Message from President & CEO

In 2015, ITI fully owned the moniker “the global voice of the tech sector” by achieving policy successes around the world. In 2016, our centennial year, our aim is to leverage our growth to achieve an even more significant return on investment for our membership, launch an education campaign that will create a more enabling global policy environment, and lay the foundation for an ITI that is well positioned to achieve results for our members in the next century.

The successes we collectively achieved in the last 12 to 18 months are real, meaningful, and wide-ranging. Those achievements include congressional passage of the USA Freedom Act and Trade Promotion Authority; the World Trade Organization’s adoption of the Information Technology Agreement, the most wide-ranging technology trade agreement in the last thirty years; pushing back protectionist policies in China and Brazil; and shifting the terrain around international tax reform to create a baseline expectation that includes moving to a territorial system and competitive innovation systems. None of these successes were ITI’s alone, yet none of these achievements would have occurred without our leadership.

In 2016, we will mark our centennial not by focusing on the past, but by using our 100th year as a springboard to the future. Specifically, we will endeavor to provide policy-makers around the world with the threshold knowledge base needed to make informed decisions on innovation policies.

Our industry transforms the world at such a rapid pace and with such layers of complexity that it has become increasingly impossible for decision makers to gather and understand the information required to make and implement coherent and fruitful policy. At the same time, the consequences of incoherent policies are so serious and damaging that new systems are urgently needed. ITI is well positioned to solve for that.

We are privileged to work on behalf of a sector that is innovating in the areas of neural networks, electric cars, solar power satellites, data analytics, and a whole host of other advancements that are changing the pace of Moore’s Law and the nature of science. Our world is a better place because of these technological advancements, and our job is to create a policy environment that enables the development and implementation of innovation – today, and for the next 100 years.

Dean C. Garfield

President and CEO, ITI

2015 Milestones

Over 450 guests visited the 22 exhibits at the

added 7 new companies

engaged with decision-makers in capitals on 6 continents.

added 13 companies

held 21 Congressional Meet & Greets and 9 Congressional Briefings, Administration Policy Roundtables, and Networking Receptions

significantly advanced 7 of our top 10 global priorities

Key Voted Legislation 11 times

Success Through Leadership

In 2015, the tech sector achieved a number of significant victories. ITI played a significant role in setting the tone and clearing the path to success on major tech-related issues around the globe.

Trade Promotion Authority (TPA)

TPA legislation and two related trade bills were passed by Congress and signed into law by the President.

In late June, TPA legislation and two related trade bills were passed by Congress and signed into law by the President. TPA is key to the ability of the United States to negotiate trade agreements that address digital trade issues, lower trade barriers, and help technology companies gain access to global markets in order to sell their goods and services. Without TPA, it is virtually impossible to finalize any trade agreement, and subsequently pass any agreement through Congress. ITI experimented early with an innovative social media campaign, helped to build and lead a broader tech coalition, and devoted significant time to petitioning congressional offices to support the passage of TPA. Ahead of the bill, ITI sent key vote letters to both the House and Senate. The final bill updates the U.S. Trade Representative’s (USTR) negotiating objectives with regard to digital trade, data flows, and forced localization. TPA sets the stage for an expedited completion of the Trans-Pacific Partnership (TPP), a high-standard regional trade agreement that would deliver myriad benefits to the tech industry.

USA Freedom Act

On June 6, 2015, the bipartisan USA Freedom Act was signed into law by the President, ending indiscriminate bulk collection of data.

On June 6, 2015, the bipartisan USA Freedom Act was signed into law by the President. The act ended indiscriminate bulk collection of data and allowed tech companies to report information about government orders they receive for access to data. This surveillance reform bill was a top priority and hard-fought win for the tech sector. ITI engaged with congressional offices to educate lawmakers and their staff about the need for surveillance reform, building support for the passage of the USA Freedom Act. ITI sent multiple key vote letters to House and Senate offices urging lawmakers in both chambers to act swiftly on the measure without amendment. Despite last-minute efforts in the Senate to force harmful amendments in the face of the expiration of certain government surveillance authorities, ITI’s efforts ensured that the Senate adopted the House-passed version without amendment.

