training opportunities.

The head of our Peace Corps, Carol Bellamy, intends to use Peace Corps volunteers both to help deploy telecommunications and computer systems and to find innovative uses for them. Here in Argentina, a Peace Corps volunteer is doing just that.

To join the GII to the effort to protect and preserve the global environment, our Administration will soon propose using satellite and personal communication technology to create a global network of environmental information. We will propose using the schools and students of the world to gather and study environ-mental information on a daily basis and communicate that data to the world through television.

But regulatory reform must accompany this technical assistance and financial aid for it to work. This requires top-level leadership and commitment--commit-ment to foster investment in telecommunications and commitment to adopt policies that ensure the rapid deployment and widespread use of the information infrastructure.

I opened by quoting Nathaniel Hawthorne, inspired by Samuel Morse's inven-tion of the telegraph.

Morse was also a famous portrait artist in the U.S.--his portrait of President James Monroe hangs today in the White House. While Morse was working on a portrait of General Lafayette in Washington, his wife, who lived about 500 kilometers away, grew ill and died. But it took seven days for the news to reach him.

In his grief and remorse, he began to wonder if it were possible to erase bar-riers of time and space, so that no one would be unable to reach a loved one in time of need. Pursuing this thought, he came to discover how to use electricity to convey messages, and so he invented the telegraph and, indirectly, the ITU.

The Global Information Infrastructure offers instant communication to the great human family.

It can provide us the information we need to dramatically improve the quality of their lives. By linking clinics and hospitals together, it will ensure that doctors treating patients have access to the best possible information on diseases and treatments. By providing early warning on natural disasters like volcanic erup-tions, tsunamis, or typhoons, it can save the live of thousands of people.

By linking villages and towns, it can help people organize and work together to solve local and regional problems ranging from improving water supplies to preventing deforestation.

To promote ... to protect ... to preserve freedom and democracy, we must make telecommunications development an integral part of every nation's deve-lopment. Each link we create strengthens the bonds of liberty and democracy around the world. By opening markets to stimulate the development of the global information infrastructure, we open lines of communication.

By opening lines of communication, we open minds. This summer, from my country cameras will bring the World Cup Championship to well over one billion people.

To those of you from the 23 visiting countries whose teams are in the Finals, I wish you luck-- although I'll be rooting for the home team.

The Global Information Infrastructure carries implications even more impor-tant than soccer.

It has brought us images of earthquakes in California, of Boris Yeltsin on a tank in Red Square, of the effects of mortar shells in Sarajevo and Somalia, of the fall of the Berlin Wall. It has brought us images of war and peace, and tragedy and joy, in which we all can share.

There's a Dutch relief worker, Wam Kat, who has been broadcasting an elec-tronic diary from Zagreb for more than a year and half on the Internet, sharing his observations of life in Croatia.

After reading Kat's Croatian diary, people around the world began to send money for relief efforts. The result: 25 houses have been rebuilt in a town des-troyed by war.

Governments didn't do this. People did. But such events are the hope of the future.

When I began proposing the NII is the U.S., I said that my hope is that the United States, born in revolution, can lead the way to this new, peaceful revolu-tion. However, I believe we will reach our goal faster and with greater certainty if we walk down that path together. As Antonio Machado, Spanish poet, once said, "Pathwalker, there is no path, we create the path as we walk."

Let us build a global community in which the people of neighboring countries view each other not as potential enemies, but as potential partners, as members of the same family in the vast, increasingly interconnected human family.

Let us seize this moment. Let us work to link the people of the world. Let us create this new path as we walk it together.

Appendix 1_____________






For Immediate Release September 22, 1994

Remarks (as delivered) by

Vice President Al Gore

via satellite to the International Telecommunication Union Plenipotentiary Conference

Kyoto, Japan

Dr. Tarjanne, Mr. Utsumi, distinguished ministers and delegates, ladies and gentlemen:

When I last spoke to the ITU in March, I traveled 8,000 kilometers from the White House to Buenos Aires. Today, I am traveling an even greater distance by way of satellite.
This is, of course, no substitute for being there in person, sharing with you Kyoto's 1200th birthday and the beauty of the city's palaces, temples and gardens. It's been said that Kyoto embodies the spirit of old Japan, where ancient arts and crafts -- textile weaving, ceramics, and Kimono -- live on. But it is also a city that is looking to the future. And it is appropriate that I'm able to send my message to you today in this way, simultaneously showing the promise of tech-nology and the Global Information Infrastructure, or GII.

The effort to build the GII provides us with an opportunity to reach beyond ideology to forge a common goal of providing an infrastructure that will benefit all the citizens of our nations. We will use this infrastructure to help our respec-tive economies and to promote health, education, environmental protection and democracy.

Government has an indisputable and appropriate role to play in developing the GII. By reducing regulatory barriers and promoting private sector involvement, by identifying the public interests that must be served, and by aggressively using the GII to provide education, health care and other public services, governments can play a key role in developing the GII in cooperation with industry and others in the private sector.

In Buenos Aires, you adopted five principles for a GII which the nations of the world have been putting into practice: Private investment. Market-driven competition. Flexible regulatory systems. Non-discriminatory access. And universal service.

On every continent, you can see these principles in action:

In Pakistan, the government is selling shares to the public of the Pakistan Telecommunications Corporation, thereby promoting private investment and contributing to economic growth.

