Australia is an excellent place to make digital investments. The nation is home to a rapidly expanding digital economy, a highly accomplished ICT R&D sector, and an e-ready government. This combination of factors is creating strong opportunities across the economy, including digital health and government services. However, Australia faces a number of challenges.
The government is making investments to ensure Australians remain safe online. It has invested $23 million to improve eSafety in schools and is introducing tough new laws to fight online trolling. The government has also recently released a Digital Economy Strategy 2021, with an aim to turn Australia into a global leader in the digital economy by 2030.
Australia's Prime Minister, Scott Morrison, attended Google's launch of its Digital Future Initiative. The project focuses on developing digital infrastructure in Australia, particularly cloud computing. It also aims to build new tech partnerships with Australian institutions and companies. Already, the company has signed an agreement with the Commonwealth Scientific and Industrial Research Organisation (CSIRO), which will explore clean energy and quantum computing.
The government has also established a new agency, the Digital Transformation Agency (DTA), to provide strategic advice to the government on the use of technology and innovation for government services. The DTA's mandate has recently been amended, with new powers to coordinate, oversee, and ensure the effectiveness of digital investments. It will collect regular project performance reports from government agencies and advise the government on the overall health of its ICT and digital Investment platforms portfolio.
The Australian government has also implemented a new tax incentive designed to support the digital economy. The Technology Investment Boost program offers an additional 20 per cent tax deduction for small businesses that invest in digital technologies. This means that, for every $100 spent on digital technologies, the tax concession is worth $120. This incentive may be worth up to $100 million a year, and it can be a huge boost for Australia's digital economy.