Information Technology: Rebooting America

Saroj Agrawal and Prince Agarwal

MBA-IT

Indian Institute of Information Technology - Allahabad

 

Revamping USA’s major priorities like health care, education and energy infrastructure requires technological innovations, and for this federal policy is focussed on leveraging information technology. President Obama suggests that there is a considerable role for technology and innovation across the wide range of priorities. He believes that the power and potential of technology will assist in reducing the health care costs, liberate energy efficiency through smart-grid appliances, adding different level skills to the personnel.

Government has formulated a plan to spend $10,000 to get broadband to the rural farmhouse. In economist point of view there is little evidence that this outlay will have payback for the economy. But extending access where services today don’t exist is not major area of concern, but to achieve wider goals along with it. They foresee innovations in health-care sector through telemedicine, telecentres, distance learning and smart-grid infrastructure.

Operation of E-911 services incorporated with VoIP will anticipate both advancement and improvement in emergency coverage bringing decrement in long-term costs. . United States of America have a basic foundation for all the wireless phone users, which is termed as E911 (Enhanced 911) where people can dial 911 for requesting a help in case of any emergency. Government role in upgrading and elevating technology has been in the form of investment in R&D or the procurement of goods and services. For this private sector resources, universities and the public sector is being together on a given problem. 

USA is using procurement opportunity to induce market innovation. For e.g. www.defensesolutions.gov, is a website that is looking for innovation in Department of Defence Needs.  They don’t procure a device but a solution. Instead for finding the device, described by multi-item specification, the department seeks for a solution. For e.g. “How to make a Field-test, if there is a presence of explosives, drugs, or gunshot residue?” So in this way they leave a room for technologies and procure an innovative solution. At present many ideas has already been proposed and few are already being gripped. Even in the health sector, health care providers seek to demonstrate good and meaningful use of technology to bring improvement in the care quality, lower costs and patient communication.

Modernization of electricity grid into smart-grids is one of major advancement in terms of innovation in US. In order to adjoin Smart Grid capabilities to the existing distribution network of conventional grid system, Northeast Utilities has proposed the U.S. Department of energy for up to $126 million money to be spent. Smart Grid technology refers to the devices that allow electric utilities to interact more directly with their customers.

A smart grid technology uses a digital technology for delivering electricity from suppliers to customers, thereby contributing reduction in cost and increasing reliability and transparency. In lay man’s term smart grid means adding computer and communication technology to the existing electricity grid. Recently in July the US smart grid organisation Grid Wise Alliance and the Korea Smart Grid Association (KGSA) has agreed upon to share best practices regarding modernization of electric grid, in order to make Smart grid a reality in their respective countries.

USA has formulated a national innovation policy, keeping three basic goals in mind. First is building an environment for private sector innovation, under which the Research and Experimentation Tax credit will be made permanent. Second, the government plans to invest in human capital, research and infrastructure. President Obama is dedicated, doubling the budgets for science agency and increasing the number of National Science Foundation Graduate Research Fellowships. Third, innovation is in the way to address the national priorities, allowing Americans to live longer and healthier.