In the Russian Federation, there are now 80 privatized telecom com-panies operating in that country's 86 regions. And there are another 26 independent operators providing international telephone and data transmission services. This not only serves the goals of investment and competition, but also improves access to information services and promotes the lifeblood of democracy -- freedom of communication.

More competition is now possible in the Philippines as a result of broadened access to international communications satellites.

In the Americas, CITEL is implementing the Acapulco Declaration to promote telecommunications and contribute to the overall development of the region.

Chile has implemented a regulatory framework to encourage private investment, promote competition, and protect against monopoly. The telecommunications ministry there expects these reforms to increase se-vice from 7 lines per 100 people in 1987 to more than 20 lines per 100 people.

Mexico is gaining access to new technologies and attracting substantial new foreign investment by protecting intellectual property rights.

On other continents, regulatory reform and increases in the number of service providers are increasing access to, and the value of, the telecommunications infrastructure. For instance, Tanzania is establishing a regulatory body independent of the communications provider.

Australia has amended its telecommunications act to allow carriers to provide flexible pricing packages to consumers.

China has established China Unicom, a second telecom network that will provide new services and increased access to communications net-works.

The African Green Paper provides technical advice and policy guidance for improving telecommunications.

These are only a few specific examples of a powerful, worldwide trend in implementing each of the five principles.

Industry's contributions have been equally important to promoting these prin-ciples and creating a GII. Daily we read stories of new investments, new pro-ducts, new leaps into the future of telecommunications at a cost to industry of billions of dollars. Clearly industry believes there is a big future for the GII.

The U.S. Telecommunications Training Institute, formed as a result of the 1982 Nairobi Plenipot, now offers courses on mobile communications in Spanish and English on wireless communications and spectrum management and on telecommunications planning and economic decision-making.

U.S. companies are also providing needed expertise directly to countries that need it most.

One U.S. company offers a seminar to developing nations on effective spec-trum management practices.

Another recently provided technical and managerial expertise to mana-gers at Telmex to facilitate privatization in Mexico.

And yet another sponsors Master's degree-level Chinese students to attend the University of Michigan for an executive training program.

But as promising as these developments are, we cannot afford to be compla-cent and assume that this revolution will produce all the benefits we desire with-out diligent effort.

For our part, the United States is willing to demonstrate its commitment by broadening our efforts in regulatory and technical cooperation. For governments examining their legal, regulatory, institutional and economic frameworks that affect telecommunications, we stand ready to offer our experience and learning.

To make the GII a reality, it will take the combined efforts of every member nation of the ITU -- and of businesses and consumers in all of our nations.

Our businesses and our citizens are demanding advanced information technology so that local businesses can succeed in worldwide competition; so that electronic commerce can bring customers and suppliers closer together; so that citizens can be educated. This demand cannot be ignored. Rather, it is our duty to open markets, so that competition can meet this growing and evolving demand.

In the coming months, we will have several other opportunities to work toge-ther to create a GII.

Members of APEC and the OECD will gather in Vancouver in February to address the cross-border issues affecting the development of a GII.

At the Summit of the Americas in Miami in December, Western Hemisphere leaders will have the opportunity to focus on telecommuni-cations and information infrastructure issues.

The European Union will host the G-7 Ministers next year in Brussels. This conference will also address common issues in developing national and global information infrastructures.

All of these meetings will provide opportunities for the nations of the world to come together to reach our goal of creating a GII.

We must work together to create incentives for and to involve all sectors of society, from telecommunications to information technology, from R&D facili-ties to libraries, and from the medical community to the world of the arts. We all have a stake in the future of the Global Information Infrastructure, so we all must work together to make it a reality.

And we must work together as governments to redefine our roles in the tele-communications industry -- new and innovative roles as facilitators of private investment and competition, guardians of the public interest, and champions of the free flow of information.

We meet again at the Plenipotentiary in 1998, we will have an opportunity to reflect on our progress in the interim years and to renew our commitment to this important task.

That is why I am extremely pleased this morning -- this morning in Kyoto -- to invite the next Plenipotentiary Conference of the ITU to be held in the United States. It would be a great privilege and honor for us to host you in our nation.

When the Plenipotentiary was last held in the United States, it was 1947.

It was a year of great political change -- the Marshall Plan -- the transition to the post-World War II world. It was also the year that inventors at Bell Labora-tories in New Jersey invented the transistor, which made possible the develop-ment of products from the transistor radio to the home computer, all at a cost which made them available to the mass market.

And what do we see occurring by 1998?

We see the establishment of myriad networks around the globe through which technology is harnessed to create a vast flow of data and information that will enable and support applications that serve people in all aspects of their daily lives.

One speaker at a recent Internet Society meeting marveled at the inexorable growth of the global telecommunications network. As an example he pointed to one of the many services available over the Internet -- the World Wide Web. "We are now watching a global inter networking revolution scale in near real-time," he said. "Every thirty minutes, another network connects."

Well, these networks of the GII will not be ends in themselves. The benefits that will come from the use of these networks will be what is important.

It is my fervent hope that when we reassemble in the United States at the next Plenipotentiary Conference in four years, our common journey toward a Global Information Infrastructure will have advanced many light years.

As we welcome the nations of the ITU to our country in four years, so we welcome the challenge of working with you to help construct the Global Infor-mation Infrastructure, on that advances the well-being of all humankind.

Congratulations on the work you have under way. We look forward to seeing you here in four years.