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April 28, 2006
ECOM News No.13

FY2006 The First Planning Committee Meeting Held!
Outline of the "Third ECOM Executive Special Seminar"
Report on "ETSI/TC ESI #13"
The Announcement of "ECOM Forum 2006"


FY2006 The First Planning Committee Meeting Held!


The First Planning Committee Meeting - held on April 24, 2006 -


    At the FY2006 First Planning Committee Meeting, some planning committee members were replaced and six new members were introduced, following the greeting from Mr. Koichi Kataoka, who was inaugurated as Secretary General of ECOM in April, 2006. It was approved that Mr. Akikazu Sato (Kao Corporation) and Mr. Yukihiro Shirakawa (Hitachi, Ltd.) will continuously act as the Chairman and Vice Chairman of the ECOM Planning Committee.

    Following the introduction, Mr. Keisuke Sasaki, Deputy Director, Information Economy Division, Commerce and Information Policy Bureau, Ministry of Economy, Trade and Industry, made a speech. As ECOM activities for FY2006 start, he suggested promoting meaningful, constructive and specific discussions on RFID tag diffusion, the facilitation of EC and the development of EC rules for safe and secure environments. That is one of the main pillars of the IT New Reform Strategy to utilize IT, so that companies can gain international competitiveness.

    The following topics were deliberated: FY2006 Activity Plan (First Revision), invitations for participation in working groups (WG) and new projects, etc. The secretariat explained the details of the FY 2006 Activity Plan (draft) which was reported at the FY 2005 Second Planning Committee, such as details of activities and what is expected of the WG members. Further deliberation will be conducted at the Second Planning Committee (scheduled to be held on May 17, Wednesday) after reflecting the latest trends and fleshing out the details of the Activity Plan. The secretariat then announced a call for WG members and new projects during the two weeks from May 18 (Thursday) to May 31 (Wednesday), with the start of full-scale WG activities from June. Some WGs with fixed details of activities are approved to inaugurate their activities with the core members (members from FY2005) on ahead.

    Schedules of Board of Directors Meetings and General Meeting are as follows:

June 7 (Wednesday): The First Board of Directors Meeting
  ·FY2005 Activity Report, settlement of balance, FY2006 Activity Plan (revision), budget of     balance (revision)

June 12 (Monday): General Meeting, Board of Directors Meeting, Banquet
  ·Selection of Director and Auditor
  ·Selection of Chairman and Vice Chairman
  ·FY2005 Activity Report, settlement of balance, FY2006 Activity Plan, report on budget of     balance

 


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Outline of the “Third ECOM Executive Special Seminar”
~Proposals by Infosocionomics~

   On March 1 (Wednesday), 2006, the above-mentioned seminar for board members was held at Tokyo Kaikan, Kasumigaseki Building (Chiyoda-ku, Tokyo). On that day, as a lecturer, we invited Mr. Shumpei Kumon, Senior Executive Director, Center for Global Communications, International University of Japan. He gave a lecture on “What is Information Society?”, “Changes Caused by Informatization”, “The Coming ‘Revolution’”, etc., under the theme of “Proposals by Infosocionomics”. The outline of the lecture is as follows.
(Full note of the seminar will be released on the ECOM’s website for members around May 18, 2006.)

 What is Information Society? Three Perspectives


    First of all, what after all does an “information society” mean? I think that we can define it from three different perspectives. The first perspective is based on an Anglo-American idea and is the most traditional one. To put it very plainly, there exists neither an information society nor any society worthy of such a name in the first place; there are only information technologies and industries. The second perspective is based on the extremely opposite view: the information society, which is a society at a new development stage far beyond the modern society and civilization, has created a new civilization. In Japan, this view has been advocated since quite early times. Starting with the “Information Industry Theory” by Mr. Tadao Umesao in the 1960s, our great predecessors made such words as “information revolution (joho kakumei)”, “information society (joho shakai)”and “informatization (joho-ka)”, probably ahead of the rest of the world. For the moment, I use the word “informatization” for “joho-ka” because, unfortunately, there is still no other appropriate word for it in English. These several years, the concept of “information society” has been almost firmly established also in Europe, with some sort of inheritance of the “Third Wave” by Alvin Toffler. He advocated the arrival of the “third wave,” transcending the agrarian society and the industrial society, that is to say, the arrival of the “postmodern” information society transcending the modern age. In other words, he shared the second perspective. The third perspective lies between the two above-mentioned viewpoints: the “information society” has appeared at the maturity stage of the modern age in which there are both developed information technologies and industries and huge waves of so-called “postmodern” social changes, and the contemporary world is viewed as the “last modern” society (the last stage of the modern age).

