Professional Documents
Culture Documents
MIS 2011 Without Annex 5
MIS 2011 Without Annex 5
Measuring
the
Information
Society
2011
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2011 I1U
International 1elecommunication Union
Place des Nations
CI-1211 Genea Switzerland
Original language o publication: Lnglish.
All rights resered. No part o this publication may be reproduced, stored in a retrieal system, or transmitted
in any orm or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior
permission o the International 1elecommunication Union.
ISBN 92-61-13801-2
LL
Foreword
I am pleased to present the 2011 edition o Mea.vrivg tbe vforvatiov ociet,. Lach year, this publication eatures
the latest C1 Dereovevt vae ;D) and C1 Price a.et ;P) - two benchmarking tools to monitor inorma-
tion society deelopments worldwide. \hile the IDI captures progress made in regard to IC1 inrastructure,
use and skills, the IPB is a powerul tool in monitoring the aordability o IC1 serices and in explaining why
some countries hae moed aster than others in their IC1 deelopment. 1he report also takes an in-depth
look at broadband deelopment and presents new data on subscriptions, speed and bandwidth. An analysis o
Internet user statistics reeals some o the key challenges and opportunities that need to be addressed to bring
more people online in deeloping countries.
Oer the past two years, the world has witnessed continuous growth o IC1 serices and uptake worldwide. All
152 economies included in the IDI hae improed their scores, conrming the continuous spread o IC1s and the
growing global inormation society. \hile most o the leading IDI countries are still rom the deeloped world, it
is encouraging to see that the most dynamic perormers are deeloping countries. 1he majority o these are middle-
income countries, howeer, and most o the least deeloped countries remain at the bottom o the index. 1he
report shows that while IC1 and income leels are closely related, income constraints can be oercome by strong
policy measures. A number o countries hae succeeded in reaching higher IDI leels than would be expected gien
their income leels. 1his should encourage all countries to proactiely promote IC1 policies and create an enabling
enironment that allows the sector to grow.
1he aordability o IC1 serices is key to bringing more people into the inormation age. Our latest IPB com-
pares 2008 and 2010 taris or xed-telephony, mobile-cellular telephony and xed-broadband Internet serices
at global and regional leels, and highlights the dierence in prices between deeloped and deeloping regions.
Coering 165 economies, it is the only price basket to monitor the aordability o IC1 serices worldwide. 1he
results show that IC1 prices continue to all, in particular xed-broadband prices, which dropped by more than
50 per cent oer the past two years. \hile this is extremely encouraging, broadband is still too expensie in many
deeloping countries, where it costs on aerage more than 100 per cent o monthly income, compared with 1.5
per cent in deeloped countries. Countries without aordable broadband access run the risk o alling behind
in the global inormation society, and I hope that this report will prompt policy-makers to look into ways o
lowering IC1 prices.
1he IC1 or deelopment debate is witnessing an obious shit: the ocus is no longer on the mobile-cellular
miracle, but on the need or high-speed broadband Internet access. 1he report shows that wireless-broadband
Internet access is the strongest growth sector, with prepaid mobile broadband mushrooming in many deeloping
countries and Internet users shiting rom xed to wireless connections and deices. 1he emergence o new mobile
deices, such as smartphones and tablet computers, is accelerating this process, but they are still too expensie
in deeloping countries and there is a need to deelop more aordable models and products. lurthermore, the
aailability o bandwidth and capacity will increasingly determine the use and benecial impact o IC1s. As this
report shows, a digital diide is unolding between those with high-speed,capacity,quality access ,as is the case
in many high-income countries, and those with lower speed,capacity,quality access ,as is the case in many low-
income countries,. \hile the potential deelopment impact o bringing people rom deeloping countries online
ia wireless access is enormous, high-end users rom the business sector and public and priate organizations
continue to rely on high-speed xed-broadband connections. Policy-makers should act switly to acilitate the
spread o broadband and ensure that broadband serices are ast, reliable and aordable.
1he policy ocus is oten on enhancing IC1 inrastructure and access. 1he ull IC1 deelopment impact will only
be elt, howeer, once people are using the technologies eectiely. As more and more countries collect Internet
user data, they proide aluable insights into who is currently online. 1he report shows that the Internet usage
LLL
iv
Brahima Sanou
Director
1elecommunication Deelopment Bureau ,BD1,
International 1elecommunication Union
diide runs along gender, education, income and age lines, and there are signicant dierences between people
liing in rural and urban areas o deeloping countries. A promising way o bringing more people rom deeloping
countries online is by targeting the younger generation. Social networking and user-created content has become
one o the main online actiities in which young people especially are actiely engaging. Gien that 4 per cent
o the population in deeloping countries are under 25 years o age, there is an incredible potential in terms o
increasing the number o Internet users. Proiding Internet access in schools starting at primary leel is key -
once students hae started using the Internet they will strie to continue to do so irrespectie o their age, gender,
income or nal school qualication.
1o ensure that the inormation society will be truly global and inclusie, much needs to be done to bring its
benets to the poorest in our societies. 1his means that uture policy action needs to address issues that are
related not only to access, but also to:
price,
bandwidth,
speed and quality o serice,
skills,
content and language, and
applications targeted to low-end users.
In order to eectiely monitor trends and assess progress, there is need or continuous deelopment o reliable
indicators. Measuring the Inormation Society is a key contribution to this process. I trust that the data and
analysis proided will be useul to policy-makers, the IC1 industry, academia, market analysts and others who
are monitoring global IC1 deelopments.
Y
Acknowledgements
1he 2011 edition o Mea.vrivg tbe vforvatiov ociet, was prepared by the IC1 Data and Statistics Diision within
the 1elecommunication Deelopment Bureau o I1U. 1he team included Susan 1eltscher ,Iead o Diision,,
Vanessa Gray, Lsperanza Magpantay, Doris Olaya, Ian Vallejo and Sonya Buracond ,during her internship at I1U,.
Christoph Stork ,consultant to I1U, proided substantie inputs to Chapter 5 o the report. Oliier Poupaert,
Nathalie Rollet, and Lkaterina Bonachea ,during her internship at I1U, contributed to the data collection and
Michael Minges ,consultant to I1U, compiled and prepared the data set on international Internet bandwidth. Ielpul
comments and suggestions were receied rom Martin Adolph ,I1U,1SB, and Sergio Buonomo ,I1U,BR,, as well
as colleagues in the I1U Regional Oce or Asia and the Pacic. 1he work was carried out under the oerall direction
o Cosmas Zaazaa, Chie a.i., Project Support and Knowledge Management Department, 1elecommunication
Deelopment Bureau.
1he report includes data receied rom Lurostat, the United Nations Population Diision and \ireless Intelli-
gence, as well as purchasing power parity conersion actors receied rom the \orld Bank and bre-optic access
data proided by the liber-to-the-Iome Council, which is greatly acknowledged.
I1U also appreciates the cooperation o countries that hae proided data included in the IC1 Deelopment Index
and IC1 Price Basket.
1he report was edited by the I1U Lnglish 1ranslation Section, led by Anthony Pitt. 1he desktop publishing was
carried out by Nathalie Rollet, and the coer was designed by Simon de Nicola. Administratie support was pro-
ided by Ierawasih \asandikusuma.
Table of contents
YLL
Ioreword ....................................................................................................................................................iii
Acknowledgements ..................................................................................................................................... v
Chapter J. Introduction .............................................................................................................................. J
Chapter 2. The ICT Development Index (IDI) .......................................................................................... 7
2.1 Introduction ...............................................................................................................................................................
2.2 Global IDI analysis ................................................................................................................................................. 11
2.3 IDI breakdown by sub-indices .............................................................................................................................. 30
2.4 Regional IDI analysis .............................................................................................................................................. 3
Chapter 3. The ICT Price Basket (IPB) ....................................................................................................SJ
3.1 Introduction ............................................................................................................................................................. 51
3.2 IC1 Price Basket methodology ............................................................................................................................. 52
3.3 IC1 Price Basket results and analysis .................................................................................................................. 56
3.4 IPB sub-basket results and analysis ...................................................................................................................... 62
3.5 Comparing mobile-broadband prices - high speed, limited olume .............................................................
Chapter 4. Understanding broadband: addressing issues of capacity, speed and quality of service ....... 8S
4.1 Introduction ............................................................................................................................................................. 85
4.2 lrom narrowband to broadband .......................................................................................................................... 86
4.3 Broadband reisited: the importance o capacity, speed and quality .............................................................. 89
4.4 Conclusions and recommendations ................................................................................................................... 102
Chapter S. Increasing Internet use: the role of education, income, gender, age and location .............J07
5.1 Introduction ........................................................................................................................................................... 10
5.2 lrom oice to data trac .................................................................................................................................... 108
5.3 Lducation matters ................................................................................................................................................ 111
5.4 1he gender diide.................................................................................................................................................. 116
5.5 1he urban,rural diide ......................................................................................................................................... 118
5.6 lrom e-mail to social networks: driers o Internet use ............................................................................... 121
5. Conclusions ............................................................................................................................................................ 12
List of references ..................................................................................................................................... J3J
Annex J. ICT Development Index (IDI) methodology...........................................................................J3S
Annex 2. ICT Price Basket (IPB) methodology ......................................................................................J43
Annex 3. Methodological aspects related to household survey results ..................................................J49
Annex 4. Statistical tables of indicators used to compute the IDI ......................................................... JSJ
Annex S. Statistical tables of tariffs used to compute the IPB ...............................................................JS9
viii
List of charts
1.1 Global IC1 deelopments, 2000-2010, penetration ,let, and annual growth ,right, ........................................ 1
1.2 Mobile-cellular subscriptions, 2000-2010, world and by leel o deelopment, penetration ,let,
and annual growth ,right, ............................................................................................................................................ 2
1.3 lixed-broadband subscriptions, 2000-2010, world and by leel o deelopment, penetration ,let,
and annual growth ,right, ............................................................................................................................................ 2
1.4 Mobile-broadband subscriptions, 200-2010, world and by leel o deelopment, penetration ,let,
and annual growth ,right, ............................................................................................................................................ 3
1.5 Internet users, 2000-2010, world and by leel o deelopment, penetration ,let, and annual growth ,right, ......... 4
1.6 Iouseholds with Internet access, 2002-2010, world and by leel o deelopment, penetration ,let,
and annual growth ,right, ............................................................................................................................................ 4
2.1 IDI by leel o deelopment .................................................................................................................................... 24
2.2 IDI access sub-index by leel o deelopment ...................................................................................................... 24
2.3 IDI use sub-index by leel o deelopment ........................................................................................................... 24
2.4 IDI skills sub-index by leel o deelopment ........................................................................................................ 25
2.5 IDI and GNI per capita, 2010 .................................................................................................................................. 25
2.6 IDI and GNI per capita, by region, 2010 ............................................................................................................... 39
2. IDI and GNI per capita, by region .......................................................................................................................... 40
3.1 IC1 Price Basket by leel o deelopment, 2010 .................................................................................................. 5
3.2 Relationship between the IC1 Deelopment Index and the IC1 Price Basket ................................................ 61
3.3 IC1 Price Basket by leel o deelopment, 2010 and 2008 ................................................................................. 62
3.4 lixed-telephone sub-basket by leel o deelopment, 2008 and 2010 .............................................................. 66
3.5 lixed-telephone sub-basket by region and by leel o deelopment, 2010 ...................................................... 6
3.6 Mobile-cellular sub-basket by region and by leel o deelopment, 2010 ......................................................... 1
3. Mobile-cellular sub-basket by leel o deelopment, 2008 and 2010 ................................................................. 1
3.8 lixed-broadband sub-basket by leel o deelopment, 2008 and 2010 ............................................................. 4
3.9 lixed-broadband sub-basket by region and by leel o deelopment, 2010 ..................................................... 6
3.10 IC1 price sub-baskets by region, 2008 and 2010 ...................................................................................................
4.1 Broadband subscriptions by technology, United States, June 2010 .................................................................... 92
4.2 Lconomies with the highest penetration o bre-to-the-home,building - LAN........................................... 93
4.3 Broadband subscriptions in the OLCD, by technology, December 2010 ......................................................... 94
4.4 lixed ,wired,-broadband subscriptions by speed, selected economies, 2010 ................................................... 96
4.5 lastest broadband speeds adertised by the incumbent telecommunication operator, Mbit,s,
all technologies, OLCD and selected non-OLCD countries, 2010,11 ............................................................. 9
4.6 Aerage download speed or 2 Mbit,s packages, January-March 2011, Bahrain ............................................. 98
4. 1otal international Internet bandwidth ,in 1Bit,s,, by leel o deelopment, 2000-2010 ........................... 100
4.8 International Internet bandwidth ,bit,s per user,, by region, 2005 and 2010 ................................................ 102
L[
5.1 Percentage o countries collecting data on Internet usage, total and by region ............................................. 108
5.2 Percentage o indiiduals aged 15 to 4 using Internet and computer, latest aailable year ........................ 109
5.3 Percentage o indiiduals aged 15 to 4 using a mobile phone, latest aailable year .................................... 110
5.4 Percentage o indiiduals aged 16 or older owning a mobile phone and using the Internet,
selected Arican countries, 200,2008 .................................................................................................................. 110
5.5 Percentage o indiiduals using the Internet, by highest educational leel attained, latest aailable
year ,2008-2010, ........................................................................................................................................................ 112
5.6 Percentage o indiiduals aged 16 or older using the Internet, by highest educational leel attained,
selected Arican countries, 200,2008 .................................................................................................................. 113
5. Aerage monthly income o indiiduals aged 16 or older, by highest educational leel attained,
selected Arican countries, 200,2008, USD ....................................................................................................... 115
5.8 Percentage o indiiduals using the Internet, by highest education attained or currently studying,
selected Latin American countries, latest aailable year...................................................................................... 116
5.9 Location o Internet use aggregated or 1 Arican countries, 8 Latin American countries and
35 Luropean countries, latest aailable year ......................................................................................................... 120
5.10 Percentage o Internet users, by urban,rural, using the Internet at commercial acility ,let, and
at home ,right,, selected countries, latest aailable year...................................................................................... 121
5.11 Proportion o indiiduals using the Internet, by age group, latest aailable year ,2009,2010, ................... 128
List of fgures
2.1 1hree stages in the eolution towards an inormation society .............................................................................. 8
2.2 IC1 Deelopment Index: indicators and weights.................................................................................................. 10
2.3 Spider charts, selected dynamic countries, 2010 and 2008 ................................................................................... 21
2.4 IC1 Deelopment Index alue, 2010 ...................................................................................................................... 28
3.1 IC1 Price Basket methodology ................................................................................................................................ 53
3.2 IC1 Price Basket alue, 2010 .................................................................................................................................... 60
4.1 1he rise o 3G: countries that oer 2G,3G serices commercially, 2010 ....................................................... 88
4.2 lixed ,wired,- and wireless-broadband technologies - speed ersus mobility ................................................. 90
List of boxes
2.1 1he challenges o measuring mobile broadband .................................................................................................... 9
2.2 Internet access a legal right in linland .................................................................................................................... 14
2.3 Armenia`s surge in Internet use ................................................................................................................................ 16
2.4 Kenya - Arica`s astest growing Internet market ................................................................................................. 1
x
2.5 Mobile Internet in Morocco ..................................................................................................................................... 18
2.6 Oman`s success in connecting schools to the Internet ......................................................................................... 19
2. Mobile-cellular penetration reaching top leels in Saudi Arabia ......................................................................... 20
2.8 1he highest ranked IDI country rom South America: Uruguay takes the lead............................................... 32
2.9 Goernment support or IC1s pays o in Viet Nam .......................................................................................... 33
3.1 Competitie pressure and mobile-cellular prices in Arica................................................................................... 55
3.2 Prepaid serices: not always more expensie than postpaid subscriptions ....................................................... 56
3.3 last, aster, the astest: dierences in broadband speeds, prices and data caps ............................................... 5
3.4 Inter-modal competition in Morocco ......................................................................................................................
3.5 Both USD and PPP adjusted prices highlight the high cost o xed-broadband serices in
deeloping countries .................................................................................................................................................. 8
4.1 Dening broadband - a moing target ................................................................................................................... 86
4.2 1he spectrum crisis: struggling to keep up the speed, capacity and quality o mobile serices .................... 95
4.3 Sri Lanka 1elecommunications Regulatory Commission`s ,1RCSL, guidelines on adertising
mobile-broadband speeds ......................................................................................................................................... 99
4.4 Arica joins the global inormation society .......................................................................................................... 100
5.1 Social networking as a key drier or bridging the Internet diide in Namibia .............................................. 125
5.2 Iow accurate are lacebook user statistics .......................................................................................................... 126
List of tables
2.1 IDI changes, 2008-2010 ............................................................................................................................................. 11
2.2 IC1 Deelopment Index ,IDI,, 2010 and 2008 .................................................................................................... 13
2.3 Most dynamic countries ,top ten, - changes between IDI 2010 and 2008 ....................................................... 15
2.4 Country groups based on dierent IDI leels ....................................................................................................... 26
2.5 Adancement o countries between IDI groups ,2008-2010, ............................................................................ 2
2.6 List o economies by IDI leels and income ......................................................................................................... 29
2. IDI access sub-index, 2010 and 2008 ...................................................................................................................... 31
2.8 1op ten economies with the greatest 2008-2010 change in the IDI access sub-index, by absolute
alue change ,let, and rank change ,right, ............................................................................................................. 32
2.9 IDI use sub-index, 2010 and 2008 ........................................................................................................................... 34
2.10 1op ten economies with the greatest 2008-2010 change in the IDI use sub-index, by absolute alue
change ,let, and rank change ,right, ....................................................................................................................... 35
2.11 IDI skills sub-index, 2010 and 2008 ........................................................................................................................ 36
2.12 1he top e in each region and their ranking in the global IDI ......................................................................... 38
2.13 IDI ranges, 2010 and 2008 ........................................................................................................................................ 40
[L
2.14 IDI - Arica ................................................................................................................................................................. 42
2.15 IDI - Arab States ........................................................................................................................................................ 43
2.16 IDI - Asia and the Pacic ......................................................................................................................................... 44
2.1 IDI - CIS ..................................................................................................................................................................... 45
2.18 IDI - Lurope .............................................................................................................................................................. 46
2.19 IDI - Americas ........................................................................................................................................................... 4
3.1 IC1 Price Basket and sub-baskets, 2010 and 2008 ................................................................................................ 58
3.2 IC1 Price Basket and sub-baskets ,aerages,, 2010 and 2008 ............................................................................. 62
3.3 1en economies with the greatest 2008-2010 decrease in the IC1 Price Basket, by relatie change
,in , let,and absolute alue change ,right, .......................................................................................................... 63
3.4 lixed-telephone sub-basket, 2010 and 2008 .......................................................................................................... 64
3.5 Mobile-cellular sub-basket, 2010 and 2008 ............................................................................................................. 68
3.6 1en economies with the greatest 2008-2010 decrease in the mobile-cellular sub-basket, by absolute
alue change ,let, and relatie change ,in , right, ............................................................................................. 0
3. lixed-broadband sub-basket 2010 and 2008 .......................................................................................................... 2
3.8 1en economies with the greatest 2008-2010 decrease in xed-broadband prices, by absolute
alue change ,let, and relatie change ,in , right, ............................................................................................. 4
3.9 Mobile-broadband and xed-broadband monthly prices and speeds compared, selected economies, 2011 .........81
4.1 Percentage o the population coered by a 2G,3G network, selected countries, 2009 and 2010 ................ 8
4.2 1op 25 broadband economies, 2010 ........................................................................................................................ 89
4.3 1ime needed to download online content at dierent connection speeds ....................................................... 91
5.1 Percentage o indiiduals aged 16 and older using the Internet, by income, selected Arican
countries, 200,2008 ............................................................................................................................................... 114
5.2 1he gender diide: percentage o women and men aged 15 to 4 using the Internet, latest
aailable year .............................................................................................................................................................. 11
5.3 Knowing about the Internet and using it: the gender diide, 200,2008 ....................................................... 118
5.4 Percentage o indiiduals using the Internet, by urban,rural, latest aailable year ....................................... 119
5.5 Internet actiities carried out by Internet users, latest aailable year ,, ........................................................ 122
5.6 lacebook penetration ,selected countries,, August 2011 ................................................................................... 12
Measuring the Information Society 2011
1
Chapter 1. Introduction
Oer the past year, the world has witnessed continu-
ous growth in IC1 serices and uptake worldwide. As
post-2008-crisis data become aailable, they conrm the
sustained growth o the telecommunication and Internet
market oerall, albeit with some notable ariations.
lixed telephony continues to decline, as it has done
since 2005, especially in deeloped countries, where
a saturated xed-line market has been oertaken by
mobile-cellular telephony. 1oday, in deeloped coun-
tries, mobile-cellular telephony has reached saturation
leels, too, recording penetration rates o oer 100 per
cent and a growth o only one per cent during the past
year. In deeloping countries, by contrast, growth in
mobile subscriptions is still buoyant, at 20 per cent,
with no sign o a slowdown, thus conrming the con-
tinuation o the mobile miracle`,Charts 1.1 and 1.2,.
Policy-makers and inestors hae been directing con-
siderable attention towards the diusion o broadband
networks. Aailable data show that xed-broadband
subscriptions hae more than doubled oer the past
e years. 1he deeloping countries` share is increasing
rapidly, but there is still a huge diide when it comes to
xed-broadband access. \hile xed-broadband penetra-
tion in deeloped countries had climbed to almost 24 per
cent by end 2010, and growth is slowing, suggesting that
saturation leels are being reached, it stands at only 4.2
per cent in deeloping countries, with major dierences
among countries and regions ,Chart 1.3,.
\ireless-broadband Internet access remains the strong-
est growth sector. Indeed, the single most dynamic IC1
deelopment oer the past year has been the surge in
mobile-broadband subscriptions ,Charts 1.1 and 1.4,.
\ireless-broadband access, including prepaid mobile
broadband, is mushrooming in deeloping countries,
and Internet users are shiting more and more rom
xed to wireless connections and deices. 1he potential
deelopment impact o bringing people rom deelop-
Chart 1.1: Global ICT developments, 2000-2010, penetration (left) and annual growth (right)
Source: ITU World Telecommunication/ICT Indicators database.
2
0
0
1
-
0
2
Mobile-cellular telephone subscriptions
Internet users
Fixed-telephone lines
Active mobile-broadband subscriptions
Fixed (wired)-broadband subscriptions
%
-20
0
20
40
60
80
100
120
140
2
0
0
2
-
0
3
2
0
0
3
-
0
4
2
0
0
4
-
0
5
2
0
0
5
-
0
6
2
0
0
6
-
0
7
2
0
0
7
-
0
8
2
0
0
8
-
0
9
2
0
0
9
-
1
0
2
0
0
0
-
0
1
P
e
r
1
0
0
i
n
h
a
b
i
t
a
n
t
s
0
10
20
30
40
50
60
70
80
90
100
Mobile-cellular telephone subscriptions
Internet users
Fixed-telephone lines
Active mobile-broadband subscriptions
Fixed (wired)-broadband subscriptions
2000 2002 2004 2006 2008 2010
78.0
29.7
17.2
12.6
7.6
2
Chapter 1. Introduction
ment o internationally agreed deelopment goals. 1he
recognition o IC1s as a tool to generate income and
employment, to proide access to business and health
inormation and to enable e-learning and acilitate e-
goernment is now well established. 1his is why the
Broadband Commission or Digital Deelopment was
launched in 2010, with the mission to promote the adop-
tion o broadband-enabling policies, especially in deel-
oping countries.
1
1he Commission thus complements
other deelopment processes by adocating the role o
broadband in accelerating achieement o the MDGs.
Chart 1.2: Mobile-cellular subscriptions, 2000-2010, world and by level of development,
penetration (left) and annual growth (right)
Source: ITU World Telecommunication/ICT Indicators database.
Chart 1.3: Fixed-broadband subscriptions, 2000-2010, world and by level of development,
penetration (left) and annual growth (right)
Source: ITU World Telecommunication/ICT Indicators database.
ing countries online ia wireless access is enormous,
and policy-makers are aware o the need to act switly
in order to acilitate this process.
Mobile Internet - at broadband speeds - was practically
non-existent at the time when the Millennium Deelop-
ment Goals ,MDGs, were set in 2000, and was in its
inancy when the \orld Summit on the Inormation
Society ,\SIS, concluded in 2005. At the same time,
the mobile reolution - including the emerging mobile-
broadband Internet - is a key enabler or the achiee-
0
10
20
30
40
50
Developed
World
Developing
%
2
0
0
1
-
0
2
2
0
0
2
-
0
3
2
0
0
3
-
0
4
2
0
0
4
-
0
5
2
0
0
5
-
0
6
2
0
0
6
-
0
7
2
0
0
7
-
0
8
2
0
0
8
-
0
9
2
0
0
9
-
1
0
2
0
0
0
-
0
1
20
80
120
Developed
World
Developing
%
2
0
0
1
-
0
2
2
0
0
2
-
0
3
2
0
0
3
-
0
4
2
0
0
4
-
0
5
2
0
0
5
-
0
6
2
0
0
6
-
0
7
2
0
0
7
-
0
8
2
0
0
8
-
0
9
2
0
0
9
-
1
0
2
0
0
0
-
0
1
0
40
60
100
140
160
114.2
78.0
70.1
0
20
40
60
80
100
120
2000 2002 2004 2006 2008 2010
P
e
r
1
0
0
i
n
h
a
b
i
t
a
n
t
s
Developed
World
Developing
P
e
r
1
0
0
i
n
h
a
b
i
t
a
n
t
s
23.6
7.6
4.2
0
5
10
15
20
25
30
2000 2002 2004 2006 2008 2010
Developed
World
Developing
Measuring the Information Society 2011
3
had access to the Internet at end 2010, as against 66 per
cent in deeloped countries.
Besides the role o IC1s in achieing deelopment
goals, recent eents such as the Arab spring and the
publication o condential political inormation on
the Internet hae demonstrated the power o commu-
nication and connectedness and enormously increased
political interest in the inormation society. 1he spread
o IC1s in societies where communication and access
to inormation has hitherto been ery limited is making
IC1s an een more powerul tool than eer.
Social networking and user-created content are now
among the main online actiities, in which young people
especially ,who constitute the majority o the popula-
tion in deeloping countries, are actiely engaging - yet
another maniestation o the continuous transormation
towards inormation and digital societies where, eentu-
ally, most o social and working lie will hae a strong
online component.
Despite these encouraging trends, as at end 2010, 0
per cent o the world`s population ,and nearly 80 per
cent o the deeloping countries` population, were not
yet using the Internet, and een ewer ia a broadband
connection. In most deeloping countries, households,
schools, hospitals and other public institutions located
outside the major urban areas are not yet connected to
high-speed Internet.
In the run-up to 2015 - which is in less than e years`
time - a strong interest, and an urgency to act, can be
obsered in the international community to work to-
wards the international deelopment goals. I1U`s \SIS
mid-term reiew in 2010 has shown that good progress
has been made in terms o connecting people ia mobile
technologies ,I1U, 2010a,. Mobile-cellular network coer-
age already stands at nearly 90 per cent o the population,
and there is eery chance it will rise to almost 100 per cent
by 2015. Similarly, basic radio and 1V serices are widely
aailable, and could reach the majority o the world`s
population by 2015, proided that the lack o electricity
and broadcast content are properly addressed.
