Global Digital Divide 2.0: Always Off in an Always On

WorldSTIA-422: Information Technology (IT) in a Changing World

November 4, 2008Gaurav Mishra

Introduction

www.gauravonomics.com

Emerging Markets

+Emerging

Technologies

The intersection of technology,

culture and development

Digital Divide

Digital Divide

Source: ITU-UNCTAD World Information Society Report 2007

World Map: Computer Penetration

Source: United Nations Global Development Goals Indication

World Map: Internet Penetration

Source: Emiel van Wegen based on World Internet Stats data

World Map: Optical Fiber

Source: Tata Communications

Price of Broadband Access

Japan $0.06 per 100 kbps (0.002% of average monthly wage) vs. Mozambique $361.83 per 100 kbps (1400 times average monthly wage)

Source: Wired Magazine based on ITU data

Price of Broadband Access

Source: ITU-UNCTAD World Information Society Report 2007

Reasons for Differential Technological Achievement

Three Types of Technology Transfers

Source: World Bank Global Economic Prospects 2008

Innovation

Adaption Diffusion

12

3

Three Types of Technology Transfers

Source: World Bank Global Economic Prospects 2008

Technological Achievement Index

Source: World Bank Global Economic Prospects 2008

What is Digital Divide 2.0?

The 4 Cs of Digital Divide 2.0

Source: Technology and Social Inclusion, Mark Warschauer, 2003; Eszter Hargittai, 2001

1

Connection

2

Computing Devices

3

Content

4

CapabilitiesThe Digital Binary Group:

Focus on Access (Computers + Connection)

The Digital Inequality Group: Focus on

Application (Content + Capabilities)

Digital Divide 2.0

MobileInternet

Broadband3G

Next Generation Networks

SMSE-Mail

Web 2.0Mobile 2.0

Semantic WebDigital

Divide

2.0

The Promise/ Myth of Leapfrogging

The Promise of Leapfrogging

Video: http://www.youtube.com/watch?v=0bh3HP51rJs

The Economic Value of Mobile

Source: McKinsey & Co, 2006, Leonard Waverman et al, 2005

As much as 8% of GDP

Why is Mobile an Exception?

Source: ITU-UNCTAD World Information Society Report 2007; The Economist, 2008

mobile use

The Myth of Leapfrogging

Source: World Bank Global Economic Prospects 2008

Mobile Interface for Illiterate Users

Source: Jan Chipchase et al, Nokia Research, 2007

Telecom Usage at the BOP

Source: Teleuse at the Bottom of the Pyramid, LIRNEasia, 2007Video1: http://www.youtube.com/watch?v=MScc9UNeX7kVideo 2: http://www.youtube.com/watch?v=4pfAy_A7Klk

Telecom Usage at the BOP

Image: http://flickr.com/photos/dipu87/2553076909/Data: Teleuse at the Bottom of the Pyramid, LIRNEasia, 2007

Only 38% of non-owners plan to buy a phone in

the next 2 years

30% want to buy a fixed phone

> 90% can only afford a startup cost of <$30 &

monthly cost of <$5

99% have monthly incomes of <$150

72% haven’t heard of the internet, <<1% have

used it

94% have used a phone but only 13% own one,

>70% use public phones

Average of one call per day, 78% local, , 72% to

stay in touch, 90% of them <5 min long

Only 35% use SMS, <10% use it daily

66% of non-users don’t know how to use SMS

95% use pre-paid cards

All figures for India, 2006

How to Bridge Digital Divide 2.0?

Government Policy is Important

Source: World Bank Global Economic Prospects 2008

Grassroots Innovations Are Equally Important

VNL WorldGSM MicroTelecom

Low cost, rugged, solar powered mobile network to serve rural populations profitably Source: www.vnl.in

Grameen Village Phone (B’desh)

Microloans to help poor rural woman become public phone operatorsSource: www.grameenfoundation.org

United Villages (India)

Drive-by wifi network to connect remote villages to the internet, with a time lagSource: www.unitedvillages.com

QuestionBox (India)

Use human mediation to connect illiterate users to the internetSource: www.questionbox.org

EkGaon Mobile Framework (India)

Paper-mobile hybrid document management system for semi-literate usersSource: www.ekgaon.com

BabaJob/Microsoft Research(India)

Text-free job search engineSource: www.babajob.com /tf/textfree.htm

Ushahidi (Kenya)

Mapping crisis information through text messages sent by usersSource: www.ushahidi.com

MobiChange (India)

Lowest common denominator mobile social networking platformPhoto: http://www.flickr.com/photos/pulguita/323775179/

Discussion

- Digital divide: narrowing or widening?- Leapfrogging: myth or reality?- Solution: government policy or grassroots innovations?