The economic benefits of Open Data
Publication Date/Time
2017-12-06T09:30:00+00:00
The Open Data impact at macro and microeconomic levels - an overview
of studies and assessments conducted across Europe
EUROPE IS MAKING CONSIDERABLE PROGRESS IN REACHING OPEN DATA MATURITY
AND IS FAST-FORWARDING ITS OPEN DATA TRANSFORMATION. RECENT STUDIES
SHOW THAT HIGHER ECONOMIC BENEFITS ARE EXPECTED FROM OPEN DATA AT BOTH
MACROECONOMIC AND MICROECONOMIC LEVELS.

Data holds a tremendous potential for societies and economies. When
disclosed, data can stimulate economic growth, better decision-making,
more transparency and efficiency of governments, as well as higher
quality of life and more inclusive societies. Numerous studies
undertaken across Europe and the globe have measured the impact of
data for economic, political and societal development, with several
others pinpointing the importance of Open Data for economic growth.
Open Data is seen as a driver for economic growth and an enabler for
transparency and accountability, as well as innovation and knowledge.

The recently published Report on the Economic Benefits of Open Data
[https://www.europeandataportal.eu/sites/default/files/analytical_report_n9_economic_benefits_of_open_data.pdf]
looks at the evidence available so far and provides a comprehensive
compilation of the various assessments and studies that have been
conducted across Europe in the past years. By doing so, it contributes
to the existing literature that discusses the economic potential of
Open Data.

The report quotes the various studies that have been conducted and/or
commissioned to assess the potential that Open Data holds for
governments, economies, and societies as a whole. Several of these
studies focus on the macroeconomic and microeconomic impact of Open
Data across Europe and quantify this economic potential. The
assessments provide a series of scenarios estimating the economic
impact of Open Data at national, European and global level with
predictions that range from conservative to very ambitious. Despite
the method applied by the studies and the estimates they provide, all
studies agree that data can become a source of growth and development
for economy, society and the government.
[https://data.europa.eu/sites/default/files/img/media/report-9-dial.png]
 

The present report sheds light on the economic benefits and dives
deeper into the impact of Open Data at both macroeconomic and
microeconomic levels. In doing so, it breaks down the broader concept
of 'data' into Open (Government) Data and privately held data that is
of public interest. Privately held data of public interest constitutes
another pillar in the EU data economy. When released and potentially
combined with Open Data, it can be an important driver of economic,
societal and environmental benefits and will most certainly play an
important role in helping Europe maintain its competitiveness in the
international arena. The estimates made in the context of the EU
vision of building a European data economy underline the potential
that a free flow of data holds for economic growth across Europe. With
the value of the EU data economy expected to grow up to EUR 739
billion by 2020 (4% of the EU GDP) presented by the European Data
Market Study [http://www.datalandscape.eu/study-reports] in May 2017,
this potential is again underlined.

Overall, the following benefits and estimated numbers were identified
when available data is published:
[https://data.europa.eu/sites/default/files/img/media/report-9-columns.png]
 

The report also provides insights into the costs of opening up data as
well as into how to ensure the sustainability of data publication and
data infrastructures. It also zooms into the benefits that incur to
the public sector, identified by the Creating Value from Open Data
Study
[https://www.europeandataportal.eu/sites/default/files/edp_creating_value_through_open_data_0.pdf]
as the main user of its own data. Further studies conducted by the
European Data Portal, such as the 2017 report on the Open Data
Maturity across Europe
[https://www.europeandataportal.eu/sites/default/files/edp_landscaping_insight_report_n3_2017.pdf]
illustrate the current progress in terms of Open Data impact on the
societal, political and economic dimensions. The report offers a
series of examples of Open Data based applications and services that
have been developed across Europe and emphasises the economic
potential that Open Data has.

In the light of the findings, the current analytical report concludes
with a call for action for further evidence to be gathered, at both EU
and country level. More facts and figures can in turn rally further
support around Open Data.

Do you want to find out what the economic potential of Open Data at
the EU and country level is and what studies have assessed Open Data's
potential? Then check out the full analytical report here
[https://www.europeandataportal.eu/sites/default/files/analytical_report_n9_economic_benefits_of_open_data.pdf]!