Electronic Product Environmental Assessment Tool

In March 2015, the President issued a revised executive order removing a long-standing reference to the proprietary and problematic EPEAT.

In March, as a result of ITI and ITAPS’ work to bring documented legal and policy concerns to the attention of both Congress and the Administration, the President issued a revised executive order removing a long-standing reference to the proprietary and problematic EPEAT®. EPEAT® is a privately-owned program and a trademarked brand which identified the information communications technology (ICT) products and services that met environmental sustainability standards for federal procurement. This program created a monopoly that inappropriately controlled access to the $60 billion federal market for ICT products. Under the new executive order, the Environmental Protection Agency must recommend standards and specifications on which federal agencies can rely to inform their sustainable purchasing decisions. ITI and ITAPS have provided specific recommendations to the Administration and to Congress on how best to accomplish this transition to ensure competition and transparency in the significant federal marketplace for ICT products.

Information Technology Agreement (ITA) Expansion

ITI played a significant leadership role in advancing the expansion of the WTO’s ITA, which eliminates more than 200 tariffs on technology products.

ITI played a significant leadership role in advancing the expansion of the World Trade Organization’s ITA, which eliminates more than 200 tariffs on technology products, including: GPS devices, video game consoles, computer software, and next-generation semiconductors. During the negotiations, ITI led an industry coalition that convened multiple meetings with foreign trade officials in Washington D.C., Geneva, and other national capitals. After three years of challenging negotiations, the interests of the tech sector prevailed when agreement was reached in July 2015 to expand the number of products covered under ITA. The agreement is expected to create 60,000 American jobs and eliminate tariffs on a substantial portion of the $100 billion worth of ICT products exported by U.S. manufacturers yearly. ITI will remain at the forefront of the continued effort to promote the expansion of the landmark agreement in the years to come.

China Banking Regulations

ITI took the lead in halting harmful proposed banking regulations in China.

ITI took the lead in halting harmful proposed banking regulations in China. In August 2014, the China Banking Regulatory Commission (CBRC) released draft regulation for the stated purpose of improving network security for financial institutions. The draft regulation, however, included problematic requirements for divulging source code and set goals for banks in China to increase their use of domestic technologies. ITI established reform of this draft regulation as a priority early in the fall of 2014, raising the profile of this issue through extensive stakeholder education and engagement. This work, along with the gravity of the measure, allowed ITI to rapidly build momentum, and the measure ultimately became a priority for multiple cabinet-level discussions with Chinese leaders, and a key area of negotiation at the December U.S.-China bilateral dialogue. In February 2015, the Chinese government announced that the draft regulation had been suspended indefinitely. In August 2015, CBRC began to take input on changing the proposed regulation in a more “market-oriented” manner, and ITI continues to lead engagement, organizing and submitting collective input from 19 associations with IT and finance members, to ensure the regulation is consistent with common international practice.

U.S.-China Cybersecurity Agreement

ITI was a strong advocate and primary voice in the lead-up to the Obama-Xi summit, where the U.S. and Chinese governments reached an agreement on cybersecurity.

ITI was a strong advocate and primary voice in the lead-up to the September Obama-Xi summit, where the U.S. and Chinese governments reached an agreement on cybersecurity. The commitment, which was a critical first step, states that neither government will engage in cyber-espionage for economic purposes, and initiated a new mechanism for dialogue on cyber issues between security agencies in both countries. In preparation for the summit, ITI participated in talks with both governments, emphasizing the importance of leveraging the visit to make progress on concerns regarding cybersecurity regulations in China. ITI also helped lead two significant submissions to the U.S. government: 1) a two page framework on U.S.-China ICT engagement, which defined problems and offered practical recommendations for next steps; and 2) a letter signed by 19 associations from across sectors that recognized cybersecurity as a central challenge to U.S. company operations in China, raising the profile of the issue and the need to address it in a meaningful way at the summit. ITI was able to advance important commitments related to cyber and technology policy that will help to advance future discussions on key operating issues for ICT firms in China.

