Improving digital infrastructure for a better connected 1
Economies across the globe are going digital fast The Global GDP forecast 2017 Economies are setting policies to encourage ICT investment Global GDP Growth Rate 2.7 2.6 2.8 2.9 3.0 2.9 Digital Singapore Smart Nation Smart Digital Malaysia 2.4 Industry 4.0 Advanced Manufacturing 2.0 Digital Canada 150 2014 2015 2016 2017 2018 2019 2020 Source: IMF, percentage change (market exchange rates) Nigeria National Broadband Strategy Internet Plus 140 countries have developed national broadband plan strategy or policy - ITU Connected Argentina 2
Global Connectivity Index (GCI) evaluates economic digitization with 4 economic pillars, 5 tech enablers and 40 indicators GCI Research Model SUPPLY DEMAND EXPERIENCE POTENTIAL IOT BIG DATA CLOUD DATA CENTERS 5 Tech Enablers BROADBAND Fundamental : e.g ICT laws, application, e-government, R&D 40 indicators + 50 countries 3
Key finding 1: Strong digital infrastructure improves the quality of economic growth 2.1% 20% growth in ICT investment will increase a country s GDP by 1% 1pt Increase in GCI Increase in competitiveness 2.2% 2.3% Increase in productivity Increase in Innovation 4
Key finding 2: Digital transformation is accelerating 5% Global connectivity To 45.5 Smartphone Penetration GCI 2015 44% GCI 2016 51% Growth 18% GCI score 4G Coverage 13% 21% 61% From 43.4 Analytics Data Creation 3.91 6.45 65% 5
Key finding 3: Developing economies have huge opportunities APEC developing economies 2% 1% 10% 8% 66% APEC Developed economies ICT investment per GDP IT workforce 4G Coverage FTTH Coverage MBB penetration 5% 3% 65% 29% 113% 6
Key findings 4: Different focuses at different development stages 85K Starters Average US$3,000 GDP Focus on increasing ICT supply Adopters Average US$15,000 GDP Focus on increasing ICT demand Frontrunners Average US$50,000 GDP Focus on improving the experience of ICT users 55K Strongest Multiplier effect* Australia United States Singapore United Arab Emirates Canada 25K No.34 New Zealand Japan Spain South Korea NOMINAL GDP PER CAPITA 7 GCI 2016 SCORE Indonesia Philippines Vietnam Malaysia China 35 55 85
百万 A closer look at - Big progress in broadband Broadband Internet Subscribers Broadband performance 8.00 7.00 Source: Thai Telecom Industry Database 7.04 10 6.00 6.23 5.44 7.44 7 6.2 5.00 4.00 3.78 4.31 4.87 3.17 Mobile Broadband Subscriptions Smartphone penetration Average 3 3.1 Apps downloads per Capita 3.00 2.00 1.00 0.00 1.29 0.89 0.56 0.01 0.16 2.07 2.62 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 [e] 8
Supply and Potential can be enhanced S-D-E-P Dimensions Performance 3.18 3.24 2.72 Potential 45 56 1 1 1 Experience 45 52 IT workforce per Capita R&D Expenditure per GDP Average ICT patents per million Capita Demand 32 39 3 4.82 3.38 3.72 2 2 Supply Average 25 35 ICT investment per GDP 4G coverage Average Big data investment per total IT spending 9
Invest in data centers and cloud computing Tech Enablers Performance Broadband 60 50 Average 40 Smart Grid for 2018 30 IoT 20 10 0 Data center By the year 2025 more than 85% of enterprise operations will take place in the cloud. Big data Cloud 10
Priorities for growing digital economy Policy, regulation, and incentives Government leadership Encourage investment Supportive policies Manpower and skills Attract digital talent Cultivate skilled ICT workforce Digital ecosystem Cross-domain cooperation Partner with the private sector 11
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13 Country ranking and performance GROW GAP IMPROVE ENABLER Frontrunners SCORE 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 United States Singapore Sweden Switzerland United Kingdom Denmark South Korea Netherlands Japan Norway Australia Germany France New Zealand Canada Belgium 74 72 70 68 65 64 63 63 62 61 59 59 58 58 57 57 Adopters SCORE 17 18 19 20 21 22 23 24 25 26 Spain Portugal UAE Czech Republic Qatar Italy China Chile Malaysia Russia 51 50 50 48 47 46 44 44 44 43 Adopters SCORE 27 28 29 30 31 32 33 34 35 36 37 Poland Saudi Arabia Romania Brazil South Africa Mexico Colombia Turkey Argentina Peru 43 43 42 39 39 38 37 37 37 36 35 Starters SCORE 38 39 40 41 42 43 44 45 46 47 48 49 50 Philippines Egypt Venezuela Indonesia Morocco Vietnam India Algeria Kenya Ghana Nigeria Bangladesh Pakistan 33 32 32 32 30 30 30 28 27 27 26 23 21