Most remarkably, the number o Internet users has
doubled oer the past e years and there are now more
than two billion Internet users worldwide. Growth rates
in deeloping countries are high, and absolute numbers
are drien by large countries such as China, Brazil, India,
Nigeria and the Russian lederation. By end 2010, around
30 per cent o the world`s population was online - up
rom around 12 per cent in 2003 and six per cent in
2000 ,Chart 1.5,. Good progress has also been made
in bringing Internet access to central goernments,
research and scientic institutions and to some extent
schools, hospitals, museums, libraries and archies, at
least in the major cities o deeloping countries. 1he
proportion o households with access to the Internet is
growing steadily, especially in the deeloping countries
,Chart 1.6,, where around 16 per cent o households
Chart 1.4: Mobile-broadband subscriptions, 2007-2010, world and by level of development,
penetration (left) and annual growth (right)
Source: ITU World Telecommunication/ICT Indicators database.
Developed
World
Developing
%
2
0
0
7
-
0
8
2
0
0
8
-
0
9
2
0
0
9
-
1
0
20
80
120
0
40
60
100
140
160
180
0
10
20
30
40
50
2007 2008 2009 2010
Developed
World
Developing
P
e
r
1
0
0
i
n
h
a
b
i
t
a
n
t
s
46.2
12.6
5.3
4
Chapter 1. Introduction
capacity. A digital diide is unolding between those
with high-speed,capacity,quality access ,as is the case
is many high-income countries, and those with lower
speed,capacity,quality access ,as is the case in many
low-income countries,.
1o ensure that the inormation society will be truly glo-
bal and inclusie, much remains to be done to bring its
benets to the poorest in our societies. 1his means that
Chart 1.6: Households with Internet access, 2002-2010, world and by level of development,
penetration (left) and annual growth (right)
Note: * Estimates.
Source: ITU World Telecommunication/ICT Indicators database.
Chart 1.5: Internet users, 2000-2010, world and by level of development, penetration (left) and
annual growth (right)
Source: ITU World Telecommunication/ICT Indicators database.
1he reolution experienced through the mobile tele-
phone needs to be replicated to bring people online.
1he emergence o new mobile deices ,such as smart-
phones and tablet computers, is certainly accelerating
this process, but they are still too expensie in deeloping
countries and there is a need to deelop more aord-
able models and deices. lurthermore, the use and
hence the benecial impact o IC1s will increasingly
be determined by the aailability o bandwidth and
Developed
World
Developing
2
0
0
1
-
0
2
2
0
0
2
-
0
3
2
0
0
3
-
0
4
2
0
0
4
-
0
5
2
0
0
5
-
0
6
2
0
0
6
-
0
7
2
0
0
7
-
0
8
2
0
0
8
-
0
9
2
0
0
9
-
1
0
2
0
0
0
-
0
1
50
60
40
30
20
10
0
%
Developed
World
Developing
2
0
0
2
-
0
3
2
0
0
3
-
0
4
2
0
0
4
-
0
5
2
0
0
5
-
0
6
2
0
0
6
-
0
7
2
0
0
7
-
0
8
2
0
0
8
-
0
9
2
0
0
9
-
1
0
%
25
30
20
15
10
5
0
68.8
29.7
21.1
0
10
20
30
40
50
60
70
80
2000 2002 2004 2006 2008 2010
P
e
r
1
0
0
i
n
h
a
b
i
t
a
n
t
s
Developed
World
Developing
65.6
29.5
15.8
0
10
20
30
40
50
60
70
80
90
100
2002 2004 2006 2008 2010*
%
Developed
World
Developing
Measuring the Information Society 2011
5
GNI per capita, and presents IDI results by leel o
deelopment and by groups o countries with dierent
IDI leels and incomes. 1his is ollowed by an analysis
o the three IDI sub-indices: the access sub-index, the
use sub-index and the skills sub-index, also highlight-
ing key perormers in each case. linally, IDI results
are presented or six regions, brieny describing the
main ndings. 1he entire chapter is supplemented by
concrete country examples highlighting best practices
and distilling lessons learned.
1he results or the second key benchmarking tool, the
IC1 Price Basket ,IPB, are presented in Chapter 3.
lirst, the main purpose o the IPB is explained, along
with an oeriew o the IPB methodology. 1his is ol-
lowed by an analysis o the main results or the IPB,
comparing 2010 and 2008 taris. \hile the IPB is
determined as a percentage o GNI per capita, data
are also shown in USD and PPP dollars. 1he chapter
highlights countries recording the highest decrease
in prices, especially in deeloping countries. It also
looks at the correlation between the IPB and the IDI,
identiying outliers. 1hereater, each IPB sub-basket is
analysed in turn: the xed-telephone sub-basket, the
mobile-cellular sub-basket and the xed-broadband
sub-basket. 1he results are shown at the global leel, by
leel o deelopment, as well as across dierent regions,
in terms o GNI per capita, USD and PPP dollars. 1he
chapter also introduces mobile-broadband taris, with
examples, notably or prepaid wireless-broadband taris
in deeloping countries, as well as a comparison with
xed-broadband taris.
In iew o the continuous decline o narrowband con-
nections and the shit towards broadband Internet,
Chapter 4 takes a closer look at the dierent broadband
speeds, broadband quality and ,international, Internet
bandwidth aailable in countries,regions, and how these
actors impact on broadband uptake in both deeloped
and deeloping countries. 1he chapter highlights recent
national broadband policies, and makes suggestions on
how policy-makers could urther enhance broadband
in deeloping countries.
linally, Chapter 5 looks beyond access and connectiity
and proides a more in-depth analysis o Internet us-
ers and usage, based on data aailable rom household
indiidual sureys. It presents the main characteristics
o the majority o Internet users today, and identies
the main diides along dimensions such as gender, age,
educational background, income and urban,rural loca-
tion. It also looks at some o the key emerging actiities,
especially those related to social networking. 1he chapter
uture policy action needs to address issues not only o
access, but also o price, bandwidth, speed and quality
o serice, skills, content and language and applications
targeting low-end users. 1o assess progress will require
continuous monitoring based on reliable indicators. 1his
publication is a key contribution to this process.
Overview of this publication
1he main objectie o this report is to inorm policy-
makers, inestors and analysts about the main deelop-
ments in the diusion and uptake o IC1s, both globally
and at the country leel. By proiding a comprehensie
analysis o key IC1 indicators, it constitutes a major
input to the policy debate, especially in deeloping
countries.
1he report eatures two IC1 benchmarking tools: the
C1 Dereovevt vae ;D, and the C1 Price a.et
;P). 1he latest results or these two metrics will help
policy-makers monitor trends, identiy areas or policy
action and benchmark their IC1 deelopments against
other markets.
1his is the third edition o the Mea.vrivg tbe vforva
tiov ociet, report. \hereas the 2009 and 2010 editions
were released in March, it was decided to change the
production schedule as rom this edition and to release
the report in September. 1his decision was taken in
response to iews expressed by the readership, who
are keen or the report to eature more recent data ,the
reerence date is December o the preious year,. 1his
edition will thus eature the IDI and IPB or the two
years 2010 and 2008, as well as detailed end-2010 data
or a range o IC1 indicators.
1he data used in the report are primarily statistics col-
lected by I1U, complemented by data receied rom
the United Nations Population Diision ,population
statistics,, the UNLSCO Institute or Statistics ,UIS,
,statistics on literacy and school enrolment,, the \orld
Bank ,data on GNI per capita and PPP dollars,, \ireless
Intelligence ,data on mobile broadband, and Research
IC1 Arica ,household surey data on Arica,.
Chapter 2 eatures the main results or the latest IC1
Deelopment Index ,IDI,, comparing the years 2010
and 2008. Ater introducing the main objecties and
methodology o the IDI, it goes on to analyse the IDI
at the global leel, highlighting key perormers and
most dynamic countries ,i.e. those with highest growth
rates,, especially among the deeloping countries. It
also looks at the relationship between the IDI and
6
Chapter 1. Introduction
1he publication ends with a list o reerences, three
methodological annexes and country-leel statistical
tables eaturing the data used in the IDI and IPB
discusses how, in the light o those diides, more people
can be brought online, making the inormation society
more inclusie. A large part o the analysis ocuses on
Arican countries, drawing on the results o user sureys
carried out by Research IC1 Arica.
Endnotes
1
lor more inormation on the Broadband Commission or Digital Deelopment, see http:,,www.broadbandcommission.org,.
Measuring the Information Society 2011
7
Chapter 2. The ICT Development
Index (IDI)
2.1 Introduction
1he IC1 Deelopment Index ,IDI, is a composite index
combining 11 indicators into one benchmark measure
that seres to monitor and compare deelopments in
inormation and communication technology ,IC1,
across countries. 1he IDI was deeloped by I1U in
2008 and rst presented in the 2009 edition o Mea.vr
ivg tbe vforvatiov ociet, ,I1U, 2009,. It was established
in response to I1U Member States` request to deelop
a single index` and publish it regularly. 1his section
brieny describes the main objecties, conceptual rame-
work and methodology o the IDI.
1
1he main objecties o the IDI are to measure:
1he ere ava erovtiov orer tive o IC1 deelop-
ments in countries and relatie to other countries.
Progress in IC1 deelopment in botb aereoea
and aereoivg covvtrie.: the index should be global
and renect changes taking place in countries at
dierent leels o IC1 deelopment.
1he aigita airiae, i.e. dierences between countries
with dierent leels o IC1 deelopment.
1he aereovevt otevtia o IC1s or the extent to
which countries can make use o IC1s to enhance
growth and deelopment, based on aailable
capabilities and skills.
Conceptual framework
1he recognition that IC1s can be a deelopment enabler,
i applied and used appropriately, is critical to countries
that are moing towards inormation or knowledge-
based societies, and is central to the IDI`s conceptual
ramework. 1he IC1 deelopment process, and a coun-
try`s transormation to becoming an inormation society,
can be depicted using the ollowing three-stage model
,ligure 2.1,:
stage 1: C1 reaaive.. ,renecting the leel o
networked inrastructure and access to IC1s,
stage 2: C1 ivtev.it, ,renecting the leel o use
o IC1s in the society,
stage 3: C1 ivact ,renecting the result,outcome
o ecient and eectie IC1 use,.
Adancing through these stages depends on a combina-
tion o three actors: the aailability o IC1 inrastructure
and access, a high leel o IC1 usage and the capability
to use IC1s eectiely. Accordingly, the rst two stages
listed aboe correspond to two major components o
the IDI: C1 acce.. and C1 v.e.
Reaching the nal stage, and maximizing the impact
o IC1s, crucially depends on the third component o
the IDI: C1 .i.. IC1 ,and other, skills determine the
eectie use that is made o IC1s, and are critical to
leeraging the ull potential o IC1s or socio-economic
deelopment. Lconomic growth and deelopment will
remain below potential i economies are not capable o
exploiting new technologies and reaping their benets.
1hereore, the IDI includes a measure o the capability
to use IC1s eectiely.
A single indicator cannot track progress in all three
components ,access, usage and skills, o the IC1 de-
elopment process, thus requiring the construction
o a composite index such as the IDI. 1he IDI aims
8
Chapter 2. The ICT Development Index (IDI)
ormation to the inormation society. 1hereore, the
indicators in each sub-index may change oer time to
renect technological deelopments related to IC1s, and
as more and better data become aailable. lor example,
what was considered basic inrastructure in the past -
such as xed-telephone lines - is ast becoming less
releant in the light o increasing xed to mobile sub-
stitution. Similarly, broadband is currently considered
an adanced technology, characterizing intense Internet
use, and is thereore included in stage 2 ,as an indicator
in the use sub-index,. Ioweer, in the uture it may be-
come essential and be moed to stage 1 ,as an indicator
in the access sub-index,, while another, new technology
may appear in stage 2.
Methodology
1he IDI includes 11 indicators ,ligure 2.2,. A detailed
denition o each indicator is proided in Annex 1.
Selection o the indicators was based on:
1he releance o a particular indicator or contri-
buting to the main objecties and conceptual
ramework o the IDI. lor example, the selected
indicators need to be releant to both deeloped
and deeloping countries, and should renect - as
much as possible - the ramework`s three com-
ponents described aboe. In this context, the
recommendations made by experts in relation to
Box 2.8: The highest ranked IDI country from South America: Uruguay takes the lead
Uruguay is the top South American country in the IDI ranking
(ranked 54th) in 2010. Uruguay achieved a 0.72 IDI value change
from 2008, signifcantly above the world average value increase
of 0.46 and higher than South Americas average value increase
of 0.39. This progress was attributable to achievements in both
the access and use sub-indices. Uruguays fxed-telephone line
penetration rate stands at 29 per cent at end of 2010, and yet the
countrys mobile-penetration rate has climbed to a staggering
131 per cent (up from 105 per cent two years ago). The mobile
market has made great strides, led by Ancel, the mobile arm
of state-owned incumbent Administracin Nacional de Teleco-
municaciones (Antel). As the Uruguayan telecom market grows,
newcomers are beginning to enter into Antels space, and this
could exert an infuence in respect of tarif adjustments and
competition in new areas for next year.
Uruguay has improved its access and use sub-index values
by large magnitudes (by 1.14 and 0.53 as compared with the
world averages of 0.47 and 0.63, respectively). Of the countries
of the Americas, Uruguay showed the highest access sub-index
increase in 2010, thanks to a large increase in its international
Internet bandwidth. In a consortium with marine service pro-
vider IT Telecom and Alcatel-Lucent, Antel began deployment
of the 250km submarine cable network last year. This undersea
project is part of eforts to provide greater capacity to countries
served by Antel and Telcom Argentina.
41
Internet use in Uruguay has also increased substantially over the
last ten years and, in 2010, more than four out of ten people in
Uruguay were using the Internet.
42
This is above the level in deve-
loping countries, where at present only 20 per cent of people are
online, and also above the world average of 37 per cent. Future
advances in technology will hopefully see an even larger Internet
usage rate next year. Uruguay improved most on the household
computers and Internet access indicators (from 35 to 53 per cent
and from 21 to 33 per cent, respectively). Under its fbre-to-the-
home (FTTH) roll-out plans, Antel is aiming to deploy connections
to around 80000 households by end 2011 and reach 200 000
households by end 2012.
43
It has also upgraded its HSDPA+
technology and is planning for the next future LTE technology.
Table 2.8: Top ten economies with the greatest 2008-2010 change in the IDI access sub-index, by
absolute value change (left) and rank change (right)
Source: ITU.
IDI
rank
2010
Access
rank
2010 Country
Access value
change
2008-2010
IDI
rank
2010
Access
rank
2010 Country
Access rank
change
2008-2010
52 51 Belarus 1.36 81 72 Viet Nam 16
46 43 Saudi Arabia 1.32 124 133 Zimbabwe 16
81 72 Viet Nam 1.28 111 109 Turkmenistan 11
54 50 Uruguay 1.14 78 82 Albania 10
44 28 Qatar 1.06 52 51 Belarus 10
74 75 Azerbaijan 1.01 141 131 Madagascar 10
47 41 Russia 0.97 44 28 Qatar 9
57 59 Moldova 0.97 86 91 Mongolia 8
87 70 Iran (I.R.) 0.90 46 43 Saudi Arabia 8
66 63 Panama 0.90 72 77 Armenia 7
Measuring the Information Society 2011
33
one-third o homes were connecting to the Internet.
At the same time, Armenia showed strong growth
in terms o international Internet bandwidth. In
Moldoa, the number o households with Internet
access at home more than doubled between 2008 and
2010, by when close to 35 per cent o households
had an Internet connection. Increasing household
IC1 access was one o the targets set under the
country`s National Strategy on Inormation Society
country has increased the proportion o households
with Internet access at home rom three per cent in
2008 to eight per cent by 2010. In 2010, more than
22 per cent o households had a computer, suggest-
ing that there is scope to bring more people online
at home. In Armenia, the proportion o households
with Internet access has increased substantially oer
the last ew years, mainly due to increased mobile-
broadband access and, by the end o 2010, oer
Table 2.10: Top ten economies with the greatest 2008-2010 change in the IDI use sub-index, by
absolute value change (left) and rank change (right)
Source: ITU.
IDI
rank
2010
Use
rank
2010 Country
Use value
change
2008-2010
IDI
rank
2010
Use
rank
2010 Country
Use rank
change
2008-2010
21 26 Macao, China 2.16 72 78 Armenia 44
36 29 Cyprus 1.93 60 54 Oman 24
46 44 Saudi Arabia 1.87 115 94 Kenya 19
44 42 Qatar 1.84 132 113 Angola 18
5 4 Finland 1.82 96 104 Syria 17
3 8 Iceland 1.70 117 123 Cambodia 17
27 22 Portugal 1.65 21 26 Macao, China 16
2 2 Sweden 1.63 57 60 Moldova 16
60 54 Oman 1.63 52 57 Belarus 15
16 16 Austria 1.54 36 29 Cyprus 14
36
Chapter 2. The ICT Development Index (IDI)
Note: *The GNI per capita is based on the World Banks Atlas Method.
Source: ITU.
Table 2.11: IDI skills sub-index, 2010 and 2008
Economy
Rank
2010
Skills
2010
Rank
2008
Skills
2008 Economy
Rank
2010
Skills
2010
Rank
2008
Skills
2008
Finland 1 9.89 2 9.77 Uzbekistan 77 6.96 76 6.97
Korea (Rep.) 2 9.89 1 9.80 Tunisia 78 6.94 84 6.76
Slovenia 3 9.76 5 9.43 Ecuador 79 6.92 93 6.53
Cuba 4 9.64 3 9.70 Bolivia 80 6.91 73 7.00
Greece 5 9.59 4 9.59 Turkmenistan 81 6.87 81 6.85
Denmark 6 9.47 7 9.23 Mauritius 82 6.85 86 6.71
Ukraine 7 9.43 12 9.11 Philippines 83 6.83 80 6.88
New Zealand 8 9.40 6 9.24 Albania 84 6.83 71 7.04
Lithuania 9 9.32 10 9.19 Iran (I.R.) 85 6.81 87 6.69
Iceland 10 9.30 11 9.11 Oman 86 6.81 83 6.79
Australia 11 9.21 9 9.19 Luxembourg 87 6.79 82 6.80
United States 12 9.21 8 9.19 Trinidad & Tobago 88 6.75 88 6.67
Poland 13 9.08 15 8.94 Jamaica 89 6.74 85 6.72
Hungary 14 9.03 23 8.72 Dominican Rep. 90 6.63 91 6.57
Italy 15 9.02 19 8.86 South Africa 91 6.61 92 6.57
Spain 16 9.01 16 8.93 Malaysia 92 6.57 90 6.58
Norway 17 9.01 13 9.06 China 93 6.55 95 6.42
Latvia 18 8.90 18 8.89 Indonesia 94 6.50 98 6.25
Sweden 19 8.89 14 8.99 Seychelles 95 6.45 94 6.45
Belarus 20 8.88 17 8.92 Paraguay 96 6.39 97 6.32
Russia 21 8.87 24 8.71 Maldives 97 6.34 99 6.20
Canada 22 8.85 20 8.85 Qatar 98 6.33 89 6.60
Czech Republic 23 8.80 34 8.40 Fiji 99 6.33 96 6.37
Estonia 24 8.78 21 8.75 Algeria 100 6.32 102 6.06
Belgium 25 8.75 22 8.72 Sri Lanka 101 6.12 100 6.11
Netherlands 26 8.71 25 8.64 Suriname 102 6.08 101 6.07
Ireland 27 8.66 26 8.57 Cape Verde 103 6.03 103 5.98
Japan 28 8.66 27 8.56 Egypt 104 5.88 104 5.83
Uruguay 29 8.62 35 8.36 Botswana 105 5.83 106 5.79
Romania 30 8.58 31 8.48 Syria 106 5.82 105 5.79
Slovak Republic 31 8.53 40 8.15 El Salvador 107 5.74 107 5.73
Venezuela 32 8.52 30 8.49 Viet Nam 108 5.72 108 5.72
Portugal 33 8.52 29 8.49 Honduras 109 5.58 109 5.55
Austria 34 8.50 32 8.45 Nicaragua 110 5.54 110 5.51
France 35 8.43 33 8.44 Namibia 111 5.46 111 5.44
United Kingdom 36 8.40 28 8.50 Guatemala 112 5.24 114 4.95
Argentina 37 8.38 36 8.34 Gabon 113 5.08 112 4.99
Barbados 38 8.35 37 8.30 Kenya 114 5.01 113 4.96
Israel 39 8.32 38 8.28 Swaziland 115 4.90 115 4.81
Chile 40 8.30 42 8.12 India 116 4.66 116 4.54
Croatia 41 8.27 43 8.07 Lao P.D.R. 117 4.56 118 4.33
Macao, China 42 8.27 44 8.05 Zimbabwe 118 4.50 117 4.50
Switzerland 43 8.22 41 8.14 Ghana 119 4.41 119 4.26
Germany 44 8.17 39 8.17 Cambodia 120 4.34 121 4.16
Mongolia 45 8.14 45 8.02 Comoros 121 4.31 120 4.23
Bulgaria 46 8.09 48 7.92 Morocco 122 4.24 122 4.11
Armenia 47 8.08 52 7.84 Bhutan 123 4.08 126 3.85
Cyprus 48 8.05 46 7.95 Cameroon 124 4.03 125 3.86
Kazakhstan 49 7.98 47 7.95 Yemen 125 3.97 124 3.95
Serbia 50 7.96 50 7.89 Zambia 126 3.96 123 3.97
Bahrain 51 7.96 62 7.22 Nepal 127 3.78 127 3.77
Hong Kong, China 52 7.92 49 7.91 Congo (Dem. Rep.) 128 3.65 128 3.55
Kyrgyzstan 53 7.80 51 7.87 Djibouti 129 3.56 130 3.50
Brazil 54 7.65 55 7.48 Bangladesh 130 3.52 129 3.50
TFYR Macedonia 55 7.55 59 7.37 Togo 131 3.48 131 3.44
Malta 56 7.53 54 7.48 Uganda 132 3.42 134 3.34
Bosnia and Herzegovina 57 7.53 58 7.38 Rwanda 133 3.40 139 3.22
Georgia 58 7.50 56 7.46 Tanzania 134 3.40 135 3.32
Moldova 59 7.49 53 7.53 Nigeria 135 3.39 132 3.43
Colombia 60 7.49 61 7.30 Gambia 136 3.38 133 3.39
Jordan 61 7.47 60 7.36 Eritrea 137 3.34 138 3.25
Lebanon 62 7.47 57 7.42 Madagascar 138 3.32 137 3.26
Costa Rica 63 7.29 70 7.06 Papua New Guinea 139 3.27 136 3.27
Peru 64 7.26 64 7.16 Pakistan 140 3.16 140 3.12
Azerbaijan 65 7.26 66 7.10 Guinea 141 3.14 145 2.81
Turkey 66 7.21 77 6.96 Cte d'Ivoire 142 3.13 141 3.05
Saudi Arabia 67 7.18 67 7.09 Angola 143 3.12 142 2.99
United Arab Emirates 68 7.18 79 6.88 Senegal 144 3.02 146 2.66
Thailand 69 7.18 69 7.08 Benin 145 3.00 143 2.90
Montenegro 70 7.16 63 7.16 Mauritania 146 2.87 144 2.85
Mexico 71 7.14 74 6.99 Mozambique 147 2.77 147 2.61
Antigua & Barbuda 72 7.12 65 7.12 Mali 148 2.35 149 2.21
Singapore 73 7.08 68 7.08 Ethiopia 149 2.29 148 2.23
Panama 74 7.02 75 6.99 Chad 150 1.99 150 1.91
Brunei Darussalam 75 7.01 78 6.93 Burkina Faso 151 1.78 151 1.67
Guyana 76 7.00 72 7.01 Niger 152 1.44 152 1.36
Source: ITU.
Measuring the Information Society 2011
37
between 2008 and 2010, xed-broadband penetration
leels remain negligible and only just oer one per
cent o the population use the Internet.
Skills sub-index
1he three indicators included in the skills sub-index
are: adult literacy rate, gross secondary school enrol-
ment, and gross tertiary school enrolment. 1hese
indicators are proxy indicators used to gauge a coun-
try`s leel o human capacity and its ability to absorb
and take adantage o IC1s. More targeted indicators
would be ones that measured countries` IC1 literacy,
but these are not ,yet, aailable. lor this reason, the
skills sub-index is gien less weight in the calculation
o the oerall IDI ,20 per cent compared with 40 per
cent or the other two sub-indices,.
Changes in the skills sub-index are relatiely small, par-
ticularly in comparison with the other two sub-indices,
renecting the act that educational leels eole only ery
gradually oer time. A country`s position in terms o the
skills sub-index ,1able 2.11, can nonetheless proide
useul policy guidance, since the ability to use IC1s e-
ciently and eectiely is crucial or countries to become
globally competitie inormation societies. In particular,
the importance and eect o human capital or the oerall
impact that IC1s hae on social and economic deelop-
ment hae been highlighted, and the \orld Summit on
the Inormation Society ,\SIS, recognized the need or
countries to take actie steps in inesting in people and
their skills. 1wo o the ten \SIS targets reer to connect-
ing educational institutions and expanding IC1 skills, and
Action Line C4 is deoted to capacity building.
4
2.4 Regional IDI analysis
A regional analysis o the IDI,
48
shows that the coun-
tries with the highest IDI rankings are rom Lurope
and Asia. Apart rom the United States ,which ranks
1th on the IDI,, all o the top 25 IDI economies
are either Luropean or rom Asia-Pacic. 1his is
illustrated in 1able 2.12, which shows the top e
countries within each region, as well as their position
in the global ranking. 1he highest ranked countries
rom the Arab States and the CIS are the United
Arab Lmirates and the Russian lederation, ranked
32nd and 4th, respectiely. Arica lags behind, with
Mauritius being the highest ranked country in the
region, but occupying only 69th place globally.
world, just behind the Republic o Korea and Japan,
which launched 3G serices as ar back as 2001-2002.
3G mobile-broadband networks and serices hae
also made an important impact in a number o
deeloping countries, including Angola, Armenia,
Belarus, Cambodia, Lcuador, Kenya, Paraguay, Peru
and Saudi Arabia, all o which hae substantially
increased mobile-broadband penetration rates oer
the 2008-2010 time period.
\hile xed-broadband penetration rates remain ery
low in many deeloping countries, some economies
hae made good progress between 2008 and 2010.
1hese include Armenia and Belarus, where xed-
broadband penetration rates increased rom 0.2 and
5 per cent to 3 and 1 per cent, respectiely. Both
countries, which were also highlighted earlier or their
achieements in terms o international Internet band-
width growth, hae seen a rapid rise in the number o
Internet users oer the same time period. Moldoa has
also managed to improe its use sub-index rank by no
less than 16 places by not only making considerable
progress in mobile broadband but also more than
doubling the number o xed-broadband subscrip-
tions. 1hese improements are renected in a large
increase in the number o Internet users, and by end
2010 two out o e people in Moldoa were online.