Shifting Perspectives

Good policy doesn't happen overnight.

That's why ITI engages with policymakes - not just to influence, but to educate and persuade.

Cybersecurity

ITI is a well-established leader in cybersecurity policy, developing policy with Congress and governments around the world.

ITI is a well-established leader in cybersecurity policy, developing policy with Congress and governments around the world. In response to rising interest in the issue of cyber threat information sharing, ITI testified on the subject in front of the House Committee on Science, Space and Technology in January 2015, and developed cybersecurity threat information sharing principles to inform and guide our engagement with Capitol Hill. ITI submitted key vote letters in support of three major pieces of cybersecurity threat information sharing legislation, and partnered with the Senate Republican Policy Committee to provide a robust education presentation to staff. As a result of our efforts, we escaped legislation this year and helped legislators, staff, and governments in key markets around the world better understand the technical aspects of information sharing, the benefits of sharing among industry and with the federal government, the importance of liability protection, and the need to include appropriate privacy protections.

Contractor Burdens

ITAPS has engaged in successful efforts to educate policymakers about the significant increase in regulatory burdens over the past several years.

ITAPS, along with several other trade associations, has engaged in successful efforts to educate policymakers in the executive and legislative branches about the significant increase in regulatory burdens over the past several years. These burdens include multiple new requirements to flow contracting provisions down into the entire supply chain for goods and services. ITAPS work in this area successfully led to delays, changes, or further review of congressional appropriations actions, executive orders, and regulatory actions before they were finalized and implemented.

Comprehensive Tax Reform

Comprehensive tax reform remains a key priority for ITI members, and the need for reform has never been more urgent.

Comprehensive tax reform remains a key priority for ITI members, and the need for reform has never been more urgent. In recent years, other countries have aggressively pursued tax policies intended to boost their tax base by attracting income and operations of U.S. companies, with significant intellectual property and the jobs that accompany it. These actions have intensified the need for tax reform in the U.S. and attracted the attention of a growing, bipartisan group in Congress. In fact, the congressional conversation on tax reform has experienced a positive shift, and we now see a growing recognition of the need for a globally competitive territorial system coupled with powerful innovation incentives to keep businesses in the U.S. ITI and its members have played an active role in advancing this message, and will continue to educate members of Congress and the Administration on the urgent need for transformative reform, including a shift to a territorial system of taxation, a lower rate, and competitive innovation incentives.

Encryption

ITI authored a letter to the Administration unequivocally voicing our opposition to backdoors while still demonstrating a willingness to discuss solutions to problems.

In response to calls for building harmful “backdoors” into encryption technology, ITI authored a letter to the Administration unequivocally voicing our opposition to backdoors while still demonstrating a willingness to discuss solutions to problems. As a result, the Department of Homeland Security and FBI sought a dialogue with ITI to define the various issues they face in criminal investigations and to discuss technological solutions where feasible. Similarly, the House Committee on Homeland Security asked ITI to create an industry panel to discuss the use and importance of encryption in both the government (civilian and non-civilian) and private sector context. As a result, ITI successfully moved the conversation away from backdoor demands to focus on other technological issues where there may be acceptable solutions to address law enforcement concerns.

Federal Digital Enterprise

ITAPS assembled a task force to take develop recommendations to what the U.S. government can do to better protect federal data and networks.

