On Thursday June 23rd voters in the United Kingdom of Great Britain and Northern Island voted to leave the European Union. It has caused a Prime Minister to resign, stock markets to fluctuate and the stolid Pound Sterling to become volatile.
It will be a long process before the UK actually leaves the EU but in the meantime what changes should folks in technology expect? Here are five effects of the UK Brexit on Tech.
SEE: The Brexit dilemma: Will London’s start-ups stay or go? (TechRepublic cover story)
1. EU Regulation
The UK has often been seen as arguing for lighter regulation on tech companies and telcos. Without the UK’s voice and influence regulations may strengthen.
2. Data flow
The EU just finished a long and somewhat fragile renegotiation of an agreement to allow data to be shared between the United States and the European Union. This helps ease cloud companies burdens especially. The UK will eventually have to strike its own data portability agreement with the EU and the US.
3. The Startup scene
Startups now benefit from being able to hire talent from across the EU. That may or may not be as easy in the future depending on how immigration negotiations go. Some startups may incorporate in Berlin or Paris to avoid the uncertainty.
Download: Ethics policy: Vendor relationships (TechRepublic and ZDNet’s Tech Pro Research)
4. No Digital Single Market
The EU is forging ahead with new easier roaming rules, harmonized net neutrality guidelines, and even rights to stream your Netflix movies when you’re not in your home country but still in Europe. These rules will no longer apply to the UK after it exits and it may or may not want to keep them.
5. Spectrum Allocation
The EU is attempting to harmonize spectrum across Europe so it’s easier to manage for consumers and carriers. The UK would no longer have to play along although it could.
As you can see the name of the game is uncertainty. It all depends on what the UK government can negotiate with Brussels. But hopefully knowing a few of the things to be on the watch for will help lower your own uncertainty even if just a bit.
- Brexit: Answers to 8 crucial questions for business and technology professionals (TechRepublic)
- Brexit: FinTech firms fear for staff shortages and lost EU customers (TechRepublic)
- Brexit: Global business executives sound off on how they will respond (TechRepublic)
- UK to exit the EU: What are tech firms worried about? (ZDNet)
- Tech vs Brexit: Bosses at Microsoft, IBM, SAP, BT, and Accenture back remain (ZDNet)