A number o deeloping countries highlight the
impact that mobile-broadband serices can hae in
bringing more people online. Morocco and Oman,
or example, hae substantially increased Internet
user penetration - rom 33 to 49 per cent in Morocco
and rom 20 to oer 60 per cent in Oman - partly
through the success o mobile broadband. \hile
Oman more than doubled mobile-broadband sub-
scriptions between 2008 and 2010, Morocco`s een
tripled. In Kenya, the number o xed-broadband
subscriptions grew only slightly between 2008 and
2010 ,and actually decreased rom 2009 to 2010,, but
mobile broadband grew at a ery high rate, allowing
many more Kenyans to go online. According to the
country`s regulatory authority, more than 25 per cent
o the population in Kenya use the Internet, almost
three times as many as in 2008.
Some o the countries that hae eectiely shown
important alue or ranking changes between 2008 and
2010 continue to lag behind in terms o their IC1 use
leels. In Cambodia, or example, despite an increase
in the access sub-index aboe the world`s aerage gain
38
Chapter 2. The ICT Development Index (IDI)
shows that ranges increased somewhat in all regions,
suggesting that regional dierences are increasing.
Ioweer, in Lurope, or example, the dierence is
negligible, suggesting that Luropean countries are
moing at similar speeds, which is certainly also the
result o a common set o policies and directies set
by the Luropean Union, or example through the
Digital Agenda.
49
1he largest increase in IDI ranges
between 2008 and 2010 can be obsered in the CIS,
ollowed by Arica, where countries with relatiely
lower IC1 leels are not catching up as ast as their
counterparts in other regions.
1here is a strong link between regional IC1 deelop-
ments, on the one hand, and income leels - as meas-
ured by GNI per capita - on the other, as shown in
Chart 2.6, which plots IDI and GNI per capita alues
against each other. 1he CIS is the region with the
lowest R-squared alue - indicating a relatiely weaker
linkage between income leels and IC1 deelopment.
1his is mainly because the region only includes a total
o 11 countries and because it has two main outliers:
Moldoa and 1urkmenistan. \hile Moldoa is doing
relatiely better in terms o IC1 deelopment than its
income leel would suggest, 1urkmenistan lies well
below the trend line, suggesting that, gien its income
leel, it should hae a much higher IDI alue. 1he
distribution o countries is relatiely homogeneous
along the trend line or Arica ,except or Mauritius and
Seychelles, and or Lurope. 1he Americas, the Arab
States and Asia and the Pacic show a dierent pattern,
with a cluster o relatiely low-income countries at one
end and some ew,er, high-income economies at the
other end. In the Arab States region, the United Arab
Lmirates, Bahrain and Saudi Arabia stand out or their
high income and IC1 deelopment leels, while in the
Americas region the United States and Canada are well
1o highlight dierences in IC1 leels ritbiv each re-
gion, it is also interesting to look at the dierence in
the global rankings separating the top e countries
o the region. Again, Lurope and Asia-Pacic stand
out because there is relatiely little dierence between
the global rankings o their top e. In both the
Arab States and the CIS, some 20 places separate the
top-ranked and th-ranked countries. A much larger
gap ,o 38 places, is isible in the Americas, where
the regional top e range rom a global rank o 1
,United States, to 55 ,Chile,. Arica, where 40 places
separate Mauritius rom Botswana, is the region with
the greatest global ranking dierence between the
top e countries.
A comparison o regional ranges that includes all IDI
countries ,see 1able 2.13, highlights that by ar the
largest regional IDI alue ranges in both 2008 and
2010 - calculated by deducting the lowest alue rom
the highest alue - are ound in Asia and the Pacic.
1he Americas has the second highest 2010 range in
countries` IDI alues, ollowed by Lurope and the
Arab States, which share the same range gure. A-
rica and the CIS hae relatiely smaller range alues.
\hile these ndings do not reer to the leel o IC1
deelopment o the regions, they point to the aria-
tions in IC1 deelopment within each region, which
are oten linked to dierences in income leels, but
can also be the result o national policies and other
actors ,such as skills or geographic and population
characteristics,.
It is also interesting to analyse the change in ranges
oer time, since these help to understand whether
countries within the regions are deeloping in the
same direction, and at similar speeds ,see 1able 2.13,.
A 2008 and 2010 comparison o range dierences
Table 2.12: The top fve in each region and their ranking in the global IDI
Source: ITU.
Regional
IDI rank
Europe
Global
IDI
rank
Asia &
Pacifc
Global
IDI
rank
Americas
Global
IDI
rank
Arab States
Global
IDI
rank
CIS
Global
IDI
rank
Africa
Global
IDI
rank
1 Sweden 2 Korea (Rep.) 1 United States 17 UAE 32 Russia 47 Mauritius 69
2 Iceland 3 HK, China 6 Canada 26 Qatar 44 Belarus 52 Seychelles 71
3 Denmark 4 New Zealand 12 Barbados 41 Bahrain 45 Moldova 57 South Africa 97
4 Finland 5 Japan 13 Uruguay 54 Saudi Arabia 46 Ukraine 62 Cape Verde 104
5 Luxembourg 7 Australia 14 Chile 55 Oman 60 Kazakhstan 68 Botswana 109
Measuring the Information Society 2011
39
Chart 2.6: IDI and GNI per capita, by region, 2010
Note: The R-squared value of a logarithmic regression provides a measure of how well the trendline approximates the real data points. It
varies from 0 to 1, the latter being the value obtained by a perfect ft of the data points. In the case of a regression between IDI and GNI
per capita, the higher the R-squared value, the stronger the link between IDI and GNI per capita, as expressed by a logarithmic curve.
Source: Regions in these charts are based on the ITU/BDT Regions, see: http://www.itu.int/ITU-D/ict/defnitions/regions/index.html.
Botswana
Gabon
Mauritius
Seychelles
R = 0.7248
0
1
2
3
4
5
6
7
8
9
0 20'000 40'000 60'000
GNI per capita, PPP$, 2009
Africa
I
D
I
2
0
1
0
Arab States
I
D
I
2
0
1
0
UAE
Lebanon
Oman
Saudi Arabia
R = 0.8508
0
1
2
3
4
5
6
7
8
9
0 20'000 40'000 60'000
GNI per capita, PPP$, 2009
Bahrain
Asia & Pacific
Brunei
Darussalam
Korea (Rep.)
Singapore
Hong Kong
(China)
Macao
(China)
R = 0.8481
0
1
2
3
4
5
6
7
8
9
0 20'000 40'000 60'000
GNI per capita, PPP$, 2009
Japan
I
D
I
2
0
1
0
CIS
I
D
I
2
0
1
0 Belarus
Moldova
Russia
Turkmenistan
R = 0.4152
0
1
2
3
4
5
6
7
8
9
0 20'000 40'000 60'000
GNI per capita, PPP$, 2009
Europe
I
D
I
2
0
1
0
Cyprus
Iceland
Luxembourg
Norway
Switzerland
R = 0.8569
0
1
2
3
4
5
6
7
8
9
0 20'000 40'000 60'000
GNI per capita, PPP$, 2009
The Americas
I
D
I
2
0
1
0
Canada
Trinidad &
Tobago
United States
R = 0.7739
0
1
2
3
4
5
6
7
8
9
0 20'000 40'000 60'000
GNI per capita, PPP$, 2009
40
Chapter 2. The ICT Development Index (IDI)
ables, being especially weak in Arica. 1his is seen in
the chart where the cures o both regions are below
the rest. lor instance, a country with GNI per capita
o PPP> 10 000 in Arica will tend to hae a lower
IDI than a country with the same income rom any
other region. 1o a lesser extent, this also applies to
CIS countries. 1his nding highlights the importance
o eectie IC1 policies and ecient inestment,
which may make the dierence in terms o achieing
increased IC1 deelopment with the same ,or similar,
economic resources.
ahead in terms o both their IDI and GNI per capita
alues. In Asia and the Pacic, a number o economies,
including Iong Kong ,China, and Singapore, display
both high income and high IDI leels, but a ew other
economies, including the Republic o Korea, Japan,
New Zealand and Australia, hae higher IDI leels
than their income leel would predict.
Chart 2. plots on a single chart the relation between
IDI and GNI per capita in each region. 1he CIS and
Arica hae the weakest relation between the two ari-
Table 2.13: IDI ranges, 2010 and 2008
Source: ITU.
2010 2008
Diference range
2008-2010
Max. Min. Range Max. Min. Range
Asia & Pacifc 8.40 1.38 7.02 7.80 1.24 6.56 0.46
The Americas 7.09 2.31 4.78 6.55 2.09 4.46 0.32
Europe 8.23 3.61 4.61 7.53 2.99 4.54 0.07
Arab States 6.19 1.58 4.61 5.63 1.50 4.14 0.47
Africa 4.00 0.83 3.16 3.43 0.80 2.62 0.54
CIS 5.38 2.50 2.88 4.42 2.15 2.27 0.61
\ireless Intelligence is part o GSM Media LLC, a wholly owned subsidiary o GSMC Limited, the organization behind the GSMA
Mobile \orld Congress and GSMA Mobile Asia Congress, see https:,,www.wirelessintelligence.com,about,.
8
Note that, due to some changes in the data used or the IDI ,see section 2.1,, the top rankings are not the same as those published in
preious editions o the MIS report.
9
See Korea Communications Commission ,2010,.
10
See latest data rom l11I Council: http:,,www.tthcouncil.org,node,1425.
11
By the end o 2011 Sweden had roughly 150 independent bre networks, the most notable being Stokab, owned by the city o
Stockholm. lor more inormation, see BLRLC ,2011,, and Stokab`s website ,http:,,www.stokab.se,,.
12
See the press release rom the Swedish Post and 1elecom Agency: http:,,www.pts.se,en-gb,News,Press-releases,2011,lor-the-rst-
time-we-are-spending-more-money-on-mobile-serices-than-on-xed-serices,.
13
See Post and 1elecom Administration in Iceland ,2011,.
14
See the document rom the Ministry o 1ransport and Communications o linland aailable at: http:,,www.lm.,c,document_li-
brary,get_leolderId~913424&name~DLlL-10509.pd&title~Questions20and20Answers.20Access20to20a20mini-
mum20o20120Mbit20Internet20,16.10.2009,.
15
See the press release rom lICORA aailable at: http:,,www.cora.,en,index,iestintairasto,lehdistotiedotteet,2010,P_2.html.
Under its USO, linland will be the only country in the world that legally requires Internet access as a basic right.
16
See http:,,www.cora.,en,index,iestintairasto,lehdistotiedotteet,2010,P_2.html.
1
See Swiss lederal Communication Commission ,2011,.
18
See http:,,www.med.got.nz,templates,StandardSummary____40551.aspx.
19
See pages 5 and 6 o the Luropean Commission`s letter o withdrawal o serious doubts and comments in response to the proposal o
wholesale broadband access regulation in Austria ,Case A1,2009,090,. Aailable at Circa: http:,,circa.europa.eu,Public,irc,inso,
ecct,libraryl~,sterreich,registeredsnotications,at2009090,at-2009-090_acte-withdr,_LN_1.0_&a~d.
20
See http:,,www.itu.int,I1U-D,ict,newslog,Ministry-Reeals-Iigh-Speed-Broadband-Network-Plan-Armenia.aspx.
21
See http:,,www.businessdailyarica.com,Corporate-News,-,539550,11662,-,rp4s11,-,index.html.
22
See http:,,www.itnewsarica.com,2010,10,erizon-to-extend-arican-ootprint-with-gateway-business,. Verizon Business has agree-
ment with Gateway Business to leerage their network presence and extend coerage o the Verizon MPLS network to 14 Arican
countries by using interconnection points between the companies` networks.
23
See http:,,www.itnewsarica.com,2010,03,mauritius-completes-rst-phase-o-lion-cable-project,.
24
See http:,,wirelessederation.com,news,24359-maroc-telecom-launches-mobile-serice-mobi-cash-morocco,.
25
See http:,,www.itu.int,I1U-D,ict,newslog,Morocco-1o-Cut-Call-1ermination-Rates-By-650-Oer-3-\ears.aspx.
26
See Gulady ,2009,.
2
See Ministry o Lduction, Sultanate o Oman ,2008,.
28
See http:,,www.ita.go.om,I1APortal,MediaCenter,NewsDetail.aspxNID~341.
29
Inormation 1echnology Authority, Sultanate o Oman ,2008,.
30
See http:,,maxwellsci.com,print,ajbm,2-94-109.pd.
31
See http:,,main.omanobserer.om,node,42153.
32
See http:,,www.telegeography.com,products,commsupdate,articles,2010,0,20,rostelecom-doubles-internet-capacity-or-ar-east-
telecom,.
33
See http:,,www.submarinenetworks.com,systems,asia-europe-arica,rjcn,rjcn-ready-or-serice.
34
See http:,,www.itar-tass.com,en,c154,15900_print.html.
50
Chapter 2. The ICT Development Index (IDI)
35
See Que et a. ,2010,.
36
1he deeloped,deeloping country classications are based on the UN M49, see:
http:,,www.itu.int,I1U-D,ict,denitions,regions,index.html.
3
1he 152 economies included in the IDI were grouped into our categories ,high, upper, medium, and low, based on the 2010 IDI
alues. 1he countries were grouped by locating the position o the aerage IDI alue ,o 4.08, among all IDI alues. 1he aerage alue
was thus placed ater the 86th country, which resulted in 66 countries aboe the aerage and 86 below. 1he 66 countries aboe the ae-
rage were then classied into two equal groups ,high and upper,. 1he 86 countries below the aerage were also diided into two equal
groups ,medium and low,.
38
1he 152 economies were grouped into our categories ,high, upper, medium and low, based on their 2009 GNI per capita, PPP>
alues. 1he countries were grouped by locating the position o the aerage GNI per capita ,PPP>, alue ,o 14 401, among all GNI
per capita ,PPP>, alues. 1he aerage alue was thus placed ater the 103rd country, giing 49 countries aboe the aerage and 103
below. 1he 49 countries aboe the aerage were then classied into two equal groups ,high and upper,. 1he 103 countries below the
aerage were also diided into two equal groups ,medium and low,.
39
See http:,,www.go.mu,portal,site,Mainhomepage,menuitem.a42b24128104d9845dabddd154508a0c,content_id~b153e8d30492
10VgnVCM1000000a04a8c0RCRD and http:,,www.pcworld.com,businesscenter,article,193025,lion_cable_links_madagascar_mau-
ritius_reunion.html.
40
See http:,,www.e-belarus.org,news,20110121.html.
41
See http:,,www.alcatel-lucent.com,wps,portal,!ut,p,kcxml,04_Sj9SPykssy0xPLMnMz0M0\_QjzKLd4w3MQlS\G\Rq6m-
pLo\gbxjgiRII1V-P_NxU_QD9gtzQiIJIR0UAAD_zXg!!,delta,base64xml,L0lJayLUUd3QndJQSLNLlVRkNBISLNl9B
X0U4QS9lbl93dw!!LMSG_CABINL1~Docs_and_Resource_Ctr&LMSG_CON1LN1_lILL~News_Releases_2009,News_Ar-
ticle_0016.xml.
42
1his is in part due to Plan Ceibal, a plan aiming at connecting schools, pupils and teachers around the country. See also Chapter 5,
Section 5.3 and www.ceibal.org.uy.
43
See http:,,www.telecoms.com,28953,uruguays-antel-hoping-to-connect-80k-homes-with-bre-by-year-end,.
44
See http:,,www.npt.com.n,en,News,NewsLents,View,tabid,219,newsid,1100,seo,10-outstanding-eents-o-VNP1-
in-2009,Deault.aspx.
45
See http:,,www.npt.com.n,en,News,NewsLents,View,tabid,219,newsid,10938,seo,3G-appearance-tops-IC1-eents-o-the-
year,Deault.aspx.
46
See Goernment o Republic o Moldoa ,2005,.
4
See I1U ,2003,.
48
1he regional analysis is based on the I1U,BD1 regional classication. lor a complete oeriew o the I1U,BD1 regions, see:
http:,,www.itu.int,I1U-D,ict,denitions,regions,index.html.
49
See http:,,ec.europa.eu,inormation_society,digital-agenda,index_en.htm.
50
See the last graph at: http:,,www.tthcouncil.org,node,1425, according to which the UAL has oer 30 per cent o homes connected
to a bre connection.
51
See http:,,www.techday.co.nz,netguide,news,kiwis-go-unplugged,1158,.
52
See http:,,www.tthcouncil.org,en,newsroom,2011,02,10,global-tth-councils-latest-country-ranking-shows-urther-momentum-
on-all-ber-.
53
See press release rom ABS-CBNnews aailable at:
http:,,www.abs-cbnnews.com,liestyle,04,08,10,lipino-internet-users-most-engaged-social-media-surey.
54
See I1U ,2010b,, page 33.
Measuring the Information Society 2011
51
Chapter 3. The ICT Price Basket (IPB)
3.1 Introduction
IC1 serices hae to be aordable i people are going to
use them. As with other goods or serices, the price o a
phone call, an sms or an Internet connection innuences
how many people will use inormation and communica-
tion technologies ,IC1s,, and how oten. It is thereore
important that any analysis o the inormation society
should not only consider and understand such actors
as IC1 inrastructure, awareness or skills, but also take
into account the cost and aordability o serices.
I1U`s IC1 Price Basket ,IPB, is a composite basket
based on the price or xed-telephony, mobile-cellular
telephony and xed-broadband Internet serices, and
computed as a percentage o aerage income leels. As
a comprehensie benchmarking tool, the IPB monitors
the cost o IC1 serices and proides a useul indica-
tion o how aordable serices are across countries,
and oer time. It also proides inormation on global
and regional trends in IC1 taris, and points to the
dierence in prices between deeloped and deeloping
regions. 1he IPB, which coers a total o 165 economies,
remains the only price basket to track and benchmark
the aordability o IC1 serices worldwide.
1
1he IC1 Price Basket is published together with the IC1
Deelopment Index ,IDI,, thereby highlighting the link
between IC1 prices, on the one hand, and IC1 diusion,
access and use, on the other. Since the aordability o
telecommunication and IC1 serices is expected to hae a
major innuence on IC1 uptake, the IPB is an explanatory
ariable in the IDI. Conersely, oer time higher leels o
IC1 access and use may bring down prices, with opera-
tors leeraging economies o scale. Additionally, lower
prices are oten the result o increased liberalization and
competition, leading to higher leels o IC1 uptake.
1he price o IC1 serices in a gien country depends on
a number o actors, including the leel and degree o
competition, dierent measures o regulatory interen-
tion, market size, operators` costs or proiding serices,
and prot margins. \hile this chapter addresses some
o these actors when analysing or explaining price de-
elopments, it does not proide a detailed analysis o
price trends at the country leel. Rather, it ocuses on
global and regional trends, and on the dierences be-
tween deeloped and deeloping countries, highlighting
selected economies that hae made progress in making
IC1 serices more aordable.
1he mobile-cellular market remains the astest growing tel-
ecommunication serice market in history ,see Chapter 1,.
\hile growth in the deeloped countries, where saturation
leels o well aboe 100 per cent penetration in mobile-
cellular subscriptions hae been achieed, is modest, the
deeloping countries continue to register double-digit
growth in the number o subscriptions. By the end o
2010, there were 5.3 billion mobile-cellular subscriptions
worldwide, compared to 4 billion at the end o 2008. Oer
the same period, the mobile-cellular market has witnessed
major price reductions, and between 2008 and 2010 the
mobile component o the IC1 Price Basket dropped by
21.8 per cent. Most mobile-handset manuacturers are
eager to enter smartphone markets in order to capture
bigbeva users, and operators are inesting in high-speed
mobile networks to increase their data-reenue shares. At
the same time, there is a parallel trend, particularly in the
deeloping markets, to seize low-end market segments.
In price-sensitie` India, or example, a large number o
mobile operators are competing or low-income customers
by decreasing mobile-cellular taris, and oering cheaper,
more aordable, handsets.
2
Chinese manuacturers are
increasingly betting on low-cost smartphones, or people
with aerage incomes, at home as well as abroad.
3
As access to mobile-cellular serices is becoming more
aordable, prices or xed-broadband Internet access are
also alling.
4
Between 2008 and 2010, the xed-broadband
component o the IC1 Price Basket dropped by no less
52
Chapter 3. The ICT Price Basket
Deelopment Index ,IDI,. 1his chapter will thereore
examine the link between IC1 prices, on the one hand,
and IC1 uptake, on the other, and discuss the signi-
cance o the IPB as an explanatory ariable. \hile both
the IPB and IDI data reer to 2010, it is important to
recognize that the link between a gien change in price
and IC1 uptake will depend on the country and the
magnitude o the price change. In the majority o cases,
a gien change in prices is likely to hae a gradual and
oten delayed impact on the uptake o serices.
In a next step, the IPB is broken down into its three
sub-baskets, thus recognizing the importance o each
o the serices and access methods.
8
1he presentation
o absolute and relatie ,USD and PPP>, alues or each
sub-basket independently will allow policy-makers to
identiy the relatie cost o each IC1 serice. 1he sub-
basket results will also be presented by region and by leel
o deelopment, and highlight some o the dierences
in the cost o IC1 serices that exist across the world.
linally, and in iew o the expansion o the mobile
broadband market, the chapter will present a comparison
o mobile-broadband prices with xed-broadband prices.
3.2 ICT Price Basket methodology
1he IC1 Price Basket is a composite basket that includes
three tari sets, reerred to as sub-baskets: xed-teleph-
ony, mobile-cellular telephony and xed-broadband
Internet serices. 1he IPB is the alue deried rom
the sum o the price o each sub-basket ,in USD, as
a percentage o a country`s monthly GNI per capita
9
diided by three ,ligure 3.1,. lor this exercise, the cost
o each sub-basket as a percentage o the monthly
GNI per capita is capped at a maximum alue o 100,
so the nal price basket alue may ary between a theo-
retical zero` ,taris represent zero per cent o aerage
monthly GNI per capita`, and all three serices are or
ree, and 100 ,the price o all three sub-baskets is equal
to, or exceeds, the monthly GNI per capita,. 1his means
that the IPB gies equal weight to each o the three IC1
serice components. Based on the IPB alue, countries
are ranked rom 1 to 165 ,the total number o countries
included in the 2010 IC1 Price Basket,.
Data or the three IC1 serices are collected through the
1| 1ariff vaicator. Qve.tiovvaire, which is sent out to all
I1U Member States,national statistical contacts.
10
lor all
countries that did not reply to the questionnaire, prices
are gathered directly rom national operators` websites,
than 52.2 per cent, drien mainly by signicant price re-
ductions in deeloping countries, where broadband ser-
ices were, and in some cases remain, ery expensie. 1he
spread and popularity o mobile-broadband serices has
stimulated ,inter-modal, competition and put pressure on
operators to lower prices.
Research carried out on the IPB also suggests that more
and more broadband subscribers are getting greater
speeds, oten or the same price. In comparison with
2008, seeral o the 2010 entry-leel broadband plans
proide seeral times the required minimum speed o
256 kbit,s, not only in deeloped countries but also,
increasingly, in many deeloping countries.
5
\hile this
trend cannot be taken into consideration or the cal-
culation o the IC1 Price Basket - which is based on
entry-leel broadband plans - it means that customers
actually get aster and better serices or their money.
Objectives of the ICT Price Basket
1he main objectie o the IC1 Price Basket is to proide
inormation on the cost and aordability o IC1 serices
across countries and regions. As a price benchmarking tool,
it will help policy-makers take inormed policy decisions.
Prices are presented in absolute terms, both in USD and
purchasing power parity ,PPP, adjusted. Ioweer, the IPB
alue and ranking is based on the relatie cost ,or aord-
ability, o IC1 serices within a country, as it is computed
as the percentage o aerage income.
6
As the IPB is calcu-
lated annually, it seres as a tool allowing policy-makers to
ealuate the eoling cost and aordability o IC1 serices
in their country and to benchmark them against those in
other countries. 1his inormation will put national prices
into perspectie, and proide a starting point or looking
into ways o lowering prices - or example, by introduc-
ing or strengthening competition, or by reiewing specic
tari policies.
Box 3.2: Prepaid services: not always more expensive than postpaid subscriptions
Prepaid is the subscription service of choice for the majority of
todays mobile-cellular subscribers: by the end of 2010, around
70 per cent of the worlds mobile-cellular subscriptions were
prepaid. Prepaid services usually do not tie customers to a
contract or a monthly subscription fee and therefore often
promise greater freedom of use and choice of operators. They
protect mobile operators from unpaid bills, since services are
paid for in advance. On the other hand, prepaid services do not
necessarily cost the same (price per minute, or per sms), since
they do not provide operators with a fxed revenue stream, and
fexibility and freedom are usually sold at a higher price at
least, per minute. Using the example of the Republic of Korea, a
comparison was carried out to show how prepaid and postpaid
tarifs compare in terms of the IPBs mobile-cellular sub-basket:
The Republic of Korea, like a number of other countries, has
very few prepaid subscriptions less than 1.5 per cent. Al-
though the price per minute and per sms for prepaid services
is more expensive (KRW 288 instead of KRW 108 for calls, and
KRW 22 instead of KRW 20 per sms), a comparison that takes
into account the monthly subscription charge (KRW 12 000 for
postpaid customers only) reveals that the prepaid basket (at
USD 14.4) is actually cheaper than the same basket using the
postpaid tarifs (which would amount to USD 16.7).
The example from the Republic of Korea shows that, for low-
end users, prepaid services are more interesting than postpaid
services, and that the choice of prepaid services for the IPB
does not necessarily disadvantage countries. What may pena-
lize countries that display intensive use of ICT services is the
fact that the IPB is based on an entry-level or low-user basket.
Operators in developed countries, in particular, ofer relatively
cheap (per minute) prices for high-end users. For example, in the
United States, a fxed monthly subscription of USD 39.99 gives
subscribers 450 minutes of free calls, which translates into only
USD 0.09 per minute, compared to the USD 0.25 that customers
pay when they subscribe to the entry-level prepaid plan.
17
In
Austria, a EUR 8.80 monthly subscription comes with 1 000 free
minutes of calls, which efectively brings down the per-minute
price to EUR 0.009, compared to EUR 0.07 for the prepaid tarif.
18
Measuring the Information Society 2011
57
the 165 economies included in the IPB, pointing to an
important price diide. 1he alues ary rom a low 0.2
in Monaco, to a high 1.6 in Niger. 1his compares to a
similar range ,but between dierent countries than in
2010, o between 0.3 and .1 in 2008, suggesting that
important dierences persist between the countries with
the lowest and highest relatie IC1 prices.
All o the economies ranked at the top o the IPB
hae high gross national incomes per capita, including
many small economies, such as Macao ,China,, Monaco,
Liechtenstein, Iong Kong ,China, and Singapore.
\ith the exception o the United Arab Lmirates, all
economies in the top ten are rom Lurope and Asia
and the Pacic.
It is also important to point out that the countries ranked
at the top o the IPB hae ery similar IPB alues.
1wenty-eight countries hae an IPB alue o below one
and, as shown in 1able 3.1, many share the same alue,
with only the second decimal place making the dier-
ence. 1his suggests that those countries ranked at the
top o the IPB hae all achieed relatiely low prices that
make IC1 serices generally aordable to their citizens.
