UK businesses will have to price in Euros in order to compete. However, they will have to suffer an exchange rate risk, and bear transaction costs that are greater than their European competitors. We urge the government to make a clear commitment to join the EMU, and to join it at the earliest possible date. The Internet itself was initially a technological innovation, but now it is fully embedded everywhere. We expect further advancements of network technology to provide a rapid evolution of the Internet, rather than a replacement of it.
Television is an alternative channel for business to consumer electronic commerce.
Home shopping channels are already popular amongst cable and satellite customers. Now digital television is available too. We see two convergent developments here. Digital TV's will begin to provide access to the Internet as well as to broadcast television. And the speed of the Internet will increase so that it can carry live video, and broadcast TV entertainment, to enhance existing services.