In the wake of the massive 2015 data breach at the U.S. Office of Personnel Management (OPM), which exposed the data of more than 21 million current and former government employees and contractors, ITAPS assembled a task force of twenty leading ICT companies to take action on the breach. This taskforce developed recommendations to top federal officials outlining what the U.S. government can do to better protect federal data and networks. In July 2015, ITAPS and ITI members presented more than 80 recommendations to senior officials at the Office of Management and Budget, OPM, and the National Security Council. These sweeping recommendations were then released to the public, and ITAPS used them to measure the federal government’s progress. As the federal government works to secure its digital enterprise in 2016, ITAPS will continue to advocate for additional improvements.

Internet of Things (IoT)

ITI has experienced several successes since launching the policy working group and has become widely known as a policy leader in this space.

ITI has experienced several successes since formally launching our IoT policy working group in January 2015, and have become widely known as a policy leader in this space. In early 2015, ITI quickly developed and advocated for overarching policy principles and smart transportation policy principles. ITI staff have participated in a number of panels at IoT events held by the private sector and congressional offices, including the first and only briefing by the Congressional IoT Caucus on smart cities. ITI also testified before the House Judiciary Committee at a July 2015 hearing on the IoT. These efforts throughout 2015 have ensured that multiple congressional committees now regularly engage ITI on the subject of IoT and that the policy perspectives on the IoT are well-informed.

Surveillance Reform

In 2015, ITI led industry efforts to raise awareness of the importance of passing the Judicial Redress Act.

In 2015, ITI stood out as a key influencer on the major surveillance reform legislative activities. ITI led industry efforts to raise awareness of the importance of passing the Judicial Redress Act. The Judicial Redress Act extends certain rights granted to U.S. citizens under the Privacy Act to the citizens of designated allies. Due in part to ITI’s efforts, the measure became one of the amendments considered in the Cybersecurity Information Sharing Act debate in the Senate. Additionally, ITI continued coordination with industry and civil society organizations to educate Hill offices on the need for an update to the woefully outdated Electronic Consumer Privacy Act. Reforms would ensure that law enforcement would be required to obtain a warrant to gain access to online user content older than 180 days, just as they must with physical mail or online content younger than 180 days. As a result of the continued calls for the popular bipartisan reform effort, House leadership directed the Judiciary Committee to prepare the bill for floor consideration before the end of 2015.

Sustainability Solutions for Governments

As a results of the efforts of DESSC , policy-makers and other stakeholders now recognize that ICT innovation is the key to future sustainability.

As a result of the efforts of the Digital Energy & Sustainability Solutions Campaign (DESSC) and related ITI outreach mechanisms, U.S. policy-makers and other stakeholders now recognize that ICT innovation is the key to future sustainability. Some examples of DESSC’s effective educational efforts this year include: (1) drafting the Energy Efficient Government Technology Act, the only provision relevant to our industry in the congressional debate on comprehensive energy policy; (2) collaborating with the U.S. Department of Energy on redirecting a G-20 initiative from a dangerous proposal to restrict network device energy use to a G-20 Energy Ministerial endorsement of a new project featuring network-enabled smart energy; and (3) teaming up with the non-governmental organization community on a new project to ensure that intelligent efficiency solutions are leveraged in implementing the EPA’s Clean Power Plan.

Workforce

ITI continued to identify strategic ways to address the technology sector’s priorities and advocate for effective reform.

Despite limited progress on high-skilled immigration reform from Congress, ITI continued to identify strategic ways to address the technology sector’s priorities and advocate for effective reform. At the start of the 114th Congress, ITI co-sponsored a briefing session to educate Hill staff on the H-1B visa program and the challenges our members face under the current system. As part of a broader outreach effort on the issue, ITI provided research support for an industry briefing book and supplemental advocacy materials, and continued to serve as a valuable liaison with congressional staff on a number of legislative initiatives. Furthermore, ITI contributed to industry comments on the U.S. Citizenship and Immigration Services Simeio Solutions guidance and the Department of Labor’s Fair Labor Standards Act, among other issues.

Progress on Tech Priorities

ITI works at the state, federal and global levels to advance tech's most important issues.