On the other hand, all o the countries with the high-
est relatie IC1 prices are low-income countries rom
Arica. 1he most expensie relatie prices were
obsered in Niger, Malawi, Zimbabwe, Madagascar,
1ogo, Burkina laso, Rwanda, Comoros, Mozambique
and Mali. Indeed, there seems to be an almost inerse
relationship between the relatie price o IC1 serices
and income leels. A regression analysis, comparing
income leels and IPB ranks, indicates an R-squared
alue o 0.86, conrming that relatiely high-income
countries pay relatiely little or IC1 serices, while
low-income countries pay relatiely high prices. Lx-
ceptions include the Russian lederation, Costa Rica,
Lithuania and Mauritius: contrary to what is obsered
aboe, IC1 prices in these countries are lower than the
income leels would suggest. Kiribati, Swaziland and
Lesotho, on the other hand, hae IC1 prices aboe
what their income leels would suggest.
Not surprisingly, a similar trend can be obsered in terms
o deelopment status, which is linked to income leels.
In 46 out o 4 deeloped countries, the IPB alue does
not exceed e per cent o monthly per capita income.
In 3 o them, it represents less than two per cent o
monthly incomes. Iigher alues ,aboe eight, indicating
that prices are relatiely high, or the IPB, on the other
hand, are ound only in deeloping countries ,Chart 3.1,.
1he map in ligure 3.2 illustrates the global dierences
in IC1 prices.
Table 3.1: ICT Price Basket and sub-baskets, 2010 and 2008
Rank Economy
ICT Price Basket
Fixed-telephone
sub-basket as a %
of GNI per capita
Mobile-cellular
sub-basket as a %
of GNI per capita
Fixed-broadband
sub-basket as a %
of GNI per capita
GNI per capita,
USD, 2009
(or latest
available year)
2010 2008 2010 2008 2010 2008 2010 2008
1 Monaco 0.2 N/A 0.1 N/A 0.3 N/A 0.3 N/A 203'900
2 Macao, China 0.3 0.3 0.3 0.3 0.2 0.2 0.3 0.3 35'360
3 Liechtenstein 0.4 N/A 0.3 N/A 0.2 N/A 0.5 N/A 113'210
4 Hong Kong, China 0.4 0.3 0.3 0.3 0.1 0.1 0.7 0.6 31'420
5 United Arab Emirates 0.4 0.4 0.1 0.1 0.2 0.2 0.8 0.8 57'340
6 Singapore 0.5 0.4 0.3 0.2 0.3 0.2 0.9 0.7 37'220
7 Luxembourg 0.5 0.5 0.4 0.4 0.4 0.4 0.6 0.6 76'710
8 Norway 0.5 0.5 0.5 0.5 0.3 0.3 0.7 0.7 84'640
9 Iceland 0.5 0.7 0.5 0.5 0.5 0.5 0.7 1.1 43'430
10 Denmark 0.6 0.5 0.6 0.6 0.2 0.2 0.9 0.6 59'060
11 Austria 0.6 1.1 0.7 0.7 0.4 1.2 0.7 1.5 46'450
12 United States 0.6 0.5 0.3 0.4 0.8 0.8 0.5 0.4 46'360
13 San Marino 0.6 N/A 0.6 N/A 0.6 N/A 0.5 N/A 50'670
14 Finland 0.6 0.7 0.4 0.5 0.3 0.7 0.9 0.9 45'940
15 Sweden 0.6 0.6 0.6 0.5 0.4 0.8 0.8 0.7 48'840
16 Switzerland 0.7 0.8 0.5 0.6 1.0 1.2 0.6 0.7 65'430
17 Netherlands 0.7 0.9 0.6 0.7 0.8 1.0 0.8 0.9 48'460
18 Bahrain 0.7 0.7 0.2 0.2 0.7 0.7 1.3 1.3 25'420
19 United Kingdom 0.7 0.8 0.6 0.7 0.9 1.0 0.7 0.7 41'370
20 Germany 0.7 0.8 0.8 0.8 0.4 0.4 1.1 1.0 42'450
21 Canada 0.8 0.8 0.6 0.9 1.0 0.9 0.7 0.6 41'980
22 Cyprus 0.8 0.7 1.1 1.1 0.3 0.4 0.9 0.7 26'940
23 Australia 0.8 1.1 0.8 0.7 0.8 1.2 1.0 1.4 43'770
24 Belgium 0.9 0.9 0.8 0.9 1.1 1.1 0.7 0.8 45'270
25 Ireland 0.9 0.9 0.7 1.0 1.0 0.9 0.9 0.9 44'280
26 Korea (Rep.) 0.9 0.8 0.3 0.3 0.9 1.1 1.5 1.0 19'830
27 Israel 0.9 N/A 0.7 N/A 1.6 N/A 0.4 N/A 25'790
28 Italy 0.9 1.0 0.9 0.9 1.0 1.2 0.9 0.8 35'110
29 France 1.0 1.2 0.7 0.8 1.4 1.6 0.8 1.0 42'620
30 Trinidad & Tobago 1.1 1.2 1.4 1.5 0.9 1.1 0.9 1.0 16'700
31 Latvia 1.1 1.7 1.0 1.1 1.0 1.4 1.2 2.5 12'390
32 Russia 1.1 1.3 0.8 0.8 1.2 1.6 1.3 1.7 9'340
33 Costa Rica 1.1 1.2 1.3 0.9 0.6 1.1 1.3 1.7 6'260
34 Japan 1.1 1.1 0.8 0.6 1.8 1.5 0.7 1.0 38'080
35 Greece 1.1 1.3 1.0 1.1 1.6 1.8 0.8 1.0 29'040
36 Saudi Arabia 1.1 1.5 0.6 0.6 1.0 1.1 1.8 2.7 17'700
37 Lithuania 1.2 1.5 1.4 1.5 1.0 1.4 1.1 1.5 11'410
38 Brunei Darussalam 1.2 N/A 0.5 N/A 0.7 N/A 2.3 N/A 26'740
39 Oman 1.2 1.1 0.9 0.7 0.6 0.7 2.1 2.1 17'890
40 Slovenia 1.2 1.4 0.9 1.0 1.1 1.1 1.7 2.1 23'520
41 Malta 1.3 1.6 0.9 1.0 1.6 2.2 1.3 1.5 16'680
42 Bahamas 1.3 N/A 0.9 N/A 1.0 N/A 2.0 N/A 21'390
43 Spain 1.3 1.5 1.0 1.1 2.0 2.2 1.0 1.0 32'120
44 Portugal 1.4 1.5 1.4 1.5 1.3 1.3 1.4 1.6 21'910
45 Croatia 1.5 2.0 1.5 1.6 1.5 2.5 1.6 1.8 13'720
46 Estonia 1.6 2.1 1.0 1.1 1.9 2.2 1.8 3.1 14'060
47 Mauritius 1.6 2.3 0.9 1.0 1.1 1.3 2.7 4.6 7'250
48 Venezuela 1.6 4.3 0.2 0.9 2.7 5.6 1.9 6.2 10'090
49 New Zealand 1.6 1.4 1.5 1.4 2.1 1.7 1.3 1.2 27'260
50 Kazakhstan 1.7 N/A 0.4 N/A 2.5 N/A 2.3 N/A 6'920
51 Poland 1.8 2.4 2.0 2.6 1.5 2.0 1.8 2.5 12'260
52 Malaysia 1.8 1.9 0.8 0.8 1.2 1.6 3.3 3.3 7'350
53 Azerbaijan 1.8 9.9 0.6 0.8 1.7 2.2 3.1 26.7 4'840
54 Maldives 1.9 2.2 1.2 1.3 1.7 2.1 2.8 3.0 3'970
55 Romania 1.9 2.2 1.9 2.0 3.1 3.5 0.7 1.0 8'330
56 Belarus 2.0 N/A 0.3 N/A 1.7 N/A 3.9 N/A 5'560
57 Czech Republic 2.0 2.2 1.9 2.1 1.9 2.5 2.2 2.0 17'310
58 Hungary 2.1 2.6 2.0 2.6 2.4 3.0 1.9 2.2 12'980
59 Slovak Republic 2.1 2.2 1.5 1.7 2.8 2.9 1.9 2.0 16'130
60 Serbia 2.1 3.3 1.1 1.0 2.3 2.5 3.1 6.4 6'000
61 Uruguay 2.2 2.8 1.8 1.9 2.4 3.1 2.6 3.5 9'010
62 Panama 2.3 2.1 2.2 1.7 1.6 1.7 3.0 2.9 6'570
63 Sri Lanka 2.4 7.3 3.0 3.5 1.1 2.6 3.0 15.7 1'990
64 Mexico 2.4 3.0 2.5 2.5 2.3 2.3 2.3 4.2 8'960
65 Tunisia 2.5 3.1 0.8 1.0 3.2 4.3 3.4 4.1 3'720
66 St. Kitts and Nevis 2.5 N/A 1.4 N/A 1.8 N/A 4.3 N/A 10'150
67 Antigua & Barbuda 2.5 N/A 1.4 N/A 2.2 N/A 4.0 N/A 12'130
68 Montenegro 2.6 2.8 1.4 1.9 3.0 2.8 3.3 3.8 6'650
69 Ukraine 2.6 4.6 1.3 1.5 3.2 5.2 3.2 7.1 2'800
70 Qatar 2.7 2.7 0.9 0.9 1.8 1.7 5.5 5.5 12'000
71 Algeria 3.0 3.5 1.5 1.3 3.4 4.4 4.0 4.8 4'420
72 Lebanon 3.0 3.8 1.5 1.8 4.1 5.7 3.4 4.0 8'060
73 China 3.1 3.7 1.5 1.5 2.0 2.3 5.9 7.4 3'650
74 Argentina 3.2 3.5 0.6 0.8 4.9 3.4 4.1 6.3 7'550
75 Bosnia and Herzegovina 3.3 3.7 2.4 2.4 3.9 4.8 3.7 3.8 4'700
76 Barbados 3.4 3.8 2.6 2.4 2.6 2.6 5.0 6.4 9'330
77 Seychelles 3.5 2.8 1.3 1.1 2.3 1.9 6.8 5.5 8'480
78 Egypt 3.5 4.4 1.7 2.0 4.1 5.6 4.6 5.5 2'070
79 Bhutan 3.6 14.7 2.0 2.2 2.7 3.6 6.2 38.3 2'030
80 Turkey 3.7 N/A 2.3 N/A 6.0 N/A 2.6 N/A 8'720
81 Chile 3.7 4.1 3.2 3.1 3.0 3.2 5.0 6.0 9'470
82 Bulgaria 3.7 4.4 2.5 2.9 6.1 7.2 2.7 3.1 6'060
83 Thailand 3.9 3.7 2.8 1.9 2.8 3.4 6.0 5.8 3'760
Measuring the Information Society 2011
59
Table 3.1: ICT Price Basket and sub-baskets, 2010 and 2008 (continued)
Note: N/A: Not available.
Source: ITU.
Rank Economy
ICT Price Basket
Fixed-telephone
sub-basket as a %
of GNI per capita
Mobile-cellular
sub-basket as a %
of GNI per capita
Fixed-broadband
sub-basket as a %
of GNI per capita
GNI per capita,
USD, 2009
(or latest
available year)
2010 2008 2010 2008 2010 2008 2010 2008
84 Jordan 3.9 4.4 2.9 3.1 3.2 3.4 5.7 6.7 3'980
85 Botswana 3.9 3.5 3.6 3.2 2.5 2.4 5.7 5.0 6'260
86 Grenada 4.0 3.8 2.6 2.4 3.1 3.2 6.3 6.0 5'580
87 India 4.1 4.6 3.3 3.7 3.4 3.9 5.6 6.4 1'180
88 Jamaica 4.2 6.0 3.0 2.6 3.1 3.6 6.5 11.9 4'590
89 Albania 4.3 7.7 1.9 1.3 7.7 12.6 3.2 9.2 4'000
90 TFYR Macedonia 4.4 5.1 3.3 3.9 6.4 7.4 3.5 4.1 4'400
91 Dominican Rep. 4.4 5.1 4.1 3.1 4.1 4.7 5.0 7.6 4'550
92 St. Vincent and the Grenadines 4.6 6.7 2.6 2.5 3.5 4.5 7.9 12.9 5'130
93 Colombia 4.7 4.9 1.4 1.3 4.1 4.4 8.5 8.8 4'990
94 Fiji 4.7 6.0 2.4 2.8 5.9 7.8 5.7 7.3 3'840
95 Suriname 4.8 N/A 0.6 N/A 3.3 N/A 10.6 N/A 4'760
96 Brazil 4.8 6.8 3.4 4.2 8.5 9.2 2.5 6.9 8'040
97 Ecuador 4.8 N/A 4.3 N/A 4.2 N/A 6.1 N/A 3'970
98 St. Lucia 4.9 6.5 2.7 2.6 5.1 4.7 6.8 12.2 5'190
99 South Africa 5.3 4.5 5.2 4.2 4.8 4.5 5.7 4.9 5'760
100 El Salvador 5.3 5.5 3.6 3.9 3.4 5.6 8.9 7.1 3'370
101 Moldova 5.4 10.8 1.5 1.8 9.7 12.0 5.0 18.5 1'560
102 Armenia 5.9 7.0 1.6 1.8 3.4 5.2 12.5 14.0 3'100
103 Dominica 6.0 6.6 2.6 2.7 3.5 5.1 11.7 12.0 4'900
104 Paraguay 6.1 10.2 3.6 4.0 4.6 5.3 10.1 21.4 2'250
105 Indonesia 6.7 7.2 2.9 3.0 4.6 5.4 12.6 13.2 2'050
106 Guatemala 6.9 8.0 2.5 2.7 3.6 4.2 14.7 17.1 2'650
107 Syria 7.1 N/A 0.6 N/A 9.9 N/A 10.8 N/A 2'410
108 Viet Nam 7.9 12.2 3.2 3.2 7.0 9.9 13.5 23.5 930
109 Pakistan 8.0 10.0 4.0 4.5 3.0 3.8 17.1 21.7 1'000
110 Honduras 8.3 N/A 4.2 N/A 5.9 N/A 14.7 N/A 1'800
111 Georgia 8.4 10.4 1.1 1.3 5.5 6.8 18.7 23.0 2'530
112 Guyana 8.5 17.7 2.1 2.1 7.8 10.3 15.7 40.6 1'450
113 Tonga 8.8 14.7 2.3 2.2 4.0 3.8 19.9 38.1 3'260
114 Philippines 9.2 9.5 9.0 8.7 5.9 5.5 12.8 14.3 2'050
115 Micronesia 9.3 9.3 4.5 3.9 4.4 4.4 19.2 19.5 2'500
116 Peru 9.5 9.9 4.2 4.6 12.4 14.3 12.1 10.8 4'200
117 Morocco 9.6 12.5 9.2 11.1 14.3 17.2 5.1 9.2 2'770
118 Cape Verde 10.8 12.6 3.3 2.3 16.6 19.4 12.6 16.2 3'010
119 Namibia 11.9 7.5 4.3 3.7 4.8 4.9 26.7 13.7 4'270
120 Bangladesh 12.6 36.4 2.8 3.1 4.2 6.0 31.0 123.8 580
121 Samoa 12.7 N/A 5.1 N/A 7.5 N/A 25.7 N/A 2'840
122 Ghana 15.5 26.2 7.3 4.5 7.4 10.8 31.8 63.1 1'190
123 Belize 16.3 16.6 6.3 7.5 10.0 10.0 32.8 32.3 3'740
124 Bolivia 17.2 18.7 17.5 19.0 8.3 9.1 25.7 28.0 1'630
125 Angola 18.0 24.7 5.3 7.3 6.2 8.1 42.7 58.8 3'750
126 Nicaragua 20.9 24.2 5.4 5.8 15.8 27.4 41.4 39.4 1'000
127 Timor-Leste 21.5 N/A 8.4 N/A 7.9 N/A 48.3 N/A 2'460
128 Senegal 22.7 28.7 11.8 20.4 14.6 16.4 41.6 49.2 1'040
129 Mauritania 23.4 38.0 22.5 18.2 18.3 18.6 29.4 77.1 960
130 Djibouti 24.7 40.4 7.7 8.1 14.0 13.1 52.3 111.6 1'280
131 Nepal 26.4 28.9 8.5 9.7 7.3 12.6 63.4 64.5 440
132 Nigeria 27.2 44.1 14.1 10.3 13.9 22.0 53.5 692.1 1'190
133 Kyrgyzstan 27.3 N/A 1.7 N/A 4.9 N/A 75.3 N/A 870
134 Cte d'Ivoire 27.4 37.4 22.0 26.7 15.3 30.8 45.0 54.7 1'070
135 Uganda 30.2 61.8 22.8 34.9 31.8 50.4 35.9 374.9 460
136 Tanzania 31.4 57.0 21.1 28.1 23.2 43.1 50.0 174.4 500
137 Chad 32.5 43.2 37.0 41.2 34.1 59.1 26.3 29.3 540
138 Kenya 33.1 49.8 22.4 18.0 17.0 31.5 59.9 261.2 760
139 Uzbekistan 34.8 N/A 1.2 N/A 3.3 N/A 218.2 N/A 1'100
140 Tajikistan 34.9 N/A 1.5 N/A 3.2 N/A 621.4 N/A 700
141 Cuba 35.8 36.5 0.1 0.1 7.3 9.3 379.0 380.6 5'550
142 Vanuatu 35.9 41.5 18.8 11.8 10.7 12.7 78.3 209.3 2'620
143 Lesotho 36.0 30.7 15.9 13.6 29.6 25.2 62.4 53.2 980
144 Yemen 36.8 37.4 1.2 1.0 9.2 11.0 134.9 281.6 1'060
145 Lao P.D.R. 38.0 38.6 5.5 6.4 8.6 9.5 190.5 435.5 880
146 Swaziland 38.1 37.3 2.4 2.1 11.7 10.0 424.9 805.7 2'470
147 Benin 38.5 50.2 14.4 17.5 20.9 33.1 80.2 172.3 750
148 Cameroon 38.8 48.7 15.2 15.0 20.2 31.1 80.8 185.7 1'190
149 Ethiopia 39.5 44.2 3.5 6.3 14.9 26.5 1070.8 2721.4 330
150 Guinea 39.5 42.2 5.2 9.6 13.4 17.1 2594.6 2823.5 370
151 Kiribati 39.6 N/A 7.6 N/A 11.3 N/A 251.2 N/A 1'830
152 Cambodia 40.1 44.5 14.5 15.7 13.2 17.6 92.5 177.3 610
153 S. Tom & Principe 40.7 43.3 8.7 12.2 13.4 17.8 300.4 316.2 1'140
154 Zambia 41.3 52.9 29.8 33.0 20.8 25.8 73.3 108.8 970
155 Papua New Guinea 42.8 43.1 4.6 4.3 23.7 25.1 142.5 150.9 1'180
156 Mali 43.0 50.1 15.0 18.7 25.5 31.7 88.4 109.8 680
157 Mozambique 46.6 71.8 33.7 55.0 46.2 60.4 59.8 311.9 440
158 Comoros 49.1 53.7 13.8 17.9 33.5 43.2 534.5 690.8 870
159 Rwanda 56.9 58.1 34.4 21.2 36.3 53.1 224.5 267.6 460
160 Burkina Faso 58.5 62.6 25.6 24.6 49.9 63.2 194.2 4466.2 510
161 Togo 61.5 72.2 30.1 35.0 54.3 81.5 451.5 539.9 440
162 Madagascar 65.4 71.6 52.1 49.9 44.1 65.0 259.0 327.8 420
163 Zimbabwe 66.2 N/A 30.2 N/A 68.3 N/A 1353.2 N/A 360
164 Malawi 69.7 66.8 18.2 15.4 91.0 85.0 2408.0 4880.7 280
165 Niger 71.6 77.1 41.3 47.4 73.4 83.9 210.5 241.6 340
60
Chapter 3. The ICT Price Basket
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Chart 3.2: Relationship between the ICT Development Index and the ICT Price Basket
Source: ITU.
R = 0.8521
0
2
4
6
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0 10 20 30 40 50 60 70 80
IPB 2010
Pakistan
Bangladesh
Angola
Bhutan
Ghana
Kenya
Kyrgyzstan
I
D
I
2
0
1
0
62
Chapter 3. The ICT Price Basket
,1able 3.3, right,. lor countries in both groups, there
was a steep drop in the xed-broadband prices, and or
seeral countries, including Azerbaijan, Bhutan, Benin,
Kenya, Sri Lanka, 1anzania and Uganda, mobile taris
also came down considerably.
3.4 IPB sub-basket results and analysis
1he IC1 Price Basket is calculated on the basis o three
distinct price components - xed telephony, mobile-
cellular telephony and xed-broadband Internet serices
- which each include dierent subscription and usage
charges, such as the monthly subscription and a certain
number o calls and text messages ,ligure 3.1,. 1he
composition o each sub-basket is based on a vivivvv
usage leel, intended to renect rst and oremost user
patterns o low-income subscribers. 1he results o the
IPB are thereore an indication o relatie prices and
do not, or example, show what high-end users typi-
cally pay. Since the oerall IPB alue hides dierences
in the absolute and relatie prices o each o the three
distinct serices, it is useul to look at each component,
sub-basket separately.
Since the three sub-baskets reer to ery dierent ser-
ices which each hae their own pricing structures and
particularities, and despite the act that they are all based
on entry-leel plans, they are not strictly comparable.
Both the xed and the mobile-cellular telephone sub-
baskets include 30 oice calls, but the ormer includes
the monthly subscription, whereas the latter, based on
prepaid serices that do not include a monthly subscrip-
tion, includes 100 sms. 1he xed-broadband sub-basket
ally exceed the 100 per cent maximum or one o the
sub-baskets. 1his is the case or 19 deeloping countries,
where the xed-broadband sub-basket exceeds 100. lor
more inormation on the sub-baskets and the percent-
age changes between deeloped and deeloping regions,
see section 3.4.
Between 2008 and 2010, the steepest all in the IPB in
relatie terms was obsered in countries rom dierent
regions, and with arying income leels. Relatie prices
decreased by oer 50 per cent in Azerbaijan, Bhutan,
Sri Lanka, Bangladesh, Venezuela, Guyana, Uganda and
Austria ,1able 3.3, let,. 1he top ten countries with the
greatest IPB alue drop are countries with high IPB
alues and, apart rom Bangladesh, all are rom Arica
Table 3.2: ICT Price Basket and sub-baskets (averages), 2010 and 2008*
Note: *Simple averages. Discrepancies may be due to rounding. Both the 2008 and the 2010 averages are based on the 143 economies for
which data are available for both years.
Source: ITU.
Average 2008/2010 value decrease
2008 2010 Absolute Percentage
ICT Price Basket 15.2 12.4 2.8 18.3
Fixed-telephone sub-basket 6.2 5.8 0.4 6.8
Mobile-cellular sub-basket 11.0 8.6 2.4 21.8
Fixed-broadband sub-basket 165.0 78.9 86.1 52.2
Table 3.3: Ten economies with the greatest 2008-2010 decrease in the ICT Price Basket, by relative
change (in %, left) and absolute value change (right)
Source: ITU.
2010
Rank
Country
IPB
2010
IPB
2008
Relative
change
2008-
2010
(%)
Value
change
2008-
2010
53 Azerbaijan 1.8 9.9 81.7 -8.1
79 Bhutan 3.6 14.7 75.4 -11.1
63 Sri Lanka 2.4 7.3 67.4 -4.9
120 Bangladesh 12.6 36.4 65.2 -23.7
48 Venezuela 1.6 4.3 62.9 -2.7
112 Guyana 8.5 17.7 51.6 -9.1
135 Uganda 30.2 61.8 51.1 -31.6
11 Austria 0.6 1.1 50.4 -0.6
101 Moldova 5.4 10.8 49.8 -5.4
136 Tanzania 31.4 57.0 44.9 -25.6
2010
Rank
Country
IPB
2010
IPB
2008
Value
change
2008-
2010
Relative
change
2008-
2010
(%)
135 Uganda 30.2 61.8 -31.6 51.1
136 Tanzania 31.4 57.0 -25.6 44.9
157 Mozambique 46.6 71.8 -25.2 35.1
120 Bangladesh 12.6 36.4 -23.7 65.2
132 Nigeria 27.2 44.1 -17.0 38.4
138 Kenya 33.1 49.8 -16.7 33.6
130 Djibouti 24.7 40.4 -15.7 38.9
129 Mauritania 23.4 38.0 -14.6 38.4
147 Benin 38.5 50.2 -11.7 23.3
154 Zambia 41.3 52.9 -11.6 21.9
64
Chapter 3. The ICT Price Basket
Table 3.6: Ten economies with the greatest 2008-2010 decrease in the mobile-cellular sub-basket,
by absolute value change (left) and relative change (in %, right)
Source: ITU.
Rank Economy
Mobile
sub-
basket
2010
Mobile
sub-
basket
2008
Value
change
2008-
2010
Relative
change
2008-
2010
(%)
161 Togo 54.3 81.5 -27.2 -33.4
137 Chad 34.1 59.1 -25.0 -42.3
162 Madagascar 44.1 65.0 -20.9 -32.1
136 Tanzania 23.2 43.1 -19.8 -46.0
135 Uganda 31.8 50.4 -18.5 -36.8
159 Rwanda 36.3 53.1 -16.8 -31.6
134 Cte d'Ivoire 15.3 30.8 -15.6 -50.5
138 Kenya 17.0 31.5 -14.4 -45.9
157 Mozambique 46.2 60.4 -14.2 -23.4
160 Burkina Faso 49.9 63.2 -13.3 -21.0
Rank Economy
Mobile
sub-
basket
2010
Mobile
sub-
basket
2008
Relative
change
2008-
2010
(%)
Value
change
2008-
2010
11 Austria 0.4 1.2 -69.4 -0.8
4 HK, China 0.1 0.1 -63.2 -0.1
63 Sri Lanka 1.1 2.6 -56.7 -1.5
48 Venezuela 2.7 5.6 -52.8 -3.0
14 Finland 0.3 0.7 -51.1 -0.4
134 Cte d'Ivoire 15.3 30.8 -50.5 -15.6
136 Tanzania 23.2 43.1 -46.0 -19.8
138 Kenya 17.0 31.5 -45.9 -14.4
15 Sweden 0.4 0.8 -44.9 -0.3
149 Ethiopia 14.9 26.5 -43.7 -11.6
Measuring the Information Society 2011
71
Inequalities in broadband prices are renected in the di-
erent prices that people in deeloped and deeloping
countries pay. \hile broadband Internet access represents
1.5 per cent o incomes in deeloped countries, the gure
is 112 per cent in the deeloping countries ,Chart 3.8,.
1he top ten economies with the cheapest relatie
broadband prices are all high-income economies,
and include many o those ranked at the top o the
oerall IPB: Monaco, Macao ,China,, Israel, Liechten-
stein, the United States and Austria. In a total o 31
countries ,or 18 per cent,, people pay an equialent
o one per cent - or less - o their aerage monthly
GNI per capita or an entry-leel broadband connec-
tion ,1able 3.,.
On the other hand, the 2010 price data show that, in
19 countries, broadband prices correspond to more than
100 per cent o the monthly aerage GNI per capita,
suggesting that high-speed xed Internet access remains
unaordable or many citizens. Indeed, in Guinea, Malawi,
Zimbabwe and Lthiopia the monthly price or an Internet
connection is actually more than ten times the monthly
aerage income, and in a total o 32 countries ,20 per cent
Table 3.8: Ten economies with the greatest 2008-2010 decrease in fxed-broadband prices, by
absolute value change (left) and relative change (in %, right)
Source: ITU.
