The Internet is a decentralized tool that has become the most relevant communication system globally, which allows us to access different products and services (such as financial services), education, entertainment, among others. In this article, we will learn more about the High-Performance Computing Act of 1991, which contributed to the expansion and development of the Internet, in addition to sharing some lessons from said law for Fintech.
High-Performance Computing Act of 1991
The High-Performance Computing Act of 1991 was characterized by advancing U.S. leadership in computing, information technology, and network infrastructure by establishing a coordinated federal program to maintain this leadership, emphasizing research, education, and interagency collaboration.
It is important to note that because this law was introduced by Senator Al Gore (and signed into law by President George W. Bush), this law is also known as the Gore Act.
Contributions to the development of the Internet
This law played an important role in the development and expansion of the Internet, as it fostered the development of various projects and initiatives. Among its most notable contributions are the following:
Funding for Research in Advanced Computing
The Act contributed to the establishment of the National High-Performance Computing Program, in addition to providing financial support for supercomputing research, which was essential to developing the infrastructure necessary for a more efficient and robust Internet.
Creation of the National Research and Education Network (NREN)
The Act helped establish the National Research and Education Network (NREN), conceived as an expansion of the existing Internet infrastructure in the United States, allowing for the construction of high-speed networks connecting various educational and research institutions, laying the groundwork for modern broadband communications.
Development of the High-Performance Computing and Communications (HPCC) Program
The Act helped develop the High-Performance Computing and Communications (HPCC) Program, which fueled the advancement of computing and networking, contributing to innovations such as the Mosaic web browser, which was instrumental in popularizing the World Wide Web (WWW).
Support for fiber optic networks
The Act also encouraged investment in high-speed fiber optic technology, which enabled the rapid transmission of large amounts of data, which was essential for the growth of the Internet.
It is worth noting that this law also encouraged collaboration between federal agencies, universities, and private industry, especially to improve network infrastructure, including fiber optics.
Lessons for Fintech
Fintech companies can draw valuable lessons from the High-Performance Computing Act of 1991 to drive innovation, scalability, and competitiveness in a rapidly evolving technological environment. Below are some ways fintech companies can learn from this legislation and apply it to their context:
Investment in advanced technological infrastructure
Fintechs can invest in high-performance infrastructure, such as server clusters or cloud services, especially for processing large volumes of financial data in real-time, detecting fraud, or performing risk modeling.
Collaboration between sectors
Fintechs can partner with universities to research emerging technologies like blockchain or artificial intelligence, as well as with authorities and regulators to develop regulatory frameworks that balance innovation and security.
Inspired by the NREN’s openness, fintech companies can adopt open banking standards to securely share data, improving interoperability and user experience.
Democratization of access to technology
Fintechs can develop platforms that simplify or democratize access to financial services (loans, investments, and payments) for unbanked populations, using mobile apps or intuitive interfaces, just as the Mosaic browser democratized the internet.
Fintechs can also Offer educational tools (such as financial management apps) to help users understand complex financial products or services, replicating the accessibility promoted by law.
Support for research and development (R&D)
Fintechs can allocate resources to develop new technologies, such as smart contracts or artificial intelligence systems for fraud detection. For example, they can create internal laboratories or partner with research centers to test innovative solutions, such as blockchain-based payment systems.
What do you think about this topic? Were you aware of the High-Performance Computing Act of 1991?
If you have any questions or queries, you can write them below (comments section).