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Standpoint of the Last Modern Theory


     I do not deny that both post-modernization and industrialization are still in progress. In my opinion, the “third Industrial Revolution,” which is now being rapidly advanced, will probably enter the breakthrough stage and will produce new leading industries, such as computer and digital industries, in the not-too-distant future. However, I would like to say that a core social change of today is that the modern age itself is reaching maturity. Modernization started with the formation of so-called sovereign nations or military states, mainly in Europe, in the latter half of the 16th century. After approximately 200 years, that is to say, at the end of the 18th century, the Industrial Revolution started toward the industrial society. And today, since the latter half of the 20th century, modernization has been moving toward informatization as the third stage.

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Changes Caused by Informatization


     From this broad perspective, the information society is still a part of the modern society, although it has changed from the traditional concept of modern society in some points. First, there is a major change in people’s consciousness and behavioral patterns. At the first stage of the modern society, “fights” and “battles” counted for a great deal. This sense of value was based on the concept that goals could be accomplished through fights without hesitation in this world. People used to say without embarrassment that “even peace should be achieved through fights.” Next, people began to point out the importance of “competitions.” They said that “it was a competition that would produce wealth and social progress.” And today, people in the information society have started to think as follows: “collaboration is more important than competitions, especially in making good things happen” or “means are certainly important, but a more important power in the future will be brain power (chiryoku) or fame supported by brain power (chiryoku) rather than political power, economic strength and funding ability.”

    In addition, organizations have started to play different kinds of games. In the traditional modern society, modern sovereign nations were playing a so-called “power game” at first: they were competing with one another to become powers by waging competitions and wars for boosting and enhancing national prestige, occupying foreign territories and annexing them based on treaties. After this stage, companies started to play a capitalistic “wealth game.” However, in the information society, although both nations (governments) and companies still exist, a lot of new organizations that I would like to call “brain activity organizations (chigyo)” (in general, they are called NGOs, NPOs or CSOs, that is, civil society organizations) are being established to play another kind of social game. It is neither a wealth game nor a power game; it is a “reputation game” or a “brain game” (according to my expression). This is the core social change in “informatization.”

    In the information society, decentralized collaborative networks will be ideal organizations, instead of vertically integrated large organizations that were typical in the 20th century. Existing political and business worlds will surely be affected by the change. I think that so-called “e-governments” and “e-commerce” can be considered also as incidental changes when the flow of “informatization” is penetrating the political and business worlds. In other words, the whole modern society, which started as a military society and shifted to an industrial society, is now moving toward the information society.

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“Capital (Shihon)” vs. “Brain Power (Chihon)”


     The “Capital” starts with a sentence that “the wealth of those societies in which the capitalist mode of production prevails, presents itself as ‘an immense accumulation of commodities,’ its unit being a single commodity. Our investigation must therefore begin with the analysis of a commodity.” Now, let me replace “capitalist mode” with “brain power mode (chihon shugi),” “production” of commodities with “generation” of knowledge and information (sanchi), “wealth” with “brain power (chi),” “commodities” with “knowledge and information to be shared (tsushiki),” and “accumulation of commodities” with “accumulation of knowledge and information to be shared (tsushiki base).”

    The “Brain Power Theory (Chihonron)” will start with the following sentence: “the brain power of those societies in which the brain power mode of generation prevails, presents itself as ‘an immense accumulation of knowledge and information to be shared,’ its unit being a single piece of knowledge and information to be shared. Our investigation must therefore begin with the analysis of knowledge and information to be shared.” I think that this is the sentence that should be written on the first page of a textbook on micro infosocionomics. If “brain power” in the information society is considered to be equivalent to “capital,” it can be defined as a “self-organized moving body of knowledge and information,” and people who embody the concept will be called “brain power persons (chihonka)” or “brain business persons (chigyoka)” and will come to the forefront in the future.

    “Commodities” are goods and services that are produced for sale from the beginning. The aim of producing commodities is neither to use them privately nor to give them to other people, but to sell them. In principle, all goods and services are produced as commodities in the capitalist world. On the other hand, in the information society, almost all knowledge and information are produced not for sale, but for sharing. It is needless to say that some of them are produced and sold as commodities, but the overwhelming majority is produced for free-of-charge sharing from the beginning. Therefore, I would like to call that kind of knowledge and information “knowledge and information to be shared (tsushiki).”