Rank Economy
Broad-
band
sub-
basket
2010
Broad-
band
sub-
basket
2008
Value
change
2008-
2010
Relative
change
2008-
2010
(%)
160 Burkina Faso 194 4466 -4272 -96
164 Malawi 2408 4881 -2473 -51
149 Ethiopia 1071 2721 -1651 -61
132 Nigeria 54 692 -639 -92
146 Swaziland 425 806 -381 -47
135 Uganda 36 375 -339 -90
157 Mozambique 60 312 -252 -81
145 Lao P.D.R. 190 435 -245 -56
150 Guinea 2595 2824 -229 -8
138 Kenya 60 261 -201 -77
Rank Economy
Broad-
band
sub-
basket
2010
Broad-
band
sub-
basket
2008
Relative
change
2008-
2010
(%)
Value
change
2008-
2010
160 Burkina Faso 194 4466 -96 -4272
132 Nigeria 54 692 -92 -639
135 Uganda 36 375 -90 -339
53 Azerbaijan 3 27 -88 -24
79 Bhutan 6 38 -84 -32
157 Mozambique 60 312 -81 -252
63 Sri Lanka 3 16 -81 -13
138 Kenya 60 261 -77 -201
120 Bangladesh 31 124 -75 -93
101 Moldova 5 18 -73 -13
Fixed-broadband
sub-basket 2008
Fixed-broadband
sub-basket 2010
35.4%
Developed countries Developing countries
2.4 1.5
112.2
10
30
50
70
90
110
130
150
234.9
Percentage
change (drop)
between 2008
and 2010
52.2%
%
o
f
G
N
I
p
e
r
c
a
p
i
t
a
Measuring the Information Society 2011
75
where prices are already ery high and penetration rates
low, as is the case in Guinea and Namibia.
Fixed-broadband prices: the regional and development-level
perspective
Although xed-broadband serices are much more ex-
pensie in deeloping countries, it is in these countries
that we see the greatest drop in prices. Between 2008
and 2010, xed-broadband prices ell by 52.2 per cent
speed o the entry-leel broadband package increased,
so the higher price proides customers with a higher
broadband speed ,Box 3.3,. In Panama and St Lucia,
or example, the entry-leel broadband plan in 2010
has an adertised speed o 1 Mbit,s, compared with
256 kbit,s two years earlier. In Australia, Sweden and
Iong Kong ,China,, broadband speeds were increased
to 1.5, 6 and 8 Mbit,s ,rom 0.256, 1 and 1.5 Mbit,s,,
respectiely. Iigher prices are more problematic when
they reer to the same transmission speed in countries
Box 3.3: Fast, faster, the fastest: diferences in broadband speeds, prices and data caps
The fxed-broadband sub-basket is based on an entry-level
plan that ofers a minimum speed of 256 kbit/s. While this
standard measure is necessary to be able to compare prices
across countries, there are major diferences between countries
and the advertised speeds in the 165 countries included in the
IPB2010 vary from the minimum of 256 kbit/s in the majority of
countries, to 8 Mbit/s in Austria and France, 30 Mbit/s in Monaco
and 50 Mbit/s in the Republic of Korea (see Table Box3.3). This
shows that there are major diferences not only in the price
for a basic fxed-broadband service, but also in terms of speed
and quality. Users in diferent countries will not share the same
online experience, since the speed of the connection will have
a major impact on download times, as well as on the quality
of the experience.
A comparison of monthly caps that limit the amount of data
that can be transferred within one month shows that, while
many operators ofer unlimited plans, others limit the amount
of free data per month, which means that subscribers have to
pay for data downloads that exceed this amount.
In addition to the difference in available speeds, the actual
speeds at which customers are able to download data vary
and can differ substantially from the speeds advertised by
operators. A recent study by Ofcom, the UK regulatory au-
thority, showed that Average download speeds remain less
than half of up to speeds advertised by some Internet service
providers (ISPs), particularly for current generation copper-based
ADSL services.
25
The actual speed that a broadband connec-
tion delivers is affected by a number of factors, including
how far away customers live from the telephone exchange,
how many other people in the same area are using the
same service at the same time, internal wiring and even the
weather.
26
This highlights the need for regulators to carry out
surveys and set standards in terms of broadband quality of
service and speed.
Table Box 3.3: Fixed-broadband Internet prices, caps and speeds, 2010, selected economies
Note: These fxed-broadband services refer to the entry-level subscriptions that ITU used in the 2010 IPB.
Source: ITU.
Country
Fixed-broadband
monthly subscriptions (USD)
Fixed-broadband
Internet monthly cap (GB)
Fixed-broadband
Internet speed (Mbit/s)
India 5.5 1 0.256
Syria 21.6 3 0.256
South Africa 27.4 2 0.384
Pakistan 14.2 Unlimited 1
Australia 36.9 2 1.5
Belgium 24.8 15 3
Austria 26.2 Unlimited 8
France 30.1 Unlimited 8
Japan 23.1 Unlimited 12
Portugal 26.3 30 12
Monaco 45.9 Unlimited 30
Korea (Rep.) 24.0 40 50
76
Chapter 3. The ICT Price Basket
Another important actor or the proision and price
o broadband serices is the aailability o sucient
international Internet bandwidth, particularly in
countries and regions where most Internet trac
would exit the country,region, such as Arica. Since
there are relatiely ew regional and national gateways,
and only a limited amount o national or regional con-
tent, Arica, in particular, depends on international
Internet bandwidth. I1U data show that a number o
Arican countries hae greatly increased international
bandwidth capacity oer the last ew years. 1hey
include, or example, Kenya, where international
bandwidth capacity has increased rom 829 Mbit,s
in 2008, to oer 202 000 Mbit,s in 2010. Uganda
and 1anzania, too, hae considerably increased their
international connectiity, and the construction and
expansion o a number o submarine-cable systems,
including Seacom
2
and Lassy
28
, hae played, and
continue to play, an important role in bringing down
end-user taris.
29
Although Arica`s ixed-broadband basket has
dropped by oer 50 per cent, the serice remains
prohibitiely expensie, and in 2010 still represented
almost three times the monthly aerage per capita
in deeloping countries, as against 35.4 per cent in de-
eloped countries.
Prices or IC1 serices continue to decrease across
the world`s regions, but the greatest relatie price drop
between 2008 and 2010 occurred in Arica`s xed-
broadband sub-basket, which ell by 55.2 per cent. 1he
CIS witnessed a similar decrease ,o 51.8 per cent, in
broadband prices oer the same period, ollowed by
Asia and the Pacic ,46.,, the Arab States ,34.,
and Lurope ,18.0,. 1he Americas displays the most
modest decrease in xed-broadband prices, and was the
only region where the decrease was below 10 per cent.
Deeloping countries beneted rom a higher price drop
,52.2, than deeloped countries ,35.4,, suggesting
that the broadband price diide is narrowing.
A positie deelopment in terms o broadband prices
is the increasing aailability o 3G mobile-broadband
networks and serices, which creates additional competi-
tie pressure on xed-broadband operators. In Morocco,
or example, two new mobile-broadband operators hae
exerted competitie pressure, and xed-broadband
prices hae decreased by 44 per cent oer the last two
years ,Box 3.4,.
Box 3.5: Both USD and PPP adjusted prices highlight the high cost of fxed-broadband services in
developing countries
For analytical purposes it is interesting not only to look at the
afordability of ICT services but to also show and compare
absolute US dollar values, as well as relative purchasing power
parity (PPP) prices, which take into account the local buying
power of a national currency.
A comparison of the 2010 USD values shows that for both
fxed-telephone and the mobile-cellular services, prices in USD
values are on average higher in developed than in developing
countries, refecting lower income levels in the latter group.
Fixed-broadband services, however, are on average much
more expensive in developing countries even in USD values
where the fxed-broadband sub-basket is on average more
than three times as costly. Broadband prices for 2010 also stand
out because they vary much more between countries, from as
little as USD 4.8 in Romania to as much as USD 1 752 in Cuba.
These fndings suggest not only a sharp price divide in terms of
broadband services but also point to the fact that broadband
remains prohibitively expensive.
This fnding is also upheld by the comparison of PPP prices:
For both fxed-telephone and mobile-cellular tarifs, developed
economies have higher PPP prices, refecting the fact that sa-
laries are higher and products and services cost more than in
developing countries. But the gap in prices between developed
and developing countries is smaller than in USD terms: In 2010,
the fxed-telephone sub-basket cost on average PPP$ 22.2 in
developed countries, compared in PPP$ 18.3 in developing
economies. The mobile-cellular sub-basket in developed
countries averaged PPP$ 31.9, compared with PPP$ 25.6 in
developing countries.
30
The situation is diferent for high-speed Internet access. First,
in PPP$ terms, subscribers in developing countries pay more
than those in developed countries. Second, a comparison of
2010 broadband prices shows that in stark contrast to fxed-
telephone and mobile-cellular prices people in developing
countries had to pay fve times the price paid in developed
countries. The relatively high price for broadband services in
developing countries is further highlighted by comparing the
price of the three sub-baskets with each other. In developed
countries, the three sub-baskets vary between just PPP$ 22.2
and PPP$ 31.9, with mobile-cellular being the most expensive
sub-basket. In developing countries, the sub-basket values vary
between PPP$ 18.3 and PPP$ 144.0, with the fxed-broadband
sub-basket being the most expensive sub-basket (Chart Box 3.5).
At the same time, between 2008 and 2010, fxed-broadband
prices in developing countries have decreased considerably, in
both PPP$ and USD, and much more markedly than the other
ICT services. While comparisons show that the PPP$ prices for
fxed-telephone and mobile-cellular services have changed
little over time, they have come down by 45.5 per cent for
broadband services. This compares with a much more mode-
rate price decrease of 10.7 per cent for broadband services in
developed countries.
Chart Box 3.5: ICT price sub-baskets by level of development, PPP$, 2008 and 2010
Source: ITU.
22.0
34.2
31.2
17.0
28.1
260.6
0
50
100
150
200
250
300
Fixed-telephone Mobile-cellular Fixed-broadband
Developed
Developing
P
P
P
$
2008
Developed
Developing
22.2
31.9
27.9
18.3
25.6
144.0
0
50
100
150
200
250
300
Fixed-telephone Mobile-cellular Fixed-broadband
P
P
P
$
2010
Measuring the Information Society 2011
79
subscriptions and dedicated data subscriptions ,ia a
modem,dongle,, and are based on plans that proide
1 GB o monthly download olume, which is in line
with the xed-broadband cap used to calculate the
xed-broadband sub-basket o the IPB.
1his tari collection exercise reealed that comparisons
ace a number o challenges. Operators do not always
clearly label their dierent mobile-broadband serices
to show whether they reer to standard mobile subscrip-
tions or to dedicated serices. In many cases, mobile-
broadband serices or a standard mobile subscription
are only aailable in combination with other serices,
such as oice or sms. Oten, although serices are
adertised as including unlimited` data olumes, most
operators actually limit upload and download olumes
by reducing the speed ater a certain olume has been
exceeded. Many o them only proide this inormation
in a ootnote, ar rom clearly isible or customers,
who need to make sure that they read the ne print.
In some cases, the speed o mobile-broadband access
is not indicated, which urther adds to the diculty o
making comparisons. linally, adertised speeds usually
represent a maximum speed rather than an aerage, so
users may end up with a much slower connection than
they ocially subscribe to and pay or.
A number o conclusions may be drawn based on the
taris collected or some 20 economies rom dierent
regions and with arying deelopment leels ,1able 3.9,:
Peoe iv aereoivg covvtrie. a, reatire, vore: Prices
or a monthly subscription o 1 GB download
olume ary considerably in USD, rom about
USD 4 in Viet Nam and Sri Lanka to oer USD
40 in South Arica and Germany, and around
USD 80 in Brazil. In relatie terms, and compared
to income leels, mobile-broadband prices are
more expensie in deeloping than in deeloped
countries, a nding that is in line with the results
or the IPB`s xed-broadband taris. In India,
Mali, Kenya and Brazil, the monthly price or
mobile-broadband serices exceeds ten per cent
o the monthly GNI per capita. In all deeloped
economies included in this analysis, prices corres-
pond to less than two per cent ,and most oten
een below one per cent, o the aerage income.
v abovt baf tbe covvtrie., 1 C of aata i. cbeaer orer
tbe vobie vetror: A comparison o ,postpaid,
mobile-broadband and ,postpaid, xed-broad-
band subscriptions shows that in about hal o
the countries coered - Australia, Chile, linland,
that, by the end o the rst quarter o 2011, the number
o mobile-broadband subscriptions had surpassed
1 billion - almost twice the number o xed-broadband
subscriptions, up rom less than 200 000 our years earlier.
New technological deelopments and progress, simpli-
ed and user-riendly billing methods and serices and
improements in end-user deices ,particularly smart
phones, hae nally made mobile broadband a reality.
Many goernments hae responded to these changes
by redening broadband policies and adjusting targets.
Gien these deelopments, it is important to examine
mobile-broadband prices, and I1U is considering adding
a mobile-broadband sub-basket to the IC1 Price Basket.
As opposed to 2G or 2.5G networks, the third gen-
eration o mobile telephony oers unprecedented
bandwidth, allowing users to access the Internet and
other high-bandwidth multi-media applications. 1his
means that, besides basic oice and sms,mms serices,
it proides broadband access to the Internet, preiously
resered or users o xed-broadband technologies.
Mobile-broadband subscriptions reer to actie mobile-
cellular subscriptions that hae access to data commu-
nications ,the Internet, at broadband speeds. 1he term
mobile broadband` coers dierent types o technolo-
gies, including \CDMA and CDMA 1xLV-DO. It reers
to standard mobile subscriptions ,used or data appli-
cations, including access to the Internet, ia a mobile
phone,, but also to dedicated data serices that use the
mobile network and that are purchased separately rom
oice serices, either as a standalone serice ,modem,
dongle, or as an add-on data package to oice serices,
which requires an additional subscription.
1he multitude o mobile-broadband subscriptions
and access deices contributes to the diculty o un-
derstanding and measuring the serice, making price
comparisons challenging. \hile the possibility o
including a mobile-broadband sub-basket in the IPB
has been raised, this will require urther discussion and
consultation. Since not all countries hae launched 3G
mobile-broadband serices, the inclusion o a mobile-
broadband sub-basket would also currently limit the
number o countries in the IPB.
Gien the importance o mobile-broadband access,
particularly in countries where xed-broadband access
is limited, I1U has started to examine mobile-broadband
prices or a limited number o economies. Prices or
mobile-broadband serices were collected directly rom
operators` websites during the rst quarter o 2011.
Price data were collected or both standard mobile
80
Chapter 3. The ICT Price Basket
package, regardless o the access deice. I price
dierences exist, this is usually because o a di-
erence in the data capacity that is included in the
package, or because the oer is tied to an existing
mobile-cellular oice subscription. In Canada and
the United States, or example, the adertised price
or the standard mobile-cellular data subscription
is aailable ov, or customers that already hae a
Rogers,Verizon oice subscription. Operators
may also oer dierent price packages to accom-
modate dierent usage patterns. lor example,
usage olumes tend to be lower or mobile-handset
users, and dongle,modem packages oten include
a greater allowance,cap. In Germany, or example,
1-mobile`s mobile-broadband package or cell-
phone users proides high-speed access until
200MB ,ater which speeds decrease to 64 kbit,s,,
while the dongle subscription includes 3 GB o
data olume. In the Russian lederation, the price
or the dongle subscription includes 2 GB, as
against only 1 GB or the standard mobile-cellular
data packages.
1hese ndings suggest that, based on a limited ,1 GB,
amount o data olume, and in comparison with xed-
broadband oers, mobile-broadband packages are
competitie in terms o price, and aster in terms o ,ad-
ertised, speed. At the same time, the mobile-broadband
market is still relatiely nascent in most countries and ex-
pected to grow quickly oer the next ew years. Increasing
economies o scale, inter- and intra-modal competition
and urther technological adances are likely to help the
market mature urther, by making serices cheaper and
aster. An important challenge that operators will need to
address is the growing demand or transmission capacity,
particularly i mobile-broadband access is to compete
with xed access. 1he act that most operators` packages
limit access by imposing caps and restricting usage olume
highlights the current limitations o mobile-broadband
networks - and the need to oercome them.
Germany, Kenya, Lithuania, Sri Lanka, United
Arab Lmirates and Viet Nam - the xed-broad-
band 1 GB subscription is more expensie than
the mobile-broadband subscription.
Mobiebroaabava v.er. get vore for tbeir vove,:
Based on 1 GB o data olume, and taking into
account the ,theoretical, speeds o the dierent
packages, mobile-broadband users get more or
their money, since the entry-leel mobile-broad-
band ,theoretical, speeds are much higher than
those or xed broadband. Lxcept in Chile and
linland, mobile-broadband speeds ar outstrip
the speeds oered with the entry-leel xed-
broadband subscription in all countries. It is
important to note that a comparison based on
unlimited plans would yield ery dierent results,
since many xed-broadband packages are truly
unlimited, whereas most mobile-broadband plans
hae a cap. One exception is linland, where both
the standard mobile-cellular broadband and the
dongle packages oer truly unlimited data access.
Mobiecevar broaabava rice. aeeva ov tbe .vb.critiov
t,e ava ca .ie, vot tbe evaaerice: Dierent price pac-
kages or mobile-broadband serices reeal that
postpaid taris tend to be cheaper, usually because
operators oer lower taris wheneer they can
count on a predetermined leel o consumption
and hence reenue, or instance when customers
o postpaid subscriptions are tied to a contract
or a minimum o either 12 or 24 months ,which
is oten the case,. 1he end-deice that is used
to access data, on the other hand, is not actually
releant to operators and there should not be any
price dierence between packages oered or
mobile-cellular broadband users or or those that
will access the Internet using a modem,dongle.
Indeed, operators in a number o countries, in-
cluding Morocco, India and Mali, oer the same
Measuring the Information Society 2011
81
T
a
b
l
e
3
.
9
:
M
o
b
i
l
e
-
b
r
o
a
d
b
a
n
d
a
n
d
f
x
e
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82
Chapter 3. The ICT Price Basket
Endnotes
1
\hile many goernments ,usually telecommunication,IC1 regulatory authorities, and seeral regional and international organizations,
including OLCD and the \orld Bank, collect and publish price data or selected telecommunication serices, these are usually limited
to a country, a region or a single telecommunication serice. lor dierent examples o prices that are being tracked, see Chapter 6 o
I1U ,2009,.
2
See, or example, http:,,www.techtree.com,India,News,Kobian_Uneils_Low-Cost_Mobile_Phones,551-114330-893.html and
http:,,www.itu.int,I1U-D,ict,newslog,Multi-SIM-Mobile-Phones-Account-lor-385-O-Indian-Phone-Sales.aspx.
3
See, or example, http:,,www.inormationweek.com,news,mobility,smart_phones,showArticle.jhtmlarticleID~2250059.
4
lixed broadband, as per the I1U denition in the \orld 1elecommunication,IC1 Indicators handbook, is dened as subscriptions to
high-speed access to the public Internet ,a 1CP,IP connection,, at downstream speeds equal to, or greater than, 256 kbit,s.
5
1he speed o the entry-leel broadband plan proided by the operator used in the calculatation o the IPB has increased rom
256 kbit,s in 2008 to 1 Mbit,s in 2010, in Jamaica, Sloenia, St. Lucia, Pakistan, Panama and 1unisia.
6
Income leels are expressed as gross national income ,GNI, per capita.
\hile the IC1 Price Basket is a useul tool or assessing the eects o dierent policies, it is important to remember that not all regu-
latory changes will hae an immediate impact on prices. Certain policies may take some time beore they result in any concrete change
in taris. Others, such as the reision o interconnection charges, may hae a more immediate impact.
8
lor more inormation on the choice o the three sub-baskets, reer to the section on vetboaoog,.
9
\orld Bank, USD, Atlas method.
10
1he I1U 1ari Indicators Questionnaire has been sent to national statistical contacts once a year, since 2009. Beore that, taris were
collected as part o the regular ,long, I1U \orld 1elecommunication,IC1 Indicators questionnaire.
11
lor this, the aerage annual UN operational rate o exchange was used.
12
1he mobile-cellular sub-basket reers to a 30-call basket, which is the entry-leel basket o the 2009 OLCD methodology ,see OLCD
,2010a,, pp. 13-14,, but with the ollowing dierences: the 2009 OLCD methodology is based on the taris o the two largest mobile
operators. 1he I1U mobile-cellular sub-basket uses ,only, the largest mobile operator`s taris. Additionally, the I1U mobile-cellular
sub-basket does not take into account calls to oicemail ,which in the OLCD basket represent 4 per cent o all calls,.
13
lor the 2008 IC1 Price Basket, 2008 PPP conersion actors, the 2008 UN conersion rate and 2008 GNI per capita data were used.
lor the 2010 IPB, 2009 alues were used in all three cases, as 2010 data were not yet aailable.
14
lor example, i country A and country B hae the same price in USD or any gien IC1 serice, but in country A prices o other pro-
ducts are in general cheaper ,in USD,, then applying PPP exchange rates to the IC1 serice price in country A will make this serice
more expensie. 1his is because, compared to country B, in country A the same amount o USD ,exchanged into national currency at
market exchange rates, can buy more products or serices. 1hereore, the IC1 serice in country A is more expensie in terms o what
could be bought with that amount in each country. 1he International Comparison Program ,ICP, is the major global initiatie to pro-
duce internationally comparable price leels. It is oerseen by a Global Oce housed in the \orld Bank and is implemented through
the national statistical oces o 10 countries. 1ogether with the OLCD,Lurostat PPP data, it proides PPP data or all countries o
the IC1 Price Basket, except or the Bahamas, Cuba, Liechtenstein, Monaco, San Marino and Zimbabwe. lor more inormation on
PPP methodology and data, see http:,,www.worldbank.org,data,icp.
15
1he \orld Bank`s Atlas method is used or the Bank`s ocial estimates o the size o economies in terms o GNI conerted to
current USD. GNI takes into account all production in the domestic economy ,i.e. GDP, plus the net nows o actor income ,such as
rents, prots and labour income, rom abroad. 1he Atlas method smooths exchange-rate nuctuations by using a three-year moing-
aerage, price-adjusted conersion actor. See: http:,,econ.worldbank.org,\BSI1L,LX1LRNAL,DA1AS1A1IS1ICS,0,,contentM
DK:20452009~pagePK:64133150~piPK:6413315~theSitePK:239419,00.html.
16
1he main reason the IPB does not take into account dierent packages rom dierent operators is that it is not easible or most
countries to collect and compile price comparisons or seeral operators and packages.
1
See: http:,,www.erizonwireless.com,b2c,store,controlleritem~planlirst&action~iewPlanList&sortOption~priceSort&typeId~1
&catId~323&sel~ind.
18
See: http:,,www.bob.at,bigbob. Please note that customers need to pay a one-time charge o LUR 15 to be able to use the Big Bob
tari plan.
19
lor concrete examples o exceptions and concrete country examples, please reer directly to the sub-basket sections.
20
Prices are relatie in two ways: rst, the IPB alue, on which the ranking is based, is expressed as a percentage o countries` aerage
monthly GNI per capita. Second, the alue does not indicate how much citizens need to pay or all o the three IC1 serices. Rather, it
represents an aerage relatie cost, since the sum o the three IC1 prices is diided by three. 1he alue should thereore be seen as an
indication o cost that is primarily used to compare and benchmark countries with each other.
21
linancial 1imes, Cbief of CC ca. for ivtervet .vb.ia,, 8 lebruary, 2011, see:
http:,,www.t.com,cms,s,0,4605b2-3318-11e0-9a61-00144eabdc0.html4axzz1G0o8Cx48.
22
I1U \orld 1elecommunication,IC1 Indicators questionnaire 2011, response rom Nauru`s Ministry o 1ransport & 1elecommunica-
tions.
Measuring the Information Society 2011
83
23
1he 30 calls are distributed across the dierent networks ,mobile and xed,, at dierent durations. In total, the 30 calls correspond to
50.8 minutes o calls. lor more details on the call distributions and lengths in the OLCD,1eligen methodology, see Annex 1able 2.1.
24
Costa Rica`s mobile market was opened to competition in late 2010 with the assignment o two licenses. 1he ,two, new entrants are
expected to start operations at the end o 2011.
25
See http:,,media.ocom.org.uk,2011,03,02,aerage-broadband-speed-is-still-less-than-hal-adertised-speed,.
26
See http:,,www.uswitch.com,broadband,broadband-speeds,.
2
See http:,,www.seacom.mu,index2.asp.
28
See http:,,www.wiocc.net,eassy.htm.
29
See allarica.com, Uganda: 1hird Internet cable starts operation, 11 August, 2010, at: http:,,allarica.com,stories,20100811032.html.
30
1he regional 1ables 3.5, 3.6 and 3.9 show that all regions hae higher PPP> prices than USD prices. 1his is because eery regional
grouping used in the analysis includes a number o low or lower-income countries, where purchasing-power-parity adjusted dollars are
usually higher than USD.
Measuring the Information Society 2011
85
and NGAs are necessary to meet current and uture
user needs or adanced broadband serices.
\hile second-generation ,2G, mobile-cellular serices
hae been identied as a major deelopment enabler, the
potential o broadband Internet goes ar beyond simple
telephony and text messaging. A number o studies hae
highlighted that broadband is linked to oerall economic
deelopment.
2
Broadband is also critical to achieing
a number o other deelopment goals, including the
Millennium Deelopment Goals ,MDG,. 1his is being
adocated by the Broadband Commission or Digital
Deelopment, which has called upon leaders rom the
public and priate sectors to address the importance o
uniersal access to broadband networks, especially in the
achieement o the MDG.
3
Both the IC1 Deelopment Index ,IDI, and the IC1
Price Basket ,IPB, recognize the importance o broad-
band Internet in the oerall IC1 deelopment debate.
1he IDI includes seeral broadband-related indicators,
including mobile-and ixed-broadband penetration,
international Internet bandwidth and Internet use. One
o the three IPB sub-baskets measures the cost and a-
ordability o xed-broadband access. 1hese indicators
were chosen to benchmark broadband deelopments
because they are readily aailable and comparable or a
large number o countries.
1here are high expectations not only that broadband Inter-
net access will become a key deelopment enabler but also
that it will be possible to replicate the mobile success story
Chapter 4. Understanding
broadband: addressing issues
of capacity, speed and quality of
service
4.1 Introduction
1he IC1 or deelopment debate is witnessing an obious
shit: the ocus is no longer on the mobile-cellular miracle,
but is moing to the need or broadband Internet access.
Ambitious policy-makers are trying to set the right regu-
latory stage while simultaneously calling upon inestors,
operators and deice manuacturers to learn rom and
leerage the mobile success story. 1he goal is to roll out
high-speed broadband networks and to make broadband
Internet access widely aailable and aordable.
