Drawing on an expanding array of intelligent web services and applications, a growing number of people are creating, distributing and exploiting user-created content (UCC) and being part of the wider participative web. This study describes the rapid growth of UCC and its increasing role in worldwide communication, and draws out implications for policy. Questions addressed include: What is user-created content? What are its key drivers, its scope and different forms? What are the new value chains and business models? What are the extent and form of social, cultural and economic opportunities and impacts? What are the associated challenges? Is there a government role, and what form could it take?