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Main Points of Controversy in Macro Infosocionomics: Three Empirical “Social Laws”


     The next point is what problems are treated in macro infosocionomics. Please think about it in comparison with macroeconomics. I think that there are three major “laws.” First, there are all kinds of social things in the information society, such as CDs, books, TV programs, and fame, whatsoever it may be. Seemingly, social things of the same kind do not conform to so-called normal distribution; they conform to either the so-called power-law distribution (*1), the Zipf’s distribution (*2), or the logarithmic normal distribution. This is the “law” in relation to the distribution of social things at the same point of time.

    Second, how will social things change in process of time? I think that they will change along S-shaped curves that are exactly like new product diffusion curves. It can be considered that, if all kinds of social things change along many S-wave curves, a sort of fractal structure that shows S-shaped waves (*3) of social things is created in society as a whole. This is the “law” in relation to temporal changes in social things.

    Based on the two laws as mentioned above, I have problem consciousness of the possibility of a correlation between the synchronic power-law distribution or Ziph’s distribution and the diachronic S-wave evolution: possibility of changes in power-law or Zipf’s indexes in line with stage changes in S-shaped waves, possibility of differentiation of social things of one kind into some different kinds with different distribution indexes in line with stage changes, etc. I would like to call it the third “law,” but at present, it may be more appropriate to refer to the three “laws” as “hypotheses.”

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 S-shaped Wave, Long Wave and Breakthrough in the Modernization of Japan = Upward Stage


     Modernization in Japan, which had already started in the age of provincial wars (Sengoku Era) at the latest, experienced a “breakthrough” stage from the Meiji Era through the Showa Era. What served as the driving force was “Westernization,” through which Oriental and Occidental modern civilizations made the second contact with each other. In the 16th century when the two cultures made the first contact, Japan at first enthusiastically accepted two “G”s (god and gun), which were elements peculiar to the Western civilization, and then abandoned them. Through the second contact, Japan received two “I”s (imperialism and industrialism). Nowadays, modern societies are about to simultaneously enter the “maturity” stage, not only in Japan, but also in the United States and Europe. I think that, as a result, the two “I”s will be probably abandoned. It is far past the time when Japan saw the last of imperialism (with military strength). Japan has not shown any sign of parting with industrialism (toward wealth) yet, but it is reasonably expected that the world will enter a new stage, separating from industrialism, probably in the coming decades.

    The process of “Westernization” in Japan can be clearly summarized as three S-shaped waves (waves of militarism, industrialism and informatization) that appeared every sixty years, or as long waves (*4) with an upward cycle of 30 years and a downward cycle of 30 years. It may be unbelievable, but this view can be applied also to the past quite well, at least to the beginning of the age of provincial wars.

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The Coming “Revolution”


     In the present-day society, if “revolutions” equivalent to the Industrial Revolution and people’s revolutions in the past industrial society break out, they will be classified into the following two types. First, if we understand that a social revolution is an “emergent” process toward a new social order beyond the intentions of individuals and groups, the ongoing digital revolution and information revolution exactly fall within the definition. With new sources of power as typified by information technologies, the society will change beyond the intentions of individuals, and a new social order will be created. On the contrary, if we consider that a social revolution is a “generation” process of a new artificial and political order, we will be able to understand that a “brain power revolution (chimin kakumei)” will break out after people’s revolutions (bourgeois revolutions) in the past. In other words, those who are not satisfied with the dominion of the old power that has been hampering the development of informatization, or those who see themselves as key players in the new power, will emerge as a political force on purpose to hold power. We may probably experience a “revolution” in both meanings. At any rate, the society will not drastically change without such a new power and those who play a key role in it.

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New Scarcity in the Information Society


     In principle, infosocionomics is the study of new types of social changes in the information society, including the diffusion of a “brain game” and the outbreak of a “brain power revolution (chimin kakumei).” That is not to say that industries and nations will not exist any more in the information society; studies on these objects will be still needed. On the contrary, in the process of the third Industrial Revolution, all kinds of new goods are being produced, and the economy is growing based on those goods. In particular, both “digital goods” and “positional goods” are very important new goods. Online game items and characters serve as prime examples of the former category, and the typical examples of the latter one are portals that attract many people, rights of putting ads on popular websites based on a result of retrieval, etc. They can be sold at high prices because they produce new scarcity.

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 Infosocionomics


    I think that the observation of the distribution of social things based on the power-law distribution or the Zipf’s distribution will be a strong tool to visualize the whole society from a macro perspective. The tools are useful in dividing all kinds of social orders, including the order of Marxian class differentiation, the order of a welfare society toward equality and in the differentiation process according to kinds of blogs as a recent example, into the top part and the long-tail part of distribution, and in visualizing such phenomena. I hope that you will pay attention to infosocionomics by all means and that you will participate in the Infosocionomics Society, if you like. Thank you for your kind attention.

