i3 - November/December 2018 - 47

By Bronwyn Flores

our business will force us to cut jobs in
the U.S immediately."
China tariffs directly impact the livelihood of U.S. small businesses.

What is at Stake?

At stake is 5G and cloud computing.
Taxing network equipment and other
vital components used in 5G technology will raise the cost of U.S networking infrastructure by hundreds of
millions of dollars and reduce the
incentives to improve it. Rolling out
the next generation of wireless networks, which runs 100 times faster
than the current 4G, requires fewer
obstacles, not more. Otherwise, the
U.S. will fall behind China.
Also, the networking equipment, like
routers, in data centers will cost more.
And the services cost will rise on the
internet service providers (ISPs) that
access those data centers. Additionally,
the ISPs' costs would rise between 10
and 25 percent on each product, such
as the modems they import. Those
costs and fees could pass on to someone else in the supply chain until they
reach the consumer.
As a result, American consumers will
face an internet of things tax. The first
will be on the networking products they
buy at retail stores or online, and the
second will be in the form of increased
costs associated with accessing the internet and tapping into the cloud. A 25
percent tax could slow U.S. output by
$332 billion over the next ten years.
These cost increases will make it difficult for the U.S. to lead in 5G innovation, something President Trump has
been adamant to do. And without the
processing power needed to make 5G
applicable in artificial intelligence,
self-driving vehicles, smart city infrastructure and increased rural connectivity, the Trump Administration is
making it harder to achieve any technological advancements.
C TA . t e c h / i 3

Policy

Future
of Work:
Demand for Skilled
Tech Workers Rises
The U.S. unemployment rate is at
a nearly 50-year low, but CTA's second annual Future of Work survey
found 92 percent of its small business members still need skilled tech workers, up six points from 2017. At
the same time, optimism about finding qualified candidates
shrunk two points to seven percent while three quarters (74
percent) of respondents say it will be hard to find candidates
with the right skills, three points higher than last year.
Many companies also are looking how to best reskill their current workforce to retain their
top talent. Of the 37 percent of
respondents who anticipate
their company will displace
workers because of technological change, about half of them
(57 percent) also plan to reskill
and retain their workers.
For example, AT&T is committed to reskilling 35 percent of
its employees by 2020 as part
of a $1 billion effort that
includes online courses and
collaborations with universities
to prepare workers for new jobs
and career advancement.
"Rather than the wholesale hiring of new talent from outside,
we launched several years ago
a significant effort to help our
employees learn the skills to
prepare for the jobs of the
future at AT&T. We're working
constantly to engage and reskill
our over 250,000 employees,
and to inspire a culture of continuous learning," says Dahna

Hull, SVP, human resources,
AT&T Communications.
IBM is investing in public
school system reform through
its Pathways in Technology
Early College High (P-TECH)
school. The six-year program
bridges the gap between high
school and college to help students earn a degree that prepares them for the jobs of the
21st economy. "We're shifting
mindsets and recognizing that
not all candidates need traditional degrees - rather, it's
their skills that matter most.
With our focus on 'new collar'
jobs, IBM is creating pipelines
to employment and new
opportunities for learning and
skill development in emerging
technologies such as blockchain, AI and cybersecurity,"
says Kelli Jordan, talent leader,
New Collar Initiatives, IBM.
For case studies on how CTA
members are working to train
and upskill Americans, visit
CTA.tech/FutureOfWork.

NOVEMBER/DECEMBER 2018

47


http://cta.tech/futureofwork https://www.cta.tech/

i3 - November/December 2018

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i3 - November/December 2018 - Contents
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