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History's third technological revolution is transforming national sovereignty, the world economy, and the military. The abundance of information challenges state power as more people demand the freedoms they see enjoyed in other parts of the world. Information increasingly replaces territory and material goods as the source of wealth and power. Computers allow simulation of battles and information warfare. The ability to adapt to these advances will determine which institutions and nations survive the coming decades.
Technology, particularly information and satellite technology, is altering the concept of sovereignty, business institutions, domestic policy and the power of political elites. It threatens to drive a wedge between the interests of business and the authority of governments, while satellite photography poses a challenge to states' abilities to protect military secrets and control the flow of news. "Like all technological advances, the new Information Standard makes the world's power structures very nervous, and with good reason... they correctly perceive (it) as an attack on their sovereign powers... what will eventually harness politicians' attention is that there is no longer any way for a nation to resign (from it)". Chairman of Citibank. An important article, with deep implications for all foreign policy concepts involving government control of economic activity in any form (e.g. arms control, technology transfer and anti-proliferation policy, and economic warfare).