 

<<Glossary>>

*1 Power-law distribution:
Rating indexes, including the probability of appearance of events, are distributed in proportion to the power (n-plex) of the sizes of such events. In this distribution, a proportional relationship (straight line) is obtained by marking rating indexes, such as frequency of appearance on the logarithmic axis of the ordinate (y-axis) and by marking explanatory variables on the logarithmic axis of the abscissas (x-axis).

*2 Zipf’s distribution:
Zipf’s distribution is obtained as a result of correlating things that are distributed according to the power law by marking sizes on the axis of the ordinate (y-axis) and by marking ranks on the axis of the abscissas (x-axis).

*3 S-shaped wave:
In grasping social changes (time-series analysis), if rating indexes such as size, growth rate and diffusion rate are marked on the axis of the ordinate (y-axis) and time (e.g., year) is marked on the axis of the abscissas (x-axis), changes of rating indexes in the process of time will be almost S-shaped through stages including formation, emergence, breakthrough, maturity, establishment and decline.

*4 Long wave:
When there are some S-shaped waves that recurrently appear in almost the same cycle, and the maturity stage of a preceding S-shaped wave overlaps with the emergence stage of the following S-shaped wave, we will see a cycle like a sine wave by defining the breakthrough stages of the S-shaped waves as an upward stage, connecting them and drawing a downward stage. A long wave means, in particular, a wave with a comparatively long cycle of recurrence, from several decades to several hundreds of years.

 

Introduction of the Lecturer

Mr. Shumpei Kumon

Senior Executive Director, Center for Glocal Communications, International University of Japan
Professor, Tama University
Director, The New Institute for Social Knowledge and Collaboration: Kumon Center, Tama University
Chairman, Institute for Hypernetwork Society


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Report on “ETSI/TC ESI #13”


     Mr. Yoji Maeda, Research Director (Security WG) of ECOM reports on the outline of the “ETSI/TC ESI #13#”.

1. Background to attend the meeting
    The e-Document Law was put into practice in April, 2005. Some of the documents are required by law to be stored for more than ten years. The e-Document law requires attaching digital signatures and time stamps, if the documents are electronically stored.

    As a storage method for electronic documents, CMS and XML long-term signature formats, which are specified by international and European standards such as RFC 3126, ETSI(*), are believed to be the most effective methods at the present.

    ECOM established the following profiles in June 2005, based on the international and European standards, in order to improve and diffuse the interoperability of long-term signature formats in Japan:
· ECOM CAdES (CMS Advanced Electronic Signatures) long-term signature format profile
· ECOM XadES (XML Advanced Electronic Signatures) long-term signature format profile

    ECOM then conducted a plug test to confirm the interoperability between products (including prototypes) with the profiles. Fourteen IT vendors in Japan participated in the plug test.

    We made a request to Mr. Chauvel with the ETSI secretariat for an opportunity to exchange information on the plug test by the ECOM profiles. Mr. Genghini, Chairman, and Mr. Zumerle, Technical Officer/Secretary of the ETSI/TC ESI (Electronic Signatures and Infrastructures) helped me to attend the meeting with Mr. Michihiro Kimura (NEC), to introduce ECOM and the plug test and to exchange information.

*ETSI: European Telecommunications Standards Institute

2. Objectives to attend the meeting
    The following are the three objectives for attending the meeting:
    · To introduce the results of the plug test by ECOM profiles
    · To gain information on standardization plans of long-term storage formats at ETSI
    · To gain consensus on what ETSI and ECOM can do together in the future.

3. Outline of the meeting

    The meeting was held for two days on March 21 and 22, 2006, at Universitat Politècnica de Catalunya (UPC) in Barcelona. The meeting followed the agenda, and introduction of ECOM’s activities was in the morning of the second day.

4. Outcomes of attending the meeting
(1) Participants showed high interests toward the plug test, and information exchange on        standardization plans of long-term storage formats has started among the CAdES,        XAdES and ECOM members in charge.
(2) The Chairman, Mr. Genghini, suggested that ECOM register ECOM members in charge        of standardization as members of ETSI/TC ESI, and that a liaison contract be concluded        between ETSI and ECOM.

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The Announcement of ECOM Forum 2006


     It has been a year since the Next Generation Electronic Commerce Promotion Council of Japan (ECOM) was inaugurated to contribute to the creation of high added value by new technologies, including RFID tags, and to the establishment of safe/secure and international EC. In addition, the IT Strategy Headquarters of the government compiled and announced the “IT New Reform Strategy” in January, 2006. This fiscal year will be the year of significant structural reform by IT toward FY2010.

