Ontario's ability to take its place on the worldwide digital media stage is affected, in large part, by the challenges associated with an emerging industry. Companies tend to be small and have not yet developed the skills they need to manage their businesses, attract financing, develop strategic partnerships with other industries and distribute and market their products. They have not yet refined the skills they need to work together to develop a strong identity and presence.           Ontario's digital media industry is also hindered by lack of capital, a regulatory environment that is struggling to keep pace with technological change, lack of government support, competition with other jurisdictions for highly skilled digital workers and lack of enabling applications and infrastructure. The information highway that will eventually distribute digital products is not yet fully deployed.           If Ontario's industry is to become a world player, it must take key steps to protect and shape its future. To succeed, it will need the strategic support of other industries that stand to benefit from a strong digital media industry. It will also need the kind of incentives that governments traditionally offer those industries that have significant economic potential and the ability to create highly skilled jobs - the kind of incentives that other governments in Canada and abroad are using in their bid to compete in the global digital media market.