Acquisition Reform

ITAPS helped to shape the focus of legislative reform efforts and succeeded in getting Congress to include a number of provisions in the National Defense Authorization Act.

ITAPS helped to shape the focus of legislative reform efforts and succeeded in getting Congress to include a number of provisions aimed at making access to commercial items a central piece of the National Defense Authorization Act for FY2016. These provisions will help restore better access to innovative commercial products and services and reduce the burden of government-unique requirements placed on their acquisition.

APEC Energy Efficiency

ITI is driving a process in the APEC forum to establish consistent product energy efficiency protocols.

ITI is driving a process in the Asia-Pacific Economic Cooperation forum to establish consistent product energy efficiency protocols. We are simultaneously working to eliminate deviations from international norms in Japan’s energy efficiency requirements for PCs and in China’s draft Minimum Energy Performance Standard for Servers.

British Columbia Energy Efficiency Requirements

ITI effectively advocated for delayed enforcement of new battery charger regulations and removal of unique labeling requirements.

ITI effectively advocated for delayed enforcement of new battery charger regulations and removal of unique labeling requirements, which would have blocked Canada-specific products from being sold in the market.

California’s Proposition 65

ITI developed a tool for members to determine their compliance with requirements for labeling for phthalates in cords.

ITI developed a tool for members to quickly and easily determine their compliance with requirements for labeling for phthalates in cords, thereby saving companies time and money when navigating the state’s complex environmental regulation.

Chile E-Waste

ITI led industry advocacy efforts to revise Chile’s proposed product take-back law to align with global best practices.

ITI led industry advocacy efforts to revise Chile’s proposed product take-back law to align with global best practices.

Commerce, Justice, Science and Related Agencies (CJS) Appropriations

ITAPS and ITI engaged with the House and Senate Appropriations Committee to educate staff and members on Section 515 of H.R 2578.

ITAPS and ITI engaged with both the House and Senate Appropriations Committees to educate staff and members on Section 515 of H.R. 2578 as well as the Commerce, Justice, Science and Related Agencies Appropriations Act of 2016. ITI also submitted a letter to House and Senate Appropriations Committee and CJS Subcommittee leaders outlining our concerns with geographical-based restrictions on products in the federal supply chain.

Dialogue on Energy Efficiency and Public Safety

ITI helped to launch a U.S.-Chile dialogue to provide an ongoing advocacy forum to raise industry concerns.

ITI helped to launch a U.S.-Chile dialogue between the U.S. Trade Representative (USTR) and its Chilean equivalent (DIRECON) to provide an ongoing advocacy forum to raise industry concerns on priorities including: in-country testing, unique labeling requirements, and other regulatory measures.

Data Breach Notification

ITI testified before both the Senate and the House on the topic of data breach notification and drafted letters outlining the tech sector’s position.

ITI testified before both the Senate and the House on the topic of data breach notification, and drafted multiple substantive letters outlining the tech sector’s position on this issue. ITI also educated congressional members and staff on data breach notification, and as a result of our effort, helped avoid harmful legislative action. ITI is now recognized for its industry expertise on the issue and continues to influence additional legislation that will include data breach notification provisions.

EU RoHS Exemptions

ITI is engaged in a multi-industry, international effort to formally petition the EU to extend critical materials exemptions under its RoHS Directive.

ITI is engaged in a multi-industry, international effort to formally petition the EU to extend critical materials exemptions under its Restriction on Hazardous Substances (RoHS) Directive. Absent EU action, these exemptions will expire in July 2016, forcing our sector to undertake costly product and process redesign efforts.

Federal Acquisition of Technology

ITAPS was instrumental in persuading the GSA to reconsider a regulation which prohibited companies from putting their products on the GSA schedule.

ITAPS was instrumental in persuading the General Service Administration (GSA) to reconsider a regulation which prohibited companies from putting their products on the GSA schedule without two years prior market experience, which was inhibiting the government from using the best and most up-to-date technology that the market had to offer.

