With the advancement of digitization, public administrations and SMEs in Italy are still meeting different fence to access cloud services and take advantage of innovative technologies. One of the critical issues concerns interoperability of software licenses, which hampers the country's economic growth. The event “Cloud without barriers. The interoperability of licenses in the cloud market”, organized by Open Gate Italy in collaboration with CISPE – Trade association for cloud service providers in Europe- and Assintel- National reference association of ICT and Digital companies of Confcommercio Imprese for Italy, addressed this topic of great interest for companies, institutions and politics.
“Unfair competition blocks the digitization process and, therefore, the market. When a company begins a process with an unfair player, in the event of problems, it realizes the difficulties of changing operator, since the former denies the interoperability of the data. The matter – as he recalled Paola Generali president of Assintel- over time, it will expand, because in Europe we are working precisely for the interoperability of data.”
“We operators, as representatives of SMEs, found ourselves in situations in which companies were unable to change manager, unless spending very high sums. This obviously entails a huge economic loss, since companies, unable to change, remain in a state of less efficiency, causing a general impoverishment of the market. The lack of competition, therefore, has repercussions on supply and demand. To ensure compliance with competition, given that the rules are there, it is necessary to strengthen i Checks. In other words, it is necessary to put the legislation into practice, defining the rules and making sure that they are actually respected.”
The paper on licensing interoperability in the cloud market
From the reflections of CISPE, Assintel, AssoRTD, Assinter Italia and I-Com, in collaboration with professor Giovanni Cazora, it emerged that the digitization of businesses and public administrations increasingly depends on the use of cloud computing. However, some dominant software companies lock down customers using their cloud services, limiting service choice and innovation. For this, it would be essential to have fair software licenses, agile and transparent to promote the growth of the digital economy.
Francesco Andriani, president of AssoRTD, the Association that supports the Digital Transition Managers, during the meeting underlined that: "The anti-competitive and anti-competitive practices concerning software licenses, in the public administration, create important problems of a economic-financial and undermine the trust of political-institutional decision-makers towards the Cloud and the world of ICT in general. Surely the approval of the "Regulation of the European Parliament and of the Council on fair and contestable markets in the digital sector (law on digital markets)" or Reg. (EU) 2022/1925 of 14 September 2022, binding from the beginning of May 2023 is a important turning point: it effectively regulates the market of both private and commercial users with respect to the tendency towards unconditional excessive power of many of the so-called "Gatekeepers", but we must not let our guard down and continue to monitor the phenomenon"
The 10 Principles of Fair Software Licensing
To resolve the malpractices, CISPE proposed 10 principles of Fair Software Licensing that would guarantee a market of fair and transparent cloud. According to I-Com's research, 25% of companies have experienced software malpractice, with thelock-in effect as the most pressing problem. However, the application of the principles promoted by CISPE could lead to a growth in the overall turnover of the ICT market and greater innovation.
The value of the cloud market in Italy
The cloud market in Italy is valid about 4,56 billion, and the PNRR has allocated 20% of the resources for the digital transition. For this reason, it becomes more and more urgent one regulations clear and transparent, which favors the interoperability of licenses and the choice of cloud services for businesses and public administrations. In particular, Professor Cazora called for harmonized legislation on the "core platform service".
The “institutional” conclusions
In conclusion, the interoperability of licenses in the cloud market represents a complex challenge involving several players, including the institutions, businesses and end users. As underlined by the Deputy (AZ/IV) Giulia Pastorella, Member IX of the Transport Commission, who boasts direct experience in the sector, the regulation of this market must guarantee fair and transparent access for all companies, Italian and non-Italian, without confusing the concept of fair competition with that of favoring the made in Italy.
Politics must therefore ensure clear regulation and intervene on the Data Act, but also concentrate on a more political and less legislative aspect, i.e. ensuring access to the fair market for all. This means that all companies must have equal opportunities, with no minimum standards that favor some companies to the detriment of others.
In this way, it will be possible to help Italian SMEs to grow and become competitive also on international markets. Ensuring the transparency and openness of the markets, without favoring some companies, represents the real way to support the growth of Italian SMEs and ensure a fair and transparent cloud market for all.