At the same time, there is a growing debate about the
meaning and the impact o broadband. Ostensibly a
simple term, broadband` entails a number o com-
plex issues - in terms o technologies, speeds and
quality o serice. In examining today`s broadband
deelopments, there is a growing need to go beyond
analysing just the number o broadband subscrip-
tions, which are dened as an Internet connection
proiding the user with a minimum downstream speed
o 256 kbit,s ,see Box 4.1,. Other actors, relating
to broadband speed and quality in particular, need to
be taken into account to determine the uptake - and
potential impact - o broadband. 1hese issues are
particularly releant as there are signs that the world
is acing a growing diide in terms o the speeds and
quality that users are experiencing. 1his is partly due
to increasing dierences in the aailable national and
international backbone inrastructure, and in the leel
o deployment o next-generation access networks
,NGAs,.
1
Both high-capacity backbone inrastructure
86
Chapter 4. Understanding broadband: addressing issues of capacity, speed and quality of service
acing a number o new challenges linked not only to
the proision o serices, but also in terms o backbone
inrastructure and international Internet connectiity.
1he main objectie o this chapter is to look at recent de-
elopments in broadband across the world and to address
some o the issues which need to be considered in order
to understand the deelopment potential o broadband.
1hese issues are linked to the capacity, speed and quality
o serice that high-speed broadband networks delier,
all o which are aected not only by the national and
international Internet backbone inrastructure but also
by the broadband access technologies that connect the
end user. A more in-depth analysis o broadband will not
only highlight substantial dierences in broadband ser-
ices between countries and regions, but also point to the
need or goernments to identiy appropriate measures
and indicators to track the real broadband diide.
4.2 From narrowband to broadband
As highlighted in Chapter 1 o this report, the number
o broadband subscriptions has increased substantially
oer the last ten years. \hile xed broadband was the
exclusie means o access or a high-speed Internet con-
so as to make broadband ubiquitous. 1his is a prerequisite
or moing towards the vtervet of 1bivg., i.e. a wholly con-
nected enironment where objects such as cars, energy
grids or home appliances will automatically exchange
inormation to improe their capabilities and eciency.
6
1his is starting to happen, with some 81 million machine-
to-machine ,M2M, mobile data connections worldwide in
2010, and a total o 294 million projected or 2015.
lurther
deelopment and ubiquity o mobile-broadband networks
will be necessary in order to achiee such a scenario, and
to ensure that no country is let behind.
Another important reason which raises hopes that broad-
band will become a widespread deelopment tool is the
technological adancements made in mobile-cellular tech-
nologies themseles. 1he path rom 2G to IM1-2000,3G
and now to IM1-Adanced,4G mobile networks is ex-
pected to help oercome existing inrastructure barriers,
and has already had a major impact on the aailability and
use o mobile-broadband Internet.
Rapid mobile-broadband deelopments in the deeloping
countries and increasing reliance on mobile-broadband
technologies to address the digital diide make the ques-
tion o what constitutes broadband particularly press-
ing. As more and more people come to rely ,solely, on
mobile-broadband access, operators and regulators are
Table 4.1: Percentage of the population covered by a 2G/3G network, selected countries, 2009 and 2010
Source: ITU.
2G population coverage (%) 3G population coverage (%)
2009 2010 2009 2010
Australia 99 99 99 99
Belarus 99 100 59 67
Belgium 100 100 97 97
Brazil 97 100 55 67
Ghana 75 77 35 36
Malaysia 95 95 74 81
Qatar 100 100 95 95
88
Chapter 4. Understanding broadband: addressing issues of capacity, speed and quality of service
F
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Figure 4.2: Fixed (wired)- and wireless-broadband technologies speed versus mobility
Source: ITU.
IMT-Advanced (4G)
IMT-2000
(3G)
Speed
High
Satellite
xDSL
Cable
Fibre
(FTTH/FTTB)
Desktop
computer
Mobile phone
Device
Low High
Fixed WiMAX Mobile
WiMAX
UMTS
CDMA2000
GPRS
LTE Advanced
WirelessMAN-Advanced
Wi-Fi
Low
Location
Scenarios
Hotspots Hot zones
Fixed
Global coverage Home/office
Mobility
GPRS (2G)
PSTN
Dial-up
EDGE
B
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B
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Park and connect On the move
Laptop computer
Fixed (wired)
Wireless
Measuring the Information Society 2011
91
tions now represent oer 5 per cent o all Internet
subscriptions. Data rom the regulator also show that
oer 5 per cent o all actie mobile-broadband sub-
scriptions are data only` subscriptions ,or dedicated
mobile data subscriptions, that are usually used oer
a modem or dongle.
16
Gien these deelopments, it is essential to understand
the speed and quality o serice that mobile-broadband
technologies can delier in order to cater not only or
indiidual users but also or businesses, goernment
and other public or priate organizations. 1hese issues
will help ascertain whether mobile broadband can truly
replace xed-broadband Internet access and delier the
same deelopment potential.
User needs depend on the type o user ,indiidual,
business, organization, and on the type o serice
or application that the end user is accessing oer
the Internet. 1able 4.3 highlights the importance o
broadband speeds, and points to the limited user ex-
perience that someone with a 256 kbit,s connection
,i.e. the minimum speed qualiying as broadband, will
get. \hile it will already take e seconds to iew the
Google homepage, downloading a 5 MB music track
will take oer 2.5 minutes. A 20 MB ideo clip will
take oer ten minutes to download ia a 256 kbit,s
connection, compared with two seconds ia a 100
Mbit,s connection. Clearly, a minimum broadband
connection is not suited to accessing data-intensie
sites or applications, or to watching ideos, which
requires much higher speeds to obtain a minimum
o quality and reasonable download times.
networks` are not in line with the I1U requirement that
4G should achiee a peak download speed o up to ap-
proximately 100 Mbit,s in a high-mobility enironment
,e.g. using a mobile phone, and up to 1 Gbit,s in a low-
mobility one ,e.g. local wireless access,.
Deelopments in xed-broadband networks are extend-
ing the bre network rom the core, and bringing it
closer or direct to the end user. Cable networks are also
being upgraded to DOCSIS 3.0, which enables connec-
tions at ery high speeds, in line with those currently
being proided by commercial bre connections.
15
1he types o technologies and the speeds that they
delier matter because these actors also determine
the quality o serice and the user experience. In ad-
dition, more and more people are relying on a mobile-
broadband ov, connection. Unlike in most deeloped
countries, in deeloping countries mobile-broadband
technologies are not complementing, but rather substi-
tuting, xed-broadband connections, which are lacking
in many areas o deeloping countries. In Kenya, or
example, data rom the Communications Commission
o Kenya ,CCK, show that only a ery small percent-
age o the population today relies on xed Internet
access and vtervet .vb.critiov. tbrovgb CPR,DC
ava C vetror. ., accovvtea for . er cevt of tbe tota
.vb.critiov.. In Morocco, the total number o actie
mobile-broadband ,3G, subscriptions has grown at
oer 21 per cent in the rst quarter o 2011, compared
with eight per cent or ADSL subscriptions ,the main
xed-broadband technology in the country,. As a
result, the country`s actie mobile-broadband subscrip-
Table 4.3: Time needed to download online content at diferent connection speeds
Source: ITU calculation.
Note: * Rounded values.
Content
Actual connection speed (hh:mm:ss)
256kbit/s 2Mbit/s 10Mbit/s 100Mbit/s
Google homepage (160 KB) 00:00:05 00:00:01* 00:00:13 00:00:00*
Music track (5MB) 00:02:36 00:00:20 00:00:04 00:00:00*
Video clip (20MB) 00:10:25 00:01:20 00:00:16 00:00:02*
CD / low-quality movie (700MB) 06:00:00 00:47:00 00:09:20 00:00:56
DVD / high-quality movie (4GB) 34:17:00 04:29:00 00:53:20 00:05:00
92
Chapter 4. Understanding broadband: addressing issues of capacity, speed and quality of service
in Panama and Colombia, they represent almost
one-third o all xed-broadband subscriptions. 1he
adantage o haing both xDSL and cable, as well
as other xed- and mobile-broadband technologies,
is that it increases the leel o competition based on
independent networks.
In Arica, where cable networks do not exist and
where only ew countries proide bre access to
the home or business, xed-broadband serices are
deliered oer the xed-telephone network, through
xDSL technology. 1he ery limited aailability o the
xed-telephone network, howeer, eectiely limits
the uptake o xed-broadband serices.
In an eort to bring an increasing amount o band-
width and the highest speeds aailable directly to
homes and businesses, many deeloped countries,
and a growing number o deeloping countries, are
promoting bre deployments, which are superior in
terms o the speeds and quality that they can delier
to the end user. \hereas in the Republic o Korea,
Japan and some other countries l11I,B penetra-
tion rates are relatiely high, bre connections remain
the exception in most countries. Only 26 economies
worldwide hae more than one per cent o their
households,buildings connected to a ibre-optic
network. 1his list is led by a number o deeloped
and deeloping economies rom the Asia and the
Pacic region, and includes countries such as 1urkey,
China, the Russian lederation and the United Arab
Lmirates ,Chart 4.2,.
Although l11I,B broadband connections hae
the capacity to oer the highest speeds currently
aailable, the actual speeds to which households and
businesses subscribe can ary greatly and depend
on user needs, as well as on the commercial oers
aailable. At the same time, there are also dierences
in the speeds proided by dierent xDSL and cable
technologies, with the result that a comparison o
technologies ov, will not proide an exact picture
o the situation.
lor deeloping countries, the most signicant deel-
opment in terms o access to broadband networks has
been the progress made in wireless, and in particular
mobile, broadband technologies and serices. 1hird-
generation ,3G, mobile-broadband serices hae
increased the choice or deliering high-speed Inter-
net access to the end user and in many cases created
additional acilities-based ,inter-modal, competition.
Broadband access technologies
One way o looking at the speed and quality o broad-
band access is rom the angle o the technology used,
since dierent technologies to which broadband users
connect are each associated with maximum speeds.
In terms o the last-mile access inrastructure, both
xed ,wired, and wireless technologies proiding a
minimum o 256 kbit,s are considered as broadband,
although major dierences in speeds and quality ex-
ist, with xed technologies proiding higher access
speeds than wireless technologies.
\hile the dominant xed-broadband technology
worldwide continues to be xDSL ,accounting or
about 65 per cent o the world`s total,,
1
cable modem
and bre optic are also important broadband tech-
nologies. Cable networks are practically non-existent
in some regions o the world ,particularly Arica,, but
remain an important and growing access technology
in others, or example the Americas. In Canada and
the United States ,Chart 4.1,, there are more cable
than xDSL subscriptions, in Chile, nearly a hal o
all broadband connections are through cable, and
Box 4.2: The spectrum crisis: struggling to keep up the speed, capacity and quality of mobile services
One of the major issues arising from the rapid increase in mo-
bile-broadband subscriptions and data trafc is the spectrum
crisis,
19
a situation where demand exceeds the mobile-cellular
networks capacity and which afects mobile operators that are
unable to maintain the quality of data services. One example is
the problems that smartphone customers have encountered in
New York City, where a severely overloaded 3G network has led
to dropped calls and slow data speeds.
20
There are a number
of approaches now being adopted to deal with the fact that
spectrum is a fnite resource that can only accommodate a
limited number of users and amount of data.
First, governments are looking into the efective and efcient
use of frequencies that will provide mobile operators with suf-
cient spectrum. This also includes the use of spectrum from the
digital dividend resulting from the switchover from analogue
to digital television broadcasting,
21
or the refarming of bands to
make them available for mobile-broadband services.
Another way to overcome spectrum limitations is to distribute
the burden on 3G mobile-broadband networks by ofoading
trafc to other networks, including WiFi hotspots and femtocells.
More and more operators across the world are taking advantage
of ofoading and operators are working closely with handset
and hardware manufacturers to provide users with a seamless
connectivity experience between 3G mobile-broadband and
WiFi networks.
22
There are also a number of eforts to fnd innovative techno-
logical solutions to the spectrum crunch, such as the use of
femtocells, as well as looking into regulatory mechanisms to
overcome bottlenecks in mobile-broadband infrastructure.
23
Finally, operators in developed and developing countries have
been turning to metered data plans so as to be able to limit the
amount of data transported over mobile-broadband networks.
As opposed to fxed-broadband subscriptions, which often ofer
unlimited access to data, mobile-broadband subscriptions are
typically capped. Once specifed limits have been exceeded, users
have either to pay extra costs, or to accept lower transmission
speeds. Few operators around the world now ofer truly unlimited
3G plans and some that did have been forced to change tarif
schemes to deal with increased data fows and to protect their
networks. In the United States, Verizon announced in June 2011
that it was going to end its USD 30 ofer for unlimited data ac-
cess.
24
In the Republic of Korea, Korea Telecom has ceased ofering
unlimited data plans to new customers.
25
While this approach
can help operators deal with overloaded networks, it is not an
ideal solution for all users, since it efectively limits the type and
amount of services and applications that can be used, which will
in turn discourage users from accessing data-intensive services.
It seems like a particularly constraining solution for many people
in developing countries, and in cases where mobile broadband
is the only access technology available.
96
Chapter 4. Understanding broadband: addressing issues of capacity, speed and quality of service
Mexico, the astest aailable speed oered by the in-
cumbent is 5 Mbit,s.
In deeloping countries, maximum adertised speeds
tend to be lower than those in most OLCD coun-
tries ,Chart 4.5,. Moreoer, in some cases, although
relatiely ast ixed-broadband subscriptions are
aailable, high prices make them unaordable or a
majority o the population. In September 2010, the
per cent in Germany. Indeed, in the United Kingdom,
99 per cent o all subscriptions are aboe 2 Mbit,s.
OLCD collects data on the astest adertised broadband
speeds ,all technologies included, oered by incumbent
xed operators. September 2010 data show great dispari-
ties between countries ,Chart 4.5,. \hile in Sweden the
astest adertised speed is 1 Gbit,s, operators in Greece
and New Zealand oer as a maximum 25 Mbit,s. In
Chart 4.5: Fastest broadband speeds advertised by the incumbent telecommunication operator,
Mbit/s, all technologies, OECD and selected non-OECD countries, 2010/11
Note: Data do not necessarily refect the fastest advertised broadband speeds among all operators within the country. For instance, in
Brazil cable-broadband provider Net is ofering speeds up to 100 Mbit/s, but the incumbent Oi only ofers speeds up to 20 Mbit/s.
Source: OECD for all OECD countries. For India, United Arab Emirates, Thailand, Brazil, Russian Federation, South Africa, Indonesia and Kenya,
the source is ITU based on data obtained from the website of the largest fxed-broadband provider (in terms of subscriptions) in
each country, except for those cases where tarifs were not clearly advertised on the incumbents website. In particular, data are
sourced from the following broadband providers websites: Oi (Brazil), Wplus (Russian Federation), Telkom (Indonesia), TOT (Thai-
land), BSNL (India), Telkom/Orange (Kenya), Telkom (South Africa), Etisalat and Du (United Arab Emirates).
5
10
16
16
20
20
20
20
25
25
25
26
26
31
31
31
31
31
41
41
51
51
51
51
82
82
102
102
102
102
102
205
205
0 50 100 150 200
Mexico
Chile
Czech Republic
Iceland
Italy
Luxembourg
Poland
Switzerland
Greece
Ireland
New Zealand
Canada
Spain
Australia
Austria
Belgium
Israel
Turkey
Netherlands
United Kingdom
Denmark
Germany
Norway
United States
Hungary
Slovak Republic
Estonia
Finland
France
Korea (Rep.)
Slovenia
Japan
Portugal
Sweden
OECD countries, September 2010
1 024 Mbit/s (1 Gbit/s)
2
3
10
12
20
30
30
100
0 20 40 60 80 100 120
Kenya
Indonesia
South Africa
Russia
Brazil
Thailand
UAE
India
Selected non-OECD countries, July 2011
Mbit/s
Mbit/s
98
Chapter 4. Understanding broadband: addressing issues of capacity, speed and quality of service
linally, it is important to note that the actual speed
experienced by xed- and mobile-broadband cus-
tomers may be much lower than the theoretical and
adertised speed.
1o truly grasp the potential impact that broadband
Internet access can hae, and to be able to compare
countries, it is thereore important to track and meas-
ure actual speeds.
A recent Ocom study reealed that actual speeds
or xed broadband were only hal those ader-
tised, especially or ADSL customers,
29
and lCC has
come to the same conclusion in the United States.
30
Increasingly, regulators and operators are eager to
monitor speeds and establish minimum standards.
In Bahrain, or example, the 1elecommunications
Regulatory Authority publishes quarterly reports
measuring aerage download and upload speeds or
xed connections.
31
A comparison o actual speeds
achieed or a 2 Mbit,s connection between January
and March 2011 showed that, during peak hours,
the aerage connection speed was haled, to only
1 Mbit,s. 1he actual maximum speed achieed during
o-peak hours was just aboe 1.5 Mbit,s ,Chart 4.6,.
A number o regulators carry out sureys through,
or proide links to, third-party applications or meas-
Box 4.3: Sri Lanka Telecommunications Regulatory Commissions (TRCSL) guidelines on advertising
mobile-broadband speeds
Following speed tests which revealed that actual mobile-
broadband speeds were far below advertised speeds, Sri Lankas
TRCSL concluded that consumers were being misled by false
marketing campaigns. To protect customers, the regulator, in
May 2011, issued a number of guidelines, including:
Broadband packages should not be advertised without
describing the specifc delivery technology used.
The speed advertised must be realistic and achievable. The
achievable speed must be incorporated in the package and
not the theoretical upper limit.
If operators are advertising speeds above 3.6 Mbit/s in 3G
HSAP or in any future technology, the majority (over 75 per
cent) of towers should be capable of supplying the particular
speed to the subscribers.
Operators are allowed to advertise any realistic speed above
3.6 Mbit/s by location. In this case, maps and other genuine
and correct information must be supplied to customers.
Source: ITU adapted from TRCSL, May 2011.
mobile-broadband operator Cell C recently started
oering a range o new mobile-broadband packages,
including up to 20 GB o data olume at speeds up to
21.6 Mbit,s, aimed at high-end users.
38
Backbone infrastructure
1o bring more people online at high speed, all the build-
ing blocks o broadband access need to be in place and
adequate bandwidth must be oered or indiiduals,
homes and businesses.
Sucient access to international Internet bandwidth
is a necessary requirement or deliering data-intensie
applications and serices through a high-speed In-
ternet connection. A competitie bandwidth market,
including the liberalization o international Internet
gateways and the promotion o multiple international
connections, is also important to guarantee reliable
connectiity and to bring down IC1 serice prices
that consumers pay.
As highlighted in Chapter 2, international Internet
bandwidth has increased tenold oer the last ten
years and particularly between 2008 and 2010, when it
almost doubled rom 29 000 Gbit,s to 59 000 Gbit,s
,Chart 4.,. Growth oer that two-year period was
somewhat stronger in deeloping countries ,54 per cent,
compared with deeloped countries ,49 per cent,, and
between 2005 and 2010 deeloping countries increased
their share o total international Internet bandwidth
rom 11 to 20 per cent.
100
Chapter 4. Understanding broadband: addressing issues of capacity, speed and quality of service
Chart 4.7: Total international Internet bandwidth (in Gbit/s), by level of development, 2000-2010
Source: ITU World Telecommunication/ICT Indicators Database.
Chart 4.8: International Internet bandwidth (bit/s per user), by region, 2005 and 2010
Source: ITU World Telecommunication/ICT Indicators database.
937
10'742
11'310
23'947
27'244
28'772
-
5'000
10'000
15'000
20'000
25'000
30'000
35'000
40'000
Africa Asia &
Pacific
Arab
States
CIS Americas World Europe
78 678 '
B
i
t
/
s
/
u
s
e
r
2010
208
607
817
1'652
5'464
5'655
10'935
-
2'000
4'000
6'000
8'000
10'000
12'000
Africa CIS Arab
States
Asia &
Pacific
World Americas Europe
B
i
t
/
s
/
u
s
e
r
2005
Measuring the Information Society 2011
103
Policy-makers need to create an enabling regu-
latory enironment that osters inestment in
both xed- and mobile-broadband networks. 1o
that end, all players ,public and priate, should
ace equal and predictable conditions, in order
to stimulate competition and priate inest-
ment in areas that are economically protable.
Goernments should leerage the inestment
made by operators in lucratie areas to extend
broadband coerage to other ,usually rural and
remote, areas, either by promoting public-pri-
ate partnerships or by directly supporting stra-
tegic public inestment in broadband networks.
Public initiaties need to be careully designed in
order to aoid crowding out priate inestment.
Goernments should include the promotion
o broadband in the specications o uniersal
serice unds so as to bring high-speed Internet
access to undersered areas and to connect more
ulnerable groups.
Goernments should set clear targets and moni-
tor progress. 1o this end, they need to measure
deelopments in xed- and mobile-broadband
subscriptions, 3G-mobile coerage, international
Internet bandwidth and bre-optic backbone
inrastructure.
Policy-makers need to monitor and surey the
quality o xed- and mobile-broadband serices,
including the dierence between adertised and
real speeds. Regulators should encourage opera-
tors to proide consumers with clear inorma-
tion on coerage, speeds, prices ,including data
roaming charges, and quality o serice, and set
QoS standards.
Deeloping countries, in particular where xed-
broadband inrastructure is limited, need to iden-
tiy broadband policies that leerage the potential
o mobile ,wireless, technologies. At ery least,
this means that goernments that hae not yet
done so should allocate and assign 3G spectrum
in order to allow operators to launch 3G serices.
1o increase the capacity and speed o mo-
bile-broadband serices, goernments need to
eciently allocate and regulate spectrum. User
demand or mobile broadband is growing, and
more spectrum is needed to meet this demand.
Many goernments hae not yet allocated the
digital diidend` spectrum in the 00-800 MIz
band which can be reed up rom the switchoer
to digital teleision, and in the 2.5-2.6 GIz band,
which I1U has identied as the 3G extension
band. Rearming the 900 MIz and 1 800 MIz
spectrum, mainly used or 2G networks, can also
help increase spectrum aailability or mobile-
broadband serices.
1he limitations o mobile-broadband networks
in terms o capacity and speed need to be taken
into consideration, and xed-broadband techno-
logies, in particular bre-optic networks, need to
be deployed in order to build reliable backbone
inrastructure and to cater or data-intensie users
,businesses, organizations, and urban areas where
Internet users are concentrated. Goernments
need to reiew the progress made in terms o
priatizing and liberalizing all the building blocks
o broadband Internet access, particularly in
countries where prices are high and penetration
rates remain low.
104
Chapter 4. Understanding broadband: addressing issues of capacity, speed and quality of service
Endnotes
1
Next-generation access ,NGA, is a term commonly used to reer to l11x deployments, as well as to the upgrade o cable networks to
DOCSIS 3.0. According to the Luropean Commission`s denition, NGA networks are rirea acce.. vetror. rbicb cov.i.t rbo, or iv art
of otica eevevt. ava rbicb are caabe of aeirerivg broaabava acce.. .errice. ritb evbavcea cbaracteri.tic. ;.vcb a. bigber tbrovgbvt) a. covarea to tbo.e
roriaea orer areaa, ei.tivg coer vetror.. v vo.t ca.e. ^C.. are tbe re.vt of av vgraae of av areaa, ei.tivg coer or coaia acce.. vetror,
see Luropean Commission ,2010,.
2
See Booz & Company ,2009,, \orld Bank ,2009,, McKinsey ,2009, and I1U ,2011,.
3
lor more inormation on the Broadband Commission or Digital Deelopment, see http:,,www.broadbandcommission.org,.
4
Although under Recommendation I1U-1 I.113, broadband is dened as a transmission capacity that is aster than primary rate ISDN
at 1.5 or 2.0 Mbit,s, I1U collects end-user data on the number o broadband subscriptions based on a denition o 256 kbit,s, which
is in line with the OLCD denition.
5
See lederal Communications Commission ,2010,.
6
I1U`s 1elecommunication Standardization Sector ,I1U-1, is leading seeral standardization initiaties to promote the deelopment o
the Internet o 1hings. lor more inormation, see http:,,www.itu.int,en,I1U-1,techwatch,Pages,internetothings.aspx.
Chart 5.1: Percentage of countries collecting data on Internet usage, total and by region
Note: Refers to countries which have collected data on the number of Internet users through ofcial national household surveys.
Source: ITU World Telecommunication/ICT Indicators database.
7.0
27.5
33.3
37.1
41.7
81.4
37.5
0
10
20
30
40
50
60
70
80
90
100
Africa Asia & Pacific Arab States Americas CIS Europe All ITU members
2002-2004
2005-2007
2008-2010
At least one year between:
%
o
f
c
o
u
n
t
r
i
e
s
Measuring the Information Society 2011
109
o computer usage are particularly interesting, since
Internet and computer use are oten linked, and because
computer usage proides an indication o IC1 skills in
a country. Mobile penetration leels, on the other hand,
do not necessarily proide any indication in regard to
IC1 skills leels ,since ewer skills are needed to use a
mobile phone than to use a computer or the Internet,,
but oer some indication o the demand or IC1s.
In high-income countries, computer and Internet
user penetration rates are noticeably similar. In many
countries, including Iceland, Norway, Sweden and
the Republic o Korea, there is only a relatiely small
dierence between the percentage o the population
using a computer and using the Internet ,Chart 5.2,.
In lower-income countries, the discrepancy between
computer and Internet user penetration is oten
greater. In Jordan, or example, around 55 per cent
o people used a computer in 2009, compared with
only 26 per cent who used the Internet. In Senegal,
computer user penetration in 2009 was more than
twice as high as Internet user penetration. In these
countries, policy-makers should try to identiy bot-
tlenecks to higher Internet user penetration leels,
which may include high prices or Internet access, lack
o awareness o the benets o using the Internet, or
lack o releant content. Since more people are using
computers than the Internet, IC1 skills do not seem
to be the main barrier, at least not or those already
using a computer.
In Azerbaijan, Morocco and Japan, more people use the
Internet than use computers, which can be explained by
the prealence o Internet access through mobile deices.
In Japan, or instance, per cent o all Internet users
use the mobile phone and Personal Digital Assistants to
access the Internet. As smartphone penetration increases
in deeloping countries - where IC1 inrastructure has
been a major impediment to higher IC1 leels - we can
expect similar deelopments in the near uture, with
Chart 5.2: Percentage of individuals aged 15 to 74* using Internet and computer, latest available year
Notes:
a
2008;
b
2009;
c
2010.
* For most countries that collect ICT usage data broken down by age, information was harmonized to compare (only) the age group
15-74. Exceptions are Colombia (5+), Morocco (12-65) and the United Arab Emirates (15+), as well as some countries where the lower
limit of the age range is higher than 15 years of age (see Annex Table 3.1).
EU27 refers to the 27 members of the European Union.
Source: ITU World Telecommunication/ICT Indicators database.
0
10
20
30
40
50
60
70
80
90
100
%
Computer
Internet
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b b c a b c a c c c c b b b b b c b c b a c b b c a b c b b b b c b
110
Chapter 5. Increasing Internet use: the role of education, income, gender, age and location
more people accessing the Internet ia a mobile phone
than ia a computer. 1his also implies that, in the near
uture, Internet user penetration leels are likely to exceed
computer usage leels.
Since a growing number o users are accessing the Inter-
net through a mobile phone, an analysis o aailable data
on mobile usage can proide urther insights into present
and uture Internet use. Data show that both deeloped
and deeloping countries hae reached relatiely high
1hanks to this,
the gap between Internet and mobile-phone use has
been narrowed, and the Communications Commission
o Kenya estimates that, by end 2010, oer one-quarter
o Kenyans were using the Internet, as against 15 per
cent in 2008.
