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The Impact of Internet Regulation on Investment

The Impact of Internet Regulation on Investment is a study performed by Fifth Era consulting, with Google funding. Since 2011, Fifth Era have been studying the effect of Internet regulatory changes on investors around the world.

On January 1st, 2016, Mr. Matthew C. Le Merle, a senior partners in Fifth Era, presented this study in Jerusalem to Mr Eli Gruner, director general of the Prime Minister's office, and the forum of Companies’ Leaders from Growth and Employment. The study examined the impact of this kind of regulation on investors in 15 countries, including Israel.


About the research

Internet and digital innovation are the key drivers of global economic, social and cultural growth all around the world. It is therefore crucial to get a sense of how government policy and Internet regulation can impact investment in countries.

Fifth Era conducted this study to ensure that decision makers take into account the internet investors’ perspective; The study analysed the regulatory environment in different countries and surveying 475 active investors, asking them what would encourage them to invest in a particular country, and what may deter them.


The study’s findings point to specific “investor deterrents” such as: impeding regulation on copyrights and intellectual property, third party liability, privacy and security as well as infrastructure and Mobile carriers.

Additionally, the research has identified the areas in which government policy can promote investments, such as government investment in internet and mobile infrastructures, promoting open data use, encouraging and guaranteeing freedom of expression etc.

The full text of the study is available through the Read the research at the top of the page.