    At the forum, as the first memorable step of the year of significant reform, two lecturers will make keynote speeches: Mr. Nagaaki Ohyama, Professor of Tokyo Institute of Technology who was involved with the establishment of the “IT New Reform Strategy,” which states approaches and strategies for the IT new reform, as one of the intellectual members at the IT Strategy Headquarters, and Mr. Toshiro Kawamura, Senior Executive Vice President of NEC Corporation. At the lectures, we will introduce the activity results the Next Generation Electronic Commerce Promotion Council of Japan (ECOM) gained last year and the future plans, regarding RFID tags, traceability, personal information protection, long-term storage of electronic documents, e-Government, EC alternative dispute resolution, the next generation EDI infrastructure, etc.

Date May 24 (Wednesday) 10:00-17:00 (schedule)
Place Nippon Toshi Center Kaikan (Hirakawacho 2-4-1, Chiyoda-ku, Tokyo)

Program Schedule

Greeting from the Organizer
10:00-10:10 Mr. Yukiharu Kodama, Adviser of ECOM / President of Japan Information Processing Development Corporation (JIPDEC)
Greeting from the Guest
10:10-10:20 Mr. Yoichi Kato, Director, Information Technology & Economy Division, Commerce and Information Policy Bureau, Ministry of Economy, Trade and Industry
Keynote Speech
10:20-11:10 “IT New Reform Strategy” and the Need for New Authentication Services

Mr. Nagaaki Ohyama, Professor of Tokyo Institute of Technology / Intellectual Member of Advanced Information and Telecommunications Society Promotion Headquarters
11:10-12:00 The Progress of Ubiquitous Society and IT/Network Strategy (draft)

Mr. Toshiro Kawamura, Senior Executive Vice President and Member of the Board, NEC Corporation
       
Venue A
Venue B
Topics of RFID Tag International Standardization and Proposal Activities to ISO Standards

Mr. Kazuhiko Wakaizumi, Research Director of ECOM
13:30-14:20
Three-Year ADR (Alternative Dispute Resolution) Activities at ECOM and Future Plans

Ms. Toshiko Sawada, Director of EC Network
FY2005 METI RFID Tag Pilot Project Liaison Meeting – Based on the Results of FY2004 Pilot Project –

Mr. Masatomo Takemoto
, Research Director of ECOM
14:20-15:10
Enforcement of Personal Information Protection Law and Contemporary Issues

Mr. Masahiro Eguchi, Research Director of ECOM
Privacy Protection to Guarantee RFID Tag Diffusion

Mr. Eijiro Aihara
, Manager, Matsushita Electric Industrial Co., Ltd.
15:20-16:10
Report on Interoperability Test of Long-Term Signature Format

Mr. Kazuya Miyazaki, Manager, Mitsubishi Electric Corporation

EDI in the Internet Age

Mr. Hidenori Okubo, Instructor of Musashi Institute of Technology

16:10-17:00
The Current Status of Administrative Procedures of Companies and Issues of Electronic Application - Proposals to Diffuse Electronic Application-

Mr. Kazuo Adachi, Nihon Unisys, Ltd.
In Parallel: Photo Gallery of FY2005 RFID Tag System Development Survey by METI (8 Pilot Projects)

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From the Secretary-General


   I am Koichi Kataoka. I took over Mr. Hamanaka’s position and became the secretary general of ECOM from April 1, 2006. I had been in charge of general affairs at ECOM and helped its operation and activities since FY2002. I would like to make continued efforts with the staff at the secretariat with the aim of contributing to ECOM members.

    We are now in the middle of preparations for “ECOM Forum 2006,” scheduled to be held on May 24 (Wednesday) to present the FY2005 activity results. Registrations have started from the ECOM‘s website (http://www.ecom.jp). We welcome many people’s registrations. We are also planning to commence the invitations for participation in WG activities from board members and regular A members in the middle of May and start the activities from June. As soon as everything is set, the details will be announced.

    The second year of the Next Generation ECOM has started with four new research directors and an adjutant general, while some have left to the new places to advance further. I would like to ask for ECOM members’ continued support and advice.

(Kataoka)

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ECOM News No. 13

Issue Date: April 28, 2006
Issuer: Next Generation Electronic Commerce Promotion Council of Japan
Kikai Shinko Kaikan Bldg 3F  
3-5-8, Shibakoen, Minato-ku Tokyo 105-0011, Japan
Tel: +81-3-3436-7500, Fax: +81-3-3436-7570


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