Technological developments contributing to emergence of digital technologies:

Transcription

1

2 Technological developments contributing to emergence of digital technologies: Advances in computing power (Moore s law) Increases in bandwidth (Gilder s Law) Explosive growth of digital data 16.1 trillion gigabytes created in trillion gigabytes will be created in 2025

3 Consumer Price Index (December 1997=100) Date All items Personal computers and peripheral equipment Source: US Bureau of Labor Statistics

4 Internet Traffic (Billions of gigabytes/month) Per cent of Population Year Internet Traffic Individuals using the Internet (% of population) Source: CISCO Systems and World Development Indicators.

5 Growth of online markets research products, compare prices, provide feedback (customer ratings) Customized goods and services product visualization and 3D printing, use of AI to generate recommendations Improves firms ability to produce, promote, distribute and maintain their products IOT in smart manufacturing

6 50% 45% 40% 35% 30% 25% 20% 15% % 5% 0% performed any shoppingrelated task on a mobile device researched a product on a mobile device made a purchase using a mobile device Source: Ernst & Young (2015)

7 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Source: Deloitte (2015))

8 Privacy and security (increased public concern) Market concentration Network effects, scale without mass (Brynjolfsson et al, 2008), high switching costs The many dimensions of the digital divide Regulatory divide Gender divide Small and big firms High and low-skilled workers

9 Percentage of US adults confident in the ability of institutions to protect their privacy Institutions Their mobile phone manufacturers Their credit card companies Their mobile phone service providers Their providers Companies/retailer s they do business with The federal government Social media sites they use Not at all confident Not too confident Somewhat confident Very confident Source: Pew Research Center. Notes: Survey conducted 30 March - 3 May 2016.

10 Figure B.15: ICT by development levels Fixed Mobile Fixed Mobile Households Households telephone cellular broadband broadband with a with Internet Individuals using the internet World Developed economies Developing economies Last developed countries Sources: UNCTAD (2017b), based on ITU data.

11 Internet penetration rate for men Internet penetration rate for women World Developed Developing LDCs

12 Measuring digitalization of the economy Estimates of e-commerce transactions and trade in potentially ICT-enabled services Data from e-commerce platforms (Amazon, Alibaba), search engines (Alphabet/Google), mobile payment services (M-Pesa) and content streaming (Netflix, Spotify)

13 Metal Products Construction Textiles Beverages, Food And Tobacco Transport And Storage Furniture And Other Manufacturing Wood, Paper; Publishing And Printing Coke, Petroleum, Chemical, Plastics Transport Equipment Utilities Electrical Equipment And Machinery Retail Trade Administrative And Support Services ICT, Electronic And Optical Products Trade Of Motor Vehicles And -cycles Real Estate Prof., Scientific And Technical Activities Wholesale Trade Accommodation Repair Of ICT Equipment Media Publishing And Recording Telecommunications Computer Programming Travel Services 0% 10% 20% 30% 40% 50% 60% Source: European Commission (2017).

14 Other non-manufacturing branches Electricity, gas, water supply Construction Mining and quarrying Education/research/development Agriculture, forestry, fishing Textiles Paper Wood and furniture Other vehicles Glass, ceramics, stone, mineral products Industrial machinery Other manufacturing branches Food and beverages Basic metals Plastic and chemical products Metal products (non-automotive) Electrical/electronics Automotive

15 30 25 USD Trillions Source: UNCTAD (2017).

16 $ Billions U.S. trade in ICT and potentially ICT-enabled services 2016, billions $U.S. $348.8 ICT services Other PICTE services Not PICTE services $260.6 PICTE $337.4 services: $88.2 $403.5 $202.1 $244.0 $135.3 $66.1 $41.9 $24.2 Exports Imports Balance $159.5 U.S. Bureau of Economic Analysis

17 Subscribers by region 9% 20% 31% 40% Europe North America Latin America Rest of World Source: US SEC (2017).

18 Alibaba revenue breakdown (per cent), % 6% 5% China commerce retail China commerce wholesale International commerce retail 87% International commerce wholesale Source: SEC (2017).