AbstractInternational competitiveness is bound to make a dramatic difference to the Brazilian informatics sector which has been protected for 15 years from outside competition. As with the majority of Brazilian industry the informatics sector is beset by inefficiency, so the tasks ahead are formidable. Policy-makers will have to avoid further monopolies, take care not to lose the accumulated know-how, redefine the role of import restrictions and fiscal incentives, and provide a strategic orientation.