Comparing Internet usage in the deeloped world with
that in the deeloping world, it is clear that the digital
diide is to a large extent an Internet diide: whereas
demand or oice communication has largely been ad-
dressed through mobile telephony, demand or data
serices is the current major challenge.
5.3 Education matters
Data on Internet use by leel o education show that
Internet usage is much higher among people with higher
leels o education. A higher educational leel gener-
ally also implies higher income and greater computer
literacy, both o which are important actors that drie
Internet use.
Chart 5.5 shows Internet usage rates according to leel
o education attained, or a number o deeloped and
deeloping economies. In all countries, without excep-
tion, people haing attained higher ,secondary or terti-
ary, educational leels use the Internet more than those
with a lower leel o education. People with a tertiary
education are particularly likely to be online, with Inter-
net user penetration rates in this group exceeding 50 per
cent in most countries or which data are aailable. In
many deeloping countries, including Brazil and Senegal,
oer 80 per cent o people with a tertiary education are
online. Internet use among people with upper secondary
educational leels are also relatiely high, persistently
exceeding national aerages. Only in countries with
ery high oerall Internet user penetration leels, such
as Norway and Iceland, are Internet use leels similar
across all leels o education.
Data suggest that in some deeloping countries the
dierences in Internet usage between more and less
educated people are een more marked. Indeed, they are
striking in a number o countries, such as or instance
the Islamic Republic o Iran, Ionduras and Paraguay,
where oer 50 per cent o people haing attained terti-
ary education used the Internet, as against ewer than
six per cent o those with primary or lower secondary
education. On the other hand, and in addition to the
cases o Norway and Iceland already cited, more than
60 per cent o persons haing attained primary or lower
secondary education were Internet users in the Republic
o Korea, Switzerland and New Zealand, and more than
90 per cent o those haing attained tertiary education.
Oerall, it is important to keep in mind that, in deeloping
countries, the proportion o adults reaching high educa-
tion leels is relatiely low. In 1hailand and Brazil, or
example, only around ten per cent o the adult population
hae completed tertiary education. 1he proportions are
een lower in lower-income countries such as Senegal or
Ll Salador, where only about e per cent o the adult
population hae completed that leel o education. In
contrast, in countries such as New Zealand or Norway,
this proportion is around 39 per cent.
8
Additionally, the distribution o incomes seems to play a
role, and the dierence in Internet usage rates between
people with dierent educational leels appears to be
particularly pronounced in countries where incomes are
less equally distributed. In Ll Salador, the proportion
o Internet users among people with tertiary educa-
tion in 2009 was 11 times higher than among people
with primary or lower secondary education. \hile Ll
Salador had a Gini coecient o 49. in 2009, Nor-
way, where Internet usage leels ary relatiely little
between people with dierent leels o education, had
a Gini coecient o 25.8, indicating a relatiely equal
distribution o incomes.
9
Aailable data or Arica suggest that in this region there
is a ery strong link between leel o education and leel
o Internet use. Iardly any Aricans with only a primary
education were using the Internet in 200,2008, but the
majority o those with a tertiary education were online
,Chart 5.6,. At the same time, there are quite considerable
dierences in Internet user penetration rates een among
112
Chapter 5. Increasing Internet use: the role of education, income, gender, age and location
Chart 5.5: Percentage of individuals* using the Internet, by highest educational level attained,
latest available year (2008-2010)
Note: * Age scope varies across countries, see Annex Table 3.1.
Source: ITU World Telecommunication/ICT Indicators database.
0 20 40 60 80 100
Ukraine
Mauritius
Azerbaijan
El Salvador
Paraguay
Belarus
Iran (I.R.)
Honduras
Serbia
Thailand
Mexico
Ecuador
TFYR Macedonia
Brazil
Costa Rica
Uruguay
Turkey
United States
Israel
Senegal
Croatia
Macao, China
New Zealand
EU27
Australia
Switzerland
Hong Kong, China
Iceland
Singapore
Korea (Rep.)
Norway
%
Tertiary education Upper secondary Primary or lower secondary
Measuring the Information Society 2011
113
the more highly educated population, ranging rom oer
90 per cent in Rwanda to less than 20 per cent in Uganda.
Rwanda has made IC1s a key deelopment priority, and the
country has a number o projects to connect schools and
uniersities, and to equip students with computers and lap-
tops.
10
1hese eorts contribute to bringing more students
online, een i the oerall Internet user penetration rate
in Rwanda remains ery low ,at just oer three per cent in
200, and less than eight per cent by 2010,. Another major
barrier in the country that preents bringing more people
online is the low school attendance: gross enrolment ratios
11
in Rwanda remained ery low in 2010, at 26. and 4.8 per
cent, respectiely, or secondary and tertiary education.
Closely related with dierences in leels o education,
income inequalities are also a major actor or Internet
uptake.
12
1able 5.1, which includes inormation on
Chart 5.6: Percentage of individuals aged 16 or older using the Internet, by highest educational level
attained, selected African countries, 2007/2008*
Note: * Surveys were conducted between August 2007 and April 2008 (most countries having fnished already in 2007).
Not nationally representative, but extrapolation was adjusted to refect the national level.
Source: Research ICT Africa (RIA).
0 10 20 30 40 50 60 70 80 90 100
Uganda
Nigeria
Ethiopia
Namibia
Ghana
Cte d'Ivoire
Botswana
Zambia
Cameroon
Kenya
Mozambique
South Africa
Burkina Faso
Benin
Tanzania
Rwanda
%
Tertiary Secondary Primary
income leels in Arica, suggests that one o the key
determinants o Internet access is income ,or the price
o IC1s,. In Botswana, or example, only two per cent
o the rst three quartiles in terms o disposable income
access the Internet. In comparison, or people earning
in the top quartile, Internet use stood at 19 per cent.
Comparisons between countries show that this nding
holds true or all countries sureyed in Arica.
Indeed, data on income and educational leels in Arica
point to a strong link between how much money people
earn and how educated they are. People with tertiary
education hae a much higher monthly income compared
with those who only hae a secondary or primary educa-
tion. Data rom RIA ,Chart 5., show that in South Arica
and Namibia, or instance, people with a tertiary education
earn more than ten times as much as people with a rst
114
Chapter 5. Increasing Internet use: the role of education, income, gender, age and location
Table 5.1: Percentage of individuals aged 16 and older using the Internet, by income, selected
African countries, 2007/2008*
Note: * Surveys were conducted between August 2007 and April 2008 (most countries having fnished already in 2007).
Not nationally representative, but extrapolation was adjusted to refect the national level.
Source: Research ICT Africa (RIA).
Lowest three disposable
income quartiles
Top disposable
income quartile
Benin 6 16
Botswana 2 19
Burkina Faso 2 10
Cameroon 10 25
Cte d'Ivoire 4 14
Ethiopia 0 3
Ghana 5 8
Kenya 9 32
Mozambique 1 3
Namibia 4 25
Nigeria
10 22
Rwanda 1 4
Senegal 9 14
South Africa 7 38
Tanzania 1 4
Uganda 1 7
Zambia
1 13
degree. In all other Arican countries or which data are
aailable, a tertiary education also clearly pays o, and
allows people to earn at least twice as much ,and oten
many times more, as people with a primary or secondary
education. So ar, Internet use in Arica seems to remain
the presere o the highly educated and wealthy elite, in
other words those who can aord to use the Internet and
who hae the necessary skills to do so.
Data rom deeloped countries - where educational
leels seem to be less decisie or Internet use - suggest
that here, too, aordability plays a key role in increasing
Internet use. One o the reasons or the Internet be-
ing used more eenly across educational categories in
deeloped countries is that Internet access and usage is
cheaper in both absolute and relatie terms. At end 2010,
unlimited high-speed broadband access in the United
States, the United Kingdom and Japan cost less than
USD 30 per month, compared with Namibia where it
cost oer USD 90 or an unlimited 256 kbit,s ADSL.
Based on these ndings, there are a number o key
trends in the Internet market in deeloping countries
that are likely to narrow the Internet user diide in the
short and medium term. lirst, the spread o mobile
Internet access, including mobile-broadband access, will
not only address important inrastructure barriers but
also help oercome the skills barrier by allowing peo-
ple to access the Internet ia their handsets. 1he skills
needed to use a mobile phone are relatiely simple, and
since many people today already own and use a mobile
phone they hae acquired some basic IC1 skills, which
will make it easier or them to go online.
Second, more and more operators are proiding prepaid
mobile ,broadband, Internet serices, which can lower
the income barrier. Like in the mobile-cellular market,
prepaid Internet serices hae been introduced so as
to allow low-income customers to purchase a limited
amount o time or data olumes to access the Internet.
1hat way, people can recharge their airtime to use the
Measuring the Information Society 2011
115
Internet wheneer they hae money aailable. Llectricity
is also less o an obstacle or mobile Internet use, since
the mobile phone can easily be recharged elsewhere than
at home, giing users more nexibility.
It is also interesting to look at Internet use among stu-
dents, i.e. people who are currently enrolled at higher-
education institutions ,e.g. uniersities, or attending
school. Aailable data rom selected Latin American
countries show that Internet use leels are generally
higher among young people attending school or uni-
ersity than among those who hae already earned a
degree ,Chart 5.8,. In Uruguay in 2009, or example,
oer 65 per cent o primary students were using the
Internet, a higher proportion than among Uruguayans
holding a secondary or post-secondary degree. 1his is
linked with the Ceibal project, a plan put in place by the
Chart 5.7: Average monthly income of individuals aged 16 or older, by highest educational level
attained, selected African countries, 2007/2008*, USD
Note: * Surveys were conducted between August 2007 and April 2008 (most countries having fnished already in 2007).
Not nationally representative, but extrapolation was adjusted to refect the national level.
Source: Research ICT Africa (RIA).
21
49
56
35
80
65
27
78
32
17
95
26
92
90
48
85
29
14
43
51
42
75
70
50
57
67
119
92
35
130
84
121
114
106
107
133
142
149
166
181
195
206
211
215
226
246
308
449
0 50 100 150 200 250 300 350 400 450 500
Uganda
Ethiopia
Burkina Faso
Benin
Mozambique
Cameroon
Nigeria
Rwanda
Senegal
Kenya
Zambia
Ghana
Tanzania
Cte d'Ivoire
Botswana
Namibia
South Africa
USD
//
// 597
18
946
Tertiary Secondary Primary
goernment whereby eery pupil and eery teacher in
all public schools receied or ree a laptop computer
which can be connected to the Internet, at least while
in school.
13
In Brazil, around 90 per cent o people
enrolled in tertiary and post-secondary studies were
online in 2008, while the country`s oerall Internet user
penetration stood at below 35 per cent.
1he reason why a ery large proportion o people
who are currently studying or enrolled at uniersity are
Internet users could be that through their studies they
hae ,perhaps ree, access to the Internet. At the same
time, students are also more likely to nd releant and
useul content on the Internet, including or their stud-
ies. lurthermore, they are in a learning enironment,
which will help them to acquire the necessary skills to
use the Internet.
116
Chapter 5. Increasing Internet use: the role of education, income, gender, age and location
lurther, the lowest Internet user penetration leels are
ound among those who are not at school and hae
only completed primary education. People at primary
and secondary school are more likely to be online than
those who reached those leels o education but are
not studying any more. Assuming that people will not
stop using the Internet once they hae been online, this
nding suggests that those currently enrolled at school
and uniersity are likely to be uture Internet users, too.
1his in turn implies that Internet user penetration rates
are destined to increase, particularly in countries that
manage to enrol a large part o their young population
and ensure that their educational institutions proide
students with Internet access.
5.4 The gender divide
\omen`s access to and use o IC1s can be seen as
a means o oercoming gender inequality, in areas
such as access to jobs, education or equal wages. At
the same time, due to unequal access to the resources
that appear to enhance IC1 access and usage, women
Chart 5.8: Percentage of individuals using the Internet, by highest education attained or currently
studying, selected Latin American countries, latest available year
Source: ITU calculation based on OSILAC, ECLAC: http://www.eclac.cl/tic/fash/default.asp?idioma=IN.
Tertiary Post secondary non-tertiary Lower and upper secundary Primary
Uruguay
(2009)
Brazil
(2008)
Costa Rica
(2008)
Ecuador
(2009)
0
20
40
60
80
100
S
t
u
d
y
i
n
g
N
o
t
s
t
u
d
y
i
n
g
S
t
u
d
y
i
n
g
N
o
t
s
t
u
d
y
i
n
g
S
t
u
d
y
i
n
g
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t
s
t
u
d
y
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S
t
u
d
y
i
n
g
N
o
t
s
t
u
d
y
i
n
g
%
generally hae less access to IC1s. Aailable data rom
Internet user sureys show that there is still a higher
percentage o men than women using the Internet, in
both deeloped and deeloping countries. Out o all
countries with aailable data, only in New Zealand and
1hailand do proportionally more women than men use
the Internet, and in these cases the dierence is minor
,1able 5.2,. Marginal dierences in aour o men can
be seen in Australia, Uruguay, Brazil and Ionduras.
Quite large dierences between the numbers o women
and men using the Internet are obsered in a number
o deeloping countries, including Azerbaijan, 1urkey,
Russia and Senegal. Gender-related dierences in In-
ternet use do not seem to be tied to deelopment leels,
insoar as there is also a relatiely large dierence, or
instance, in Switzerland, where 92 per cent o men use
the Internet compared with 86 per cent o women. In
the Luropean Union, there is also a clear gender diide,
with 4 per cent o men and 69 per cent o women
using the Internet.
One explanation or the act that more men than women
are online may be that, in many countries, women earn
less and do not hae equal access to education.
14
Indeed,
Measuring the Information Society 2011
117
some studies conrm that women oten tend to earn
less than men een when they hae similar qualications
and work experience ,Milek et a., 2010,.
15
Lower income
leels mean that Internet access is less aordable or
women. Additionally, lower educational leels among
women would also lead to income dierences between
the genders.
Lxamples rom Arica ,1able 5.3, suggest that a major
barrier to bringing more people online is lack o aware-
ness o the existence o the Internet ,and, consequently,
Table 5.2: The gender divide: percentage of women and men aged 15 to 74 using the Internet, latest
available year
Source: ITU World Telecommunication/ICT Indicators database.
Country Reference Year Women Men
Diference
women - men
Australia 2009 78.2 78.7 -0.4
Azerbaijan 2010 35.5 53.4 -17.9
Belarus 2010 32.0 36.3 -4.3
Brazil 2010 37.5 38.0 -0.5
Chile 2009 39.1 43.5 -4.4
Costa Rica 2008 32.4 35.9 -3.5
Ecuador 2010 29.4 31.6 -2.2
Egypt 2009 17.6 22.8 -5.2
El Salvador 2009 11.6 14.0 -2.4
EU27 2010 68.5 74.0 -5.4
Honduras 2008 13.1 13.1 -0.1
Hong Kong, China 2009 69.2 75.3 -6.2
Iran (I.R.) 2009 11.7 15.4 -3.7
Israel 2009 64.2 68.7 -4.5
Japan 2009 83.8 87.5 -3.7
Korea (Rep.) 2009 78.5 86.9 -8.4
Macao, China 2009 53.7 59.9 -6.1
Mauritius 2008 20.1 23.2 -3.1
Mexico 2010 32.1 36.3 -4.2
New Zealand 2009 84.2 82.8 1.4
Paraguay 2008 14.6 15.9 -1.3
Peru 2008 27.8 35.5 -7.7
Qatar 2010 77.8 83.6 -5.7
Russia 2009 38.8 47.8 -9.0
Senegal 2009 9.3 18.3 -9.0
Singapore 2009 63.3 71.4 -8.1
Switzerland 2010 86.0 91.9 -5.9
Thailand 2010 21.6 20.3 1.3
Turkey 2010 29.9 50.1 -20.2
Ukraine 2009 16.8 19.6 -2.7
Uruguay 2009 39.7 40.5 -0.9
what it oers,, and ewer women than men in Arica
know about the Internet. In Botswana and Senegal, or
example, 200 data show that men were much more
aware o the Internet and that this was correlated with
higher Internet user penetration rates. In Cameroon,
where women were as aware ,or more aware, o the
Internet as men, the gender diide in terms o Internet
use was marginal. \hile lack o awareness can indeed
be an important barrier to Internet use, other actors,
including lower income and educational leels, are likely
to play an important role, too.
118
Chapter 5. Increasing Internet use: the role of education, income, gender, age and location
1he act that women tend to use the Internet less than
men does not seem to hae to do with IC1s as such. Lm-
pirical eidence has shown that, under equal conditions
o education or employment, there are relatiely minor
dierences between men and women in terms o the use
o technologies.
16
It is thus dierences between men and
women in areas such as income and education that play a
major role in explaining dierent leels o access to IC1s
and their usage. Disparities increase as the technologies
and serices become more sophisticated and expensie,
requiring greater leels o income and education to access
and to operate them.
1
5.5 The urban/rural divide
People liing in rural areas stand to benet rom IC1s
een more than others because IC1s hae the potential
to delier serices that otherwise might be less aail-
able, such as e-health, distance learning, inormation on
agricultural product prices, etc. 1his is also consistent
Table 5.3: Knowing about the Internet and using it: the gender divide, 2007/2008*
Note: * Surveys were conducted between August 2007 and April 2008 (most countries having fnished already in 2007).
** As a percentage of men aged 16 or older.
*** As a percentage of women aged 16 or older.
Not nationally representative, but extrapolation was adjusted to refect the national level.
Source: Research ICT Africa (RIA).
Individuals aged 16 and over who
know what the Internet is (%)
Individuals aged 16 and over who
use the Internet (%)
Country Men** Women*** Men** Women***
Benin 27.8 14.6 11.9 5.3
Botswana 30.8 18.1 10.1 4.0
Burkina Faso 8.9 9.8 3.7 6.4
Cameroon 34.5 44.6 13.1 12.8
Cte d'Ivoire 19.3 13.4 8.1 4.0
Ethiopia 10.8 6.5 0.9 0.4
Ghana 29.7 23.4 8.1 3.2
Kenya 39.9 27.8 21.1 11.5
Mozambique 3.8 3.7 1.0 0.9
Namibia 30.4 24.2 11.2 7.2
Nigeria
Table 5.4: Percentage of individuals using the Internet, by urban/rural, latest available year
Note:
Not nationally representative, but extrapolation was adjusted to refect the national level.
Source: ITU World Telecommunication/ICT Indicators database and Research ICT Africa (RIA).
Country Reference Year Rural Urban
Diference
Rural - Urban
Australia 2009 69.3 76.9 -7.6
Azerbaijan 2010 23.4 47.1 -23.7
Belarus 2010 14.5 37.8 -23.2
Benin 2007 1.2 20.7 -19.5
Botswana 2007 2.9 7.9 -5.0
Brazil 2010 16.0 45.4 -29.4
Burkina Faso 2007 0.5 18.7 -18.2
Cameroon 2007 3.9 21.5 -17.6
Canada 2009 72.9 82.6 -9.7
Chile 2009 16.6 42.0 -25.4
Colombia
2009 9.9 36.2 -26.3
Costa Rica 2008 18.4 41.8 -23.4
Cte d'Ivoire 2007 1.8 11.9 -10.1
Ecuador 2010 12.0 37.6 -25.7
Egypt 2009 14.3 30.7 -16.5
El Salvador 2009 3.1 17.0 -13.9
Ethiopia 2007 0.0 4.0 -4.0
Ghana 2007 2.2 10.0 -7.8
Honduras 2008 2.5 18.0 -15.5
Indonesia 2010 3.8 16.1 -12.3
Iran (I.R.) 2009 3.0 15.0 -12.0
Israel 2009 76.3 62.0 14.3
Japan 2009 76.0 81.3 -5.2
Kenya 2007 13.5 20.9 -7.4
Korea (Rep.) 2009 69.4 84.3 -14.9
Lithuania 2010 51.5 70.1 -18.6
Mauritius 2008 21.9 19.9 2.0
Mongolia 2010 2.5 16.4 -13.9
Morocco 2010 40.4 75.6 -35.2
Mozambique 2007/8 0.0 4.3 -4.3
Namibia 2007 4.1 18.5 -14.4
New Zealand 2009 79.1 79.8 -0.7
Nigeria
Chart 5.9: Location of Internet use aggregated for 17 African countries, 8 Latin American countries
and 35 European countries, latest available year
Note: Percentages calculated over the total number of Internet users. Multiple locations are possible. Community facility in the case of
Africa refers to a library.
Source: ITU World Telecommunication/ICT Indicators database and Research ICT Africa (RIA).
0
20
40
60
80
100
Home Commercial facility Work Place of education Another person's home Mobile phone Community facility
Europe
(2009)
Latin America
(2009)
Africa
(2007/8)
Measuring the Information Society 2011
121
where entrepreneurs are gien loans on a commercial
basis to set up Internet cas.
18
1hese ndings not only
point to the importance o pubic Internet access acili-
ties or bringing more people online, but also suggest
that iable business models may be the best solution in
areas where people do not hae access to the Internet
at home.
5.6 From e-mail to social networks:
drivers of Internet use
1he Internet supports a wide ariety o uses: rom
simple communications, such as e-mail, chat or 1witter,
to sophisticated real-time ideo and audio communica-
tions, rom access to the press in digital ormat and to
authoritatie inormation sources, to blogging, wikis
Chart 5.10: Percentage of Internet users, by urban/rural, using the Internet at commercial facility (left)
and at home (right), selected countries, latest available year
Note: All locations are possible, except for some countries where users were asked only about the most used place (*), the two most used
places (**) and the three most used places (***).
Sample results for use at home non signifcant at the urban/rural level.
Source: ITU World Telecommunication/ICT Indicators database and Research ICT Africa (RIA).
0 25 50 75 100
Azerbaijan*
Thailand
Uruguay
Namibia
Turkey
Brazil
Paraguay***
Ecuador***
Costa Rica**
South Africa
Colombia
Kenya
Morocco
El Salvador*
Nigeria
Peru
%
Commercial facility
Rural
Urban
and other user-generated content, rom educational and
research purposes to online gaming, downloading music
and streaming ideos, rom accessing local goernment
serices to checking the balance o a bank account.
Data rom both deeloped and deeloping economies
,1able 5.5, show that communication remains the
most popular Internet actiity in many countries, and
that other actiities such as e-goernment, e-banking
and commercial transactions are less common. lor
many users o all ages, men and women alike, the most
prealent actiity is sending and receiing e-mails. In
countries such as New Zealand and Chile, oer 90 per
cent o Internet users use e-mail, and in the Luropean
Union the aerage is also ery high, at oer 88 per cent.
\hile a large proportion o Internet users also
exploit the Internet or education and learning
Home
0 25 50 75 100
Azerbaijan*
Thailand
Uruguay
Namibia
Turkey
Brazil
Paraguay***
Ecuador***
Costa Rica**
South Africa
Colombia
Kenya
Morocco
El Salvador*
Nigeria
Peru
%
Rural
Urban
Not applicable
Not applicable
Not applicable
Not applicable
122
Chapter 5. Increasing Internet use: the role of education, income, gender, age and location
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4
Measuring the Information Society 2011
123
T
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5
.
5
:
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R e f e r e n c e y e a r
G e t t i n g i n f o r m a t i o n
a b o u t g o o d s o r s e r v i c e s
G e t t i n g i n f o r m a t i o n o n
h e a l t h
G e t t i n g i n f o r m a t i o n
f r o m g o v e r n m e n t
I n t e r a c t i n g w i t h
g o v e r n m e n t
S e n d i n g o r r e c e i v i n g
e - m a i l
T e l e p h o n i n g o v e r t h e
I n t e r n e t / V o I P
P o s t i n g i n f o r m a t i o n o r
i n s t a n t m e s s a g i n g
P u r c h a s i n g o r o r d e r i n g
g o o d s o r s e r v i c e s
I n t e r n e t b a n k i n g
E d u c a t i o n o r l e a r n i n g
a c t i v i t i e s
P l a y i n g o r d o w n l o a d i n g
g a m e s
D o w n l o a d i n g /
l i s t e n i n g t o / w a t c h i n g
m u s i c , v i d e o , i m a g e s , T V
D o w n l o a d i n g s o f t w a r e
R e a d i n g / d o w n l o a d i n g
n e w s p a p e r s , m a g a z i n e s ,
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5
124
Chapter 5. Increasing Internet use: the role of education, income, gender, age and location
purposes, there are considerable dierences across
countries. lor example, aailable data rom some
Latin American countries suggest that around 50 per
cent o people using the Internet were going online
or - among others - educational purposes in the
period o 2009-2010. 1his can be related to the act
that many users in Latin America are young and are
students. 1he Luropean Union aerage is also high,
at oer 52 per cent in 2010, and the gure is similarly
high in Ukraine, where oer 53 per cent o Internet
users accessed the Internet or educational or learning
actiities in 2009. In Arica, on the other hand, only
about 25 per cent o all Internet users employed the
Internet or educational purposes in 200,2008. 1his
may be attributable to a ariety o reasons, such as
or instance scarcity o suitable content ,e.g. in local
language, and adapted to each educational leel, to
people`s computer skills, to the type and quality o
the connection, etc., or insucient inormation on
the educational resources that are aailable. Improe-
ments in these areas may signicantly contribute to
extending the benets o Internet as an e-learning
tool to more people in Arica.
A urther popular actiity in most countries is obtain-
ing inormation and accessing news, with oer 40 per
cent o Internet users in many countries across all
regions using the Internet or these purposes. Posting
inormation and instant messaging, such as through
social media sites, social networking and other user-
created content, is becoming increasingly releant. In
countries or which recent ,2009 and 2010, data are
aailable, the proportion o Internet users engaging
in these actiities has reached ery high leels. In
Colombia, Brazil and the Russian lederation, or
example, oer 0 per cent o users reported using
the Internet or these actiities. 1he next section
examines in detail the releance o social networking
and user-generated content or bringing more people
in deeloping countries online.
An interesting nding rom RIA`s surey is that almost
25 per cent o indiiduals using the Internet ,in 1
Arican countries, used it to get inormation or a
riend or amily member. 1his highlights the act that
the Internet benets not only those who are actually
accessing and using it, but others, too, especially in
rural areas, where 30 per cent o users employed it or
these purposes, as against 20 per cent in urban areas.
1he popularity o the Internet or entertainment pur-
poses aries between countries. In countries rom the
Luropean Union and rom Latin America or which
data are aailable, around 40 per cent o Internet users
accessed the Internet to play or download games, as
compared with 13 per cent o Internet users in Arica.
In the United Arab Lmirates and the Republic o Ko-
rea, 6 and 65 per cent, respectiely, o Internet users
play or download games. \hile these ariations may
in part be explained by cultural dierences between
countries, the type o actiities that Internet users can
carry out is also greatly innuenced by the type and
quality o the Internet connection ,see Chapter 4,.
lor instance, i e-mailing is by ar the most popular
Internet actiity in Arica, this is probably because
it may be comortably used een with limited band-
width and low speeds. It must not be orgotten that
some Internet users access the Internet ia second-
generation mobile networks, which makes using
more data-intensie applications impossible. 1his
may also be one explanatory actor ,among others,
or the low degree o use o e-goernment serices
among Arican Internet users, because this type o
application requires a minimum capacity and speed to
oer a good user experience. 1hese conclusions are
supported by the dierences between rural and urban
Internet users, since rural areas usually hae lower
Internet speeds. Indeed, aailable data rom 200 and
2008 show that Arican rural Internet users played
online games less than urban Internet users, and used
e-banking and e-goernment serices less, too.
