The EU Concept of Digital Economy Against the Internet Economy Model

The aim of the paper is to assess digital economy concept included in the Europe 2020 strategy in view of its consistency with the new Internet economy model and meeting challenges arising from the digital revolution. A holistic approach is taken. The literature on socio-economic changes brought about by the Internet is reviewed, as well as EU strategic documents are examined critically. The comparative analysis of assumptions and objectives of the digital economy concept against the Internet economy model is carried out. The main conclusion is that the Europe 2020 strategy doesn't assume any transition of European economy towards the Internet economy as a new socio-economic model and EU digital economy is being built on the traditional sources of growth, such as demand and competition stimulation. The ineffectiveness of the EU actions to improve its competitiveness is so far on a conceptual level.