The digital economy: developments in participation and productivity

Chris ChapmanACMA

Digital Economy WorkshopWednesday 10 Sept 2008Melbourne

Australians’ participation in the digital economy

The internet is part of Australians’ lives

Presence of selected technologies in australian households, May 2008(in % of households with fixed line)

Source: ACMA

90

69

15

6

0

20

40

60

80

100

mobile phone broadband internet dial-up internet none of these

What Australians use the internet for(Source: Sensis e-business Report 2008)

Use of internet applications in the last 12 months (in %)Q: In the last twelve months, have you undertaken any of the following via the internet?

Source: Sweeney Research, base all consumers

63

62

62

57

39

38

36

31

29

22

20

14

12

10

0 20 40 60 80 100

Paid for purchase or bills

Made bookings

Undertaken banking

Ordered goods / services

Read a blog

Supplied personal information online

Used a social networking site

Download or streamed video content

Bought through an online auction site

Used the internet to make phone calls

Belonged to an online community

Written a blog

Sold through an online auction site

Uploaded a video onto the internet

Development of new online activities(Source: Sensis e-business Report 2008)

Australians are positive about the internet

entirely positive17%

mostly positive51%

no effect23%

mostly or entirely negative

5%

don't know4%

Australians perceptions on internet’s impact on live of Australians

(ACMA 2008)

Challenges

Concerns in terms of security and competencies

SMEs major concerns about e-commerce (in %) - Trends 2000-2008Q: rate as major concern, prompted answers

Source: Sweeney Research, base all business with internet

34

37

10

47

26

33

38

46

26

25

22

20

15

13

13

11

0 20 40 60

People able to hack into the system

Lack of expertise and knowledge in computers

Cost and time to introduce

Lack of personal contact

Cost of hardware and software

A feeling that most of your customers are not ready

Incompatibility with existing systems

Customers not prepared to transact online

Customers can more easily compare your products

Feb-00

May-08

(Source: Sensis e-business Report 2008)

Australians’ risky practices online (Source: Norton Online Living Report 2008)

Australians risky online behaviours : Sharing personal information online(% that admit to provide to people that are not their friends or acquaintance)

(Norton Online Report 2008)

7873

27

0

20

40

60

80

100

their email address their name their credit card information

Australians’ security practices online (Source: Norton Online Living Report 2008)

Australians online security practices (%) (Norton Online Report 2008)

84 84

4248

38

0

20

40

60

80

100

installed securitysoftware

run frequent virusscans

use multiple emailaddresses

only surf trusted sites change passwordfrequently

Australians’ internet competency

Internet competencies self-assessed , May 2008(in % of internet users 18 years and over)

Source: ACMA

10

40

19

13 12

5

0

10

20

30

40

50

very much aboveaverage

average somewhat aboveaverage

very much belowaverage

somewhat belowaverage

don't know

Australians and safety information

Where Australians seek informationabout protecting personal information on social networking sites (ACMA 2008)

31

26

16

13

12

5

7

7

4

2

1

1

0 20 40

don't know

particular social networking sitenowhere to go

general itnernet searchother

friends and familymy isp

computer professionalgovernment

TV / newspaper/ radio / magazinesACMA

privacy commissioner

Australian children’s risky behaviour (Source: Norton Online Living Report 2008)

Australian children risky online behaviours and parents perceptions (Norton Online Report 2008)

44

18

86

59

23

4

have made friends online

have been approached by online stranger

concerned about children safety online

speak to their children about practising safe onlinehabits

don't know what their children are looking at online

think their child has been approached by a stranger

Au

stra

lian

child

ren

on

line

P

are

nts

of

Au

stra

lian

ch

ildre

n o

nlin

e

Further challenges:

• a digital divide• a generational challenge

Differences in connectivity(Source: Sensis e-business Report 2008)

Australian households connected to the internet (in %)

Source: Sweeney Research, base all consumers

84

61

97

0

20

40

60

80

100

Total Australian

households

Households with income up to $35,000

Households with income

above $85,000

Differences in internet use by age

Internet use in the last 12 months (in %)Q: Have you, used the internet in the last twelve months, either at home, work or another location?

Source: Sweeney Research, base all consumers

89

10096

99 97 9691

56

0

20

40

60

80

100

Total peopleover 14

14-17 18-19 20-29 30-39 40-49 50-64 65+

(Source: Sensis e-business Report 2008)

Multi-layered regulation example 1: anti SPAM

EducationBusiness

and consumer awareness

International cooperation

Multilateral forums (OECD Seoul)

Industry partnerships Internet Industry Spam

code of Practice 16 Mach 2006

Technicalactivities

Spam MATTERS

LegislationAdministration

and enforcement Spam Act 2003

Anti SPAM activities

Multi-layered regulation example 2: Cybersafety

EducationParents, Children, Schools

International cooperation

Collaboration with online safety organisations in NZ,US, UK

Industry partnerships Industry codes

and collaboration

Technicalinitiatives

Report on international development ininternet filtering

LegislationSchedule 7

Broadcasting Services Act 1992

Cybersafety activities

Sharing of responsibility• Government• Service & content providers within co & self-

regulatory frameworks• Organisations involved in providing education,

information & advocacy• Individuals & families

Digital literacy

• The skills, knowledge & understanding needed to access & use digital communications & media effectively

The future

• Ensuring Australians have the skills, confidence & capacity to participate productively in the digital economy