G-20 Energy Ministerial

ITI teamed with the U.S. Government to redirect the G-20 from a dangerous proposal to restrict network device energy to an Energy Ministerial endorsement.

ITI successfully teamed with the U.S. Government in redirecting the G-20 from a dangerous proposal to restrict network device energy use to an Energy Ministerial endorsement of a new project featuring network-enabled smart energy.

India Import Restrictions

ITI continues to spearhead efforts to reverse recent policy decisions in New Delhi to reject specific types of imports.

ITI continues to spearhead efforts to reverse recent policy decisions in New Delhi to reject imports of used whole equipment and imports of used spare parts needed to service installed ICT equipment. The government of India has acted to brand these shipments as wastes or even hazardous wastes, which, in addition to costing our companies millions of dollars, have undercut our ability to meet warranty and service obligations in the country.

Oregon legislation on IT Contract Provisions

ITAPS worked with state legislators to amend a bill which clarifies that the state can negotiate terms and conditions with IT vendors.

ITAPS worked with state legislators to amend a bill which clarifies that the state can continue to negotiate terms and conditions with an IT vendor selected as top bidder.

Patent Reform

ITI worked to garner bipartisan support for the Innovation Act, educating key Judiciary Committee staff and voicing support for the legislation.

ITI worked to garner bipartisan support for the Innovation Act, educating key Judiciary Committee staff and voicing support for the legislation, which passed the House Judiciary Committee and included changes requested by ITI companies. ITI informed key Senate Judiciary Committee staff on the tech sector’s opposition to the PATENT Act and advocated for additional reforms.

Proposed China Import Restrictions

Leading up to 2015 Basel COP-12, the government of China announced its opposition to the continued global movement of used and non-functioning spare parts.

Leading up to Basel Convention Conference of Parties (COP-12), the government of China announced its opposition to the continued global movement of used and non-functioning spare parts. ITI coordinated an effort to present the Chinese government with Chinese customs data (2005 to 2015) on the volume of such imports. Following the industry presentation, the government of China walked back its policy statement at Basel COP-12 and tacitly supported the ITI position.

Responsible Electronics Reuse and Recycling

ITI secured formal recognition that countries may consider shipments of used and non-functioning electronics as products, not hazardous wastes.

During the 2015 Basel COP-12, ITI secured formal recognition from the international community that countries may consider shipments of used and non-functioning electronics as products, not hazardous wastes. This outcome, as set forth in interim guidelines adopted by global governments, preserves the ability of our companies to maintain their worldwide product reuse and recycling programs, avoiding billions of dollars in additional costs to our companies.

Right-to-repair Bills

ITI held off adverse state bills that would have mandated that manufacturers provide diagnostic tools and publish instructions on how to repair and refurbish electronics.

ITI held off several adverse state bills that would have mandated that manufactures provide free or at-cost diagnostic tools and publish instructions to consumers on how to repair and refurbish electronics. As written, these bills create serious safety risks for consumers, and raise significant intellectual property and liability issues for manufacturers.

State Vendor Performance

Several states pursued new vendor performance changes to their contracting processes after ITAPS successfully engaged with state governments to shape those efforts.

Several states pursued new vendor performance changes to their contracting processes after ITAPS successfully engaged with state governments to shape those efforts. ITAPS engagement caused states to include an assessment of government actions in the transaction, as well as the opportunity for the vendor to respond to negative performance content or ratings.

UN Convention on Psychotropic Substances

ITI convened an industry coalition that opposed the listing of two chemicals widely used in the product of circuit boards and capacitors as narcotics.

ITI convened an industry coalition that successfully opposed the listing of two chemicals widely used in the production of circuit boards and capacitors as narcotics. Had these compounds been listed and deemed controlled substances, their legitimate use in manufacturing would have been effectively banned.

Members Companies

From hardware to software to services, our member companies are the most dynamic, innovative technology brands in the world.