Ioweer, there are other releant actors determining
the uptake o Internet actiities beyond just quality
and speed o the user connection. One o these is
serice aailability and the extent to which serices
are adapted to the user. lor example, i only ery ew
Internet users in Arica use the Internet to interact
with the goernment, this may also be because o a
lack o releant e-goernment serices matching the
skills and needs o Internet users in each country.
linally, high leels o online purchasing and Internet
banking actiities are conned primarily to citizens
in deeloped economies. In New Zealand, Canada
and the Luropean Union, or example, the major-
ity o Internet users engage in Internet banking, as
compared with much lower leels in most deeloping
countries. Seeral deeloping countries lack both a
widely established banking system and an outreaching
Internet access network, and people`s income leels in
many deeloping countries are insucient or them
to hae a credit card.
Measuring the Information Society 2011
125
Social networks
An important trend that has drien Internet access
oer the last ew years is the growth o social media
and networking sites. 1hese proide innoatie ways
o coneying inormation, and o reaching a wide audi-
ence. 1hey allow people to expand social and business
contacts, and acilitate the communication and sharing
o content among users, including photos, ideos and
music. \oung people hae played a major role in the
success o social media and networking sites. Data also
suggest that social networking sites hae become a key
drier o Internet use ,see or instance Box 5.1,. In some
countries oer 0 per cent o Internet users are engaging
in social networking ,specically posting inormation
and instant messaging, ,see 1able 5.5,.
Liingston et a. ,2011,, or example, conducted a ace-
to-ace surey o 25 000 young Internet users ,between
the ages o nine and 16, and their parents in 25 Luro-
pean countries, and ound that social networking was
the most popular actiity among children. Some 38 per
cent o children between nine and 12 years old hae
a social network prole, and per cent o children
between 13 and 16 years old.
A comparison o data rom lacebook, one o the
most popular networking sites in the world, indicates
that in some deeloping countries there are as many
lacebook users as Internet users. 1he comparison
between Internet users and lacebook users must
howeer be interpreted with caution, since Internet
users are indiiduals, while lacebook accounts may
belong to indiiduals, companies, etc. ,see Box 5.2,.
1able 5.6 shows a list o selected countries ordered
by total number o lacebook accounts, and highlights
how they rank in terms o absolute number o lace-
book accounts in comparison with other countries
Box 5.1: Social networking as a key driver for bridging the Internet divide in Namibia
A nationally representative survey conducted by Research ICT
Africa in cooperation with the Communications Regulatory
Authority of Namibia (CRAN) from June to August 2011 revealed
that 81 per cent of Internet users subscribe to a social network
application. The survey, which also covered mobile-phone
ownership and use, shows that 17 per cent of mobile-phone
owners use their mobiles for accessing social networking ap-
plications such as Facebook, Twitter, Mixit, etc. Overall, about 23
per cent of mobile-phone owners used their mobiles to browse
the Internet. These results suggest that increasing numbers of
people are using mobile phones for social networking. Table
Box5.1 shows some additional results of the survey.
The increasing reliance on the mobile phone and the growth
in the use of applications that lend themselves to the mobile
platform such as social media indicate that the mobile phone
is a key entry point for Internet adoption in Namibia. The mobile
phone is thus not only narrowing the voice gap in Namibia,
but is being used to reduce the diferences in Internet usage.
Table Box 5.1: Internet and mobile-phone usage in Namibia, 2011 (%)
Source: Research ICT Africa (RIA).
Internet usage
Percentage of individuals aged 15 years or older using the Internet 13.4
Share of Internet users who used the Internet for the frst time on a computer or laptop 62.7
Share of Internet users who used the Internet for the frst time on a mobile phone 37.3
Share of Internet users who are signed up for a social network 80.7
Share of Internet users who access the Internet using a mobile phone 55.7
Mobile-phone usage
Percentage of individuals aged 15 years or older owning a mobile phone 56.1
Share of mobile-phone owners who use their mobile for browsing the Internet 22.7
Share of mobile-phone owners who use their mobile for accessing social networking applications such as
Facebook, Twitter, Mixit, etc.
17.3
126
Chapter 5. Increasing Internet use: the role of education, income, gender, age and location
,lacebook ranking,. Some deeloping countries with
large populations, such as Indonesia, India and Mexico,
are among the top countries in the world in terms o
lacebook accounts. In China, the leading social net-
work is Renren, which by end June 2011 had some 124
million actiated users.
22
In Brazil, the leading social
network is Orkut. According to a surey by IBOPL,
Nielsen Online ,2010,, as at August 2010 more than
0 per cent o Internet users in the country were isit-
ing Orkut`s website at least once a month, and oerall
36 million Brazilians were accessing social network
sites. It can be thus concluded that social networks are
gaining momentum in seeral deeloping countries,
too. 1aking into account that in the deeloping world
only a small proportion o the population has access
to the Internet, the popularity o social networks has
the potential to become a major incentie or people
to go online.
Some social networks such as Renren and lacebook
hae launched specic platorms to optimize user
experience in cases where connection capacity and
Chart 5.11: Proportion of individuals* using the Internet, by age group, latest available year
(2009/2010)
Note: * Minimum and maximum age varies across countries, see Annex Table 3.1.
Source: ITU World Telecommunication/ICT Indicators database
0 20 40 60 80 100
Iran (I.R.)
Senegal
El Salvador
Ukraine
Egypt
Ecuador
Palestinian Authority
Azerbaijan
Thailand
Mexico
Chile
Moldova
Brazil
Turkey
Uruguay
Belarus
United States
Macao, China
Israel
Russia
Japan
Australia
Qatar
EU27
New Zealand
Korea (Rep.)
Lithuania
Singapore
Canada
Switzerland
%
Under 25
Over 25
dierences in education and income, but they are also at-
tributable to inrastructure and serice limitations in rural
areas. 1his is indeed an area or improement, which could
greatly benet rom wireless-broadband technologies.
Most people use the Internet or communication and
entertainment purposes, and social networking sites
hae become a key drier or Internet uptake, par-
ticularly or young people, suggesting that releant
Measuring the Information Society 2011
129
content is an important actor in bringing more
people online. \oung people are not only driers o
Internet usage, they also represent a relatiely large
proportion o the world`s population. Deeloping
countries hae a large potential Internet user base
that could be brought online relatiely easily, par-
ticularly by connecting schools and other educational
institutions.
130
Chapter 5. Increasing Internet use: the role of education, income, gender, age and location
Endnotes
1
lor example, UNC1AD collects statistics on the use o IC1s by businesses and on the IC1 sector. lor more inormation, see:
measuring-ict.unctad.org.
2
I1U has acknowledged the potential o connecting schools in deeloping countries, and is promoting IC1 deelopment or
communities through the Connect a School, Connect a Community` Initiatie. More inormation is aailable at:
http:,,www.itu.int,I1U-D,sis,Connect_a_school,index.html.
3
lor more inormation on the Partnership on Measuring IC1 or Deelopment and its members, see:
http:,,www.itu.int,I1U-D,ict,partnership,index.html and http:,,new.unctad.org,deault____600.aspx.
4
Research IC1 Arica is a network o researchers rom Arican countries which conducts IC1 studies to support eidence-based and
inormed policy-making. lor more inormation, see http:,,www.researchictarica.net,home.php.
5
According to Partnership on Measuring IC1 or Deelopment ,2010,, a covvter reers to a desktop or a laptop computer. It does not
include equipment with some embedded computing abilities such as mobile-cellular phones, personal digital assistants ,PDAs, or 1V
sets.
6
Lurostat stopped collecting data on mobile use in 2008.
In Kenya, 99 per cent o Internet subscriptions are mobile, including both narrowband ,GPRS,LDGL, and 3G mobile. Source:
Communications Commission o Kenya ,2011,.
8
Calculations based on aailable data rom households sureys, or people aboe 25 years old.
9
1he Gini coecient measures inequality in the distribution o income with a alue o 0 expressing total equality and a alue o
100 total inequality. Income is hence more equally distributed in Norway than in Ll Salador. lor Gini alues in 2010, see
http:,,hdr.undp.org,en,media,IDR_2010_LN_1ables_reprint.pd.
10
IC1 deelopment is a major cross-cutting eature o Rwanda`s Vision 2020, the country`s ramework or economic and social dee-
lopment, and or the conersion to a knowledge-based economy. Moreoer, the country has taken part in the One-Laptop-per-Child
project, see: http:,,www.connectaschool.org,en,schools,connectiity,deices,section_5.6,case20studies,Rwanda.
11
A denition o gross enrolment ratio is proided in Annex 1.
12
lor a in-depth analysis o the relation between income and Internet use in Latin America, see Naarro ,2011, and Grazzi ,2011,.
13
Plans or expanding the Ceibal project to priate schools, and to increase the aailability o Internet access points or connecting the
laptops, are also ongoing. More inormation can be ound at: www.ceibal.org.uy.
14
According to UNIlLM, women oten earn much less than men, and the aerage wage gap between women and men in 2008 was
1 per cent. See: http:,,www.uniem.org,gender_issues,women_poerty_economics,.
15
2008 data rom the United States showed that een with equal education and experience, women only earned 81 per cent o what men
earned. See: http:,,www.time.com,time,nation,article,0,8599,1983185,00.html4ixzz1UjLJohmL.
16
See Milek et a. ,2011, or a study on 1 Arican countries, Iilbert ,2011,or a study including Latin American and Arican countries
and Naarro and Sanchez ,2011, or a study on 6 Latin American countries.
1
See Milek et a. ,2011, or a more detailed discussion.
18
lor more inormation, see http:,,www.ict.go.ke,index.php,digitalinclusion,pasha,ootball.
19
See or example http:,,www.socialbakers.com,, http:,,statistics.allacebook.com,pages, http:,,www.insideacebook.com,.
20
http:,,www.acebook.com,adertising,.
21
http:,,www.acebook.com,help,aq~13360953380850.
22
See http:,,ir.renren-inc.com,phoenix.zhtmlc~24496&p~irol-homeProle.
23
See http:,,renren-inc.com,en,news,32.html.
24
United Nations, Department o Lconomic and Social Aairs, Population Diision ,2011,. \orld Population Prospects: 1he 2010
Reision, CD-ROM Ldition.
Measuring the Information Society 2011
131
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Measuring the Information Society 2011
135
Annex 1. ICT Development Index
(IDI) methodology
,e.g. DSL, bre optic,, and oice serices proided oer
coaxial-cable teleision networks ,cable modem,. It also
includes xed wireless local loop ,\LL, connections,
which are dened as serices proided by licensed xed-
line telephone operators that proide last-mile access to
the subscriber using radio technology, when the call is
then routed oer a xed-line telephone network ,and
not a mobile-cellular network,. In the case o VoB, it
reers to subscriptions that oer the ability to place and
receie calls at any time and do not require a computer.
2. Mobile-cellular telephone subscriptions per 100 inhabitants
Mobiecevar teebove .vb.critiov. reers to the number
o subscriptions to a public mobile-telephone serice
which proides access to the public switched telephone
network ,PS1N, using cellular technology. It includes
both postpaid subscriptions and prepaid SIM cards
that hae been actie during the past three months. It
coers both analogue and digital cellular systems and
all mobile-cellular subscriptions that oer oice com-
munications. It excludes subscriptions ia data cards
or USB modems, subscriptions to public mobile data
serices, priate trunked mobile radio, telepoint, radio
paging and telemetry serices.
Gien the rapid growth in the number o mobile-cellular
subscriptions, it would be useul to distinguish between
the number o mobile subscriptions and the number o
indiiduals using a mobile phone. Although the latter
indicator would be more appropriate or inclusion in the
IDI, only a limited number o countries currently collect
this inormation through household sureys.
2
As more
data become aailable, the number o mobile-phone
users should eentually replace the number o mobile
subscriptions in the index.
1his Annex outlines the methodology used to compute
the IDI, and proides more details on arious steps
inoled, such as the indicators included in the index
and their denition, the imputation o missing alues,
the normalization procedure, the weights applied to
the indicators and sub-indices, and the results o the
sensitiity analysis.
1. Indicators included in the IDI
1he selection o indicators was based on certain cri-
teria, including releance or the index objecties, data
aailability and the results o arious statistical analyses
such as the principal component analysis ,PCA,.
1
1he
ollowing 11 indicators are included in the IDI ,grouped
by the three sub-indices: access, use and skills,.
a) ICT infrastructure and access indicators
Indicators included in this group proide an indication
o the aailable IC1 inrastructure and indiiduals` ac-
cess to basic IC1s. Data or all o these indicators are
collected by I1U.
1. Fixed-telephone subscriptions per 100 inhabitants
ieateebove .vb.critiov. reers to the sum o actie
analogue xed-telephone lines, ISDN oice channel
equialents, xed wireless local loop ,\LL, connec-
tions, xed public payphones and oice-oer-broadband
,VoB, subscriptions. It includes all accesses oer xed
inrastructure supporting oice telephony using cop-
per wire, oice serices using Internet Protocol ,IP,
deliered oer xed ,wired,-broadband inrastructure
136
Annex 1
countries which are not yet collecting IC1 household
statistics ,see below on missing data,. Oer time, as
more data become aailable, the quality o the indicator
will improe.
2. Fixed (wired)-broadband Internet subscriptions per 100
inhabitants
iea ;rirea)broaabava vtervet .vb.critiov. reers to
subscriptions to paid high-speed access to the public
Internet ,a 1CP,IP connection,. Iigh-speed access is
dened as downstream speeds equal to, or greater than,
256 kbit,s. lixed ,wired,-broadband Internet includes
cable modem, DSL, bre and other xed-broadband
technology ,such as Lthernet LAN, and broadband oer
power line ,BPL, communications,. Subscriptions with
access to data communications ,including the Internet,
ia mobile-cellular networks are excluded.
3. Active mobile-broadband subscriptions per 100 inhabitants
.ctire vobiebroaabava .vb.critiov. reers to the sum o
actie standard mobile-broadband subscriptions and
dedicated mobile-broadband data subscriptions.
tavaara vobiebroaabava .vb.critiov. reers to mobile-
cellular subscriptions with adertised data speeds o
256 kbit,s or greater and which hae been used to set
up an Internet data connection ia the Internet Protocol
in the past three months. 1he subscription must allow
access to the greater Internet ia I11P and must hae
been used to set up an IP data connection in the past
three months. Standard sms and mms messaging does
not count as an actie Internet data connection, een
i the messages are deliered ia IP.
Deaicatea vobiebroaabava aata .vb.critiov. reers to subscrip-
tions to dedicated data serices oer a mobile network
which are purchased separately rom oice serices, either
as a standalone serice ,e.g. using a data card such as a
USB modem,dongle, or as an add-on data package to
oice serices which requires an additional subscription.
All dedicated mobile data subscriptions with recurring
subscription ees are included as actie data subscriptions`
regardless o actual use. Prepaid mobile-broadband plans
require actie use i there is no monthly subscription. 1his
could also include mobile \iMAX subscriptions.
I1U began gathering data on actie mobile subscrip-
tions in 2010. Ioweer, only ew countries hae started
collecting data or this indicator. lor this reason, I1U
uses data rom \ireless Intelligence
3
or actie 3G
connections. \ireless Intelligence collects these data
3. International Internet bandwidth (bit/s) per Internet user
vtervatiova vtervet bavariatb reers to the sum o capac-
ity o all Internet exchanges that backbone operators
proide to carry Internet trac. It is measured in bits
per second per Internet user. 1he data compiled by
I1U rom responses receied rom countries through
its annual questionnaire were supplemented with data
rom I1U research.
4. Percentage of households with a computer
A covvter reers to a desktop or a laptop computer.
It does not include equipment with some embedded
computing capabilities, such as mobile-cellular phones,
personal digital assistants or 1V sets.
5. Percentage of households with Internet access at home
1he vtervet is a worldwide public computer network. It
proides access to a number o communication serices,
including the \orld \ide \eb, and carries e-mail, news,
entertainment and data les, irrespectie o the deice
used ,not assumed to be only a computer - it may also
be a mobile phone, games machine, digital 1V, etc.,.
Access can be ia a xed or mobile network.
1here are certain data limits to this indicator, insoar
as estimates hae to be calculated or many deeloping
countries which are not yet collecting IC1 household
statistics ,see below on missing data,. Oer time, as
more data become aailable, the quality o the indicator
will improe.
b) ICT use indicators
1he indicators included in this group capture IC1 in-
tensity and usage. Data or all o these indicators are
collected by I1U.
1. Percentage of individuals using the Internet
1he ercevtage of ivairiava. v.ivg tbe vtervet indicator is
based on results rom national household sureys. 1oday,
most deeloped and larger deeloping countries are col-
lecting data on the number o Internet users through
ocial household sureys. Data are either proided
directly to I1U by the national statistical oces ,NSO,,
or I1U carries out the necessary research to obtain them,
or example rom NSO websites.
1here are certain data limits to this indicator, insoar
as estimates hae to be calculated or many deeloping
Measuring the Information Society 2011
137
characteristics. GDP per capita and geographic location
were used as the main criteria in identiying countries
with similar characteristics. lor example, missing data
or country A were estimated or a certain indicator by
rst identiying the countries that hae similar leels
o GDP per capita and that are rom the same region.
1hen, the indicator that has a known relationship to the
indicator to be estimated was considered. lor instance,
xed-broadband subscription data o country A was
estimated by using xed-broadband subscription data o
country B rom the same region with a similar leel o
GDP per capita and a similar leel o Internet subscrip-
tions. 1he same logic was applied to estimate missing
data or all indicators included in the index.
3. Normalization of data
Normalization o the data is necessary beore any ag-
gregation can be made in order to ensure that the data set
uses the same unit o measurement. lor the indicators
selected or the construction o the IDI, it is important
to transorm the alues to the same unit o measure-
ment, since some o them are expressed as a percentage
o the population or households, with a maximum alue
o 100, while other indicators ,although also expressed
as a percentage, can hae alues exceeding 100, such as
mobile-cellular subscriptions or international Internet
bandwidth.
1here are certain particularities that need to be taken
into consideration when selecting the normalization
method or the IDI. lor example, in order to identiy
the digital diide, it is important to measure the reatire
perormance o countries ,i.e. diide among countries,.
Second, the normalization procedure should produce
index results that allow countries to track progress o
their eolution towards an inormation society oer
time.
A urther important criterion or the selection o the
normalization method was to choose one that can be
replicated by countries. Indeed, some countries hae
shown a strong interest in applying the index methodol-
ogy at the national or regional leel. 1hereore, certain
methods cannot be applied, or example those that rely
on the alues o other countries, which might not be
aailable to users.
lor the IDI, the ai.tavce to a referevce vea.vre was used as
the normalization method. 1he reerence measure is
the ideal alue that could be reached or each ariable
,similar to a goalpost,. In all o the indicators chosen,
this will be 100, except or our indicators:
directly rom operators. \hile I1U has used the \ire-
less Intelligence data or this year`s calculation o the
IDI, countries are encouraged to collect this inorma-
tion rom operators and to supply it to I1U under its
data-collection surey.
c) ICT skills indicators
Data on adult literacy rates and gross secondary and
tertiary enrolment ratios are collected by the UNLSCO
Institute or Statistics ,UIS,.
1. Adult literacy rate
According to UIS, the .avt iterac, rate is dened as
the percentage o population aged 15 years and oer
who can both read and write with understanding a short
simple statement on his,her eeryday lie. Generally, lit-
eracy` also encompasses numeracy`, the ability to make
simple arithmetic calculations. 1he main purpose o this
indicator is to show the accumulated achieement o
primary education and literacy programmes in imparting
basic literacy skills to the population, thereby enabling
them to apply such skills in daily lie and to continue
learning and communicating using the written word.
Literacy represents a potential or urther intellectual
growth and contribution to economic-socio-cultural
deelopment o society.`
4
2. Gross enrolment ratio (secondary and tertiary level)
According to UIS, 1he gro.. evrovevt ratio is the total
enrolment in a specic leel o education, regardless
o age, expressed as a percentage o the eligible ocial
school-age population corresponding to the same leel
o education in a gien school-year.`
4
2. Imputation of missing data
A critical step in the construction o the index is to
create a complete data set, without missing alues.
1here are seeral imputation techniques that can be
applied to estimate missing data.
5
Lach o the imputa-
tion techniques, like any other method employed in the
process, has its own strengths and weaknesses. 1he most
important consideration is to ensure that the imputed
data will renect a country`s actual leel o IC1 access,
usage and skills.
Gien that IC1 access and usage are both correlated
with national income, hot-deck imputation was chosen
as the method or estimating the missing data. Iot-deck
imputation uses data rom countries with similar`
138
Annex 1
Annex Box 1.1: Weights used for indicators and sub-indices included in the IDI
Source: ITU.
Ater normalizing the data, the indiidual series were
all rescaled to identical ranges, rom 1 to 10. 1his was
necessary in order to compare the alues o the indica-
tors and the sub-indices.
4. Weighting and aggregation
1he indicators and sub-indices included in the IDI were
weighted based on the PCA results obtained when the
index was rst computed.
6
Annex Box 1.1 presents the
weights or the indicators and sub-indices.
5. Calculating the IDI
Sub-indices were computed by summing the weighted
alues o the indicators included in the respectie
subgroup.
C1 acce.. is measured by xed-telephone subs-
criptions per 100 inhabitants, mobile-cellular
subscriptions per 100 inhabitants, international
Internet bandwidth per Internet user, per-
centage o households with a computer and
percentage o households with Internet access
at home.
C1 v.e is measured by percentage o indiiduals
using the Internet, ixed ,wired,-broadband
International Internet bandwidth per Internet
user, which in 2010 ranges rom 101 ,bits,s,user,
to more than 600 000. 1o diminish the eect o
outliers at the high end o the alue scale, the data
were rst transormed to a logarithmic ,log, scale.
1he ideal alue was then computed by adding two
standard deiations to the mean o the rescaled
alues, resulting in a log alue o 5.45.
Mobile-cellular subscriptions, which in 2010
range rom 3.53 to 206 per 100 inhabitants.
1he ideal alue was computed using the same
methodology used or the bandwidth data, by
adding two standard deiations to the mean. 1he
resulting reerence alue was 180 subscriptions
per 100 inhabitants.
lixed-telephone subscriptions per 100 inhabi-
tants range between 0.06 and 64 in 2010. 1he
same methodology was used to compute the
reerence alue, resulting in a rounded alue o
60 per 100 inhabitants.
lixed ,wired,-broadband subscriptions per 100
inhabitants. 1his is a airly recent indicator, and
alues range rom zero to 38 per 100 inhabitants.
In line with xed-telephone subscriptions, the
ideal alue was dened at 60 per 100 inhabitants.
Weights (Indicators) Weights (Sub-index)
ICT access
0.40
Fixed-telephone subscriptions per 100 inhabitants 0.20
Mobile-cellular telephone subscriptions per 100 inhabitants 0.20
International Internet bandwidth per Internet user 0.20
Percentage of households with a computer 0.20
Percentage of households with Internet access at home 0.20
ICT use
0.40
Percentage of individuals using the Internet 0.33
Fixed (wired)-broadband Internet subscriptions per 100 inhabitants 0.33
Active mobile-broadband subscriptions per 100 inhabitants 0.33
ICT skills
0.20
Adult literacy rate 0.33
Secondary gross enrolment ratio 0.33
Tertiary gross enrolment ratio 0.33
Measuring the Information Society 2011
139
Internet subscriptions per 100 inhabitants and
actie mobile-broadband subscriptions per 100
inhabitants.
C1 .i. are approximated by adult literacy rate,
secondary gross enrolment ratio and tertiary
gross enrolment ratio.
1he alues o the sub-indices were calculated rst by
normalizing the indicators included in each sub-index
in order to obtain the same unit o measurement. 1he
referevce rave. applied in the normalization were dis-
cussed aboe. 1he sub-index alue was calculated or
each country by taking the simple aerage ,using equal
weights, o the normalized indicator alues.
lor computation o the nal index, the IC1 access
and IC1 use sub-indices were gien 40 per cent weight
each, and the skills sub-index ,because it is based on
proxy indicators, 20 per cent weight. 1he nal index
alue was then computed by summing the weighted
sub-indices. Annex Box 1.2 illustrates the process o
computing the IDI or the Republic o Korea ,which
tops the IDI 2010,.
6. Sensitivity analysis
Sensitiity analysis was carried out to inestigate the
robustness o the index results, in terms o the relatie
position in the oerall ranking, using dierent combina-
tions o methods and techniques to compute the index.
Potential sources o ariation or uncertainty can be
attributed to dierent processes employed in the
computation o the index, including the selection o
indiidual indicators, the imputation o missing alues
and the normalization, weighting and aggregation o
the data.
Lach o the processes or combination o processes
aects the IDI alue. A number o tests were carried
out to examine the robustness o the IDI results ,rather
than the actual alues,. 1he tests computed the possible
index alues and country rankings or dierent com-
binations o the processes mentioned aboe. Results
show that, while the computed index alues change,
the message remains the same. 1he IDI was ound to
be extremely robust to dierent methodologies - with
the exception o some countries, particularly countries
in the high` group.
1he relatie position o countries included in the
high` group ,see Chapter 2, can change depending
on the methodology used. 1hereore, caution should
be exercised when drawing conclusions based on the
ranking o these countries. Ioweer, the relatie posi-
tion o countries included in the low` group is in no
way aected by the methods or techniques used, and the
countries in this group ranked low in all index computa-
tions using dierent methodologies. 1his conrms the
results coneyed by the IDI.
140
Annex 1
Annex Table 2.1: OECD mobile-cellular low-user call distribution (2009 methodology):
Note: N/A: Not applicable.
Source: ITU, based on OECD (2010a).
To fxed On-net Of-net TOTAL
Call
distribution by
time of day (%)
Call distribution (%) 17.0 56.0 26.0 100.0 100.0
Calls 5.2 16.9 7.9 30.0
Peak 2.4 7.8 3.6 13.8 46.0
Of-peak 1.5 4.9 2.3 8.7 29.0
Weekend 1.3 4.2 2.0 7.5 25.0
Duration (minutes per call) 2.0 1.6 1.7
Duration (total minutes of calls) 10.4 27.0 13.4 50.9 N/A
Peak 4.8 12.4 6.2 23.4 46.0
Of-peak 3.0 7.8 3.9 14.8 29.0
Weekend 2.6 6.8 3.4 12.7 25.0
Calls 30 calls per month
SMS 100 SMS per month (50 on-net, 50 of-net)
Measuring the Information Society 2011
145
The fxed-broadband sub-basket
1he discussion on today`s inormation society is increas-
ingly ocused on the Internet, which is the single most
powerul IC1 in terms o access to inormation and
applications. Currently, I1U estimates that one in three
people use the Internet, practically all goernments and
large businesses today are online, and the Internet has
transormed the way people communicate.
Basket`s mobile-cellular sub-basket, with the result that
the alues in this report are not strictly comparable with
those published in the preious IPB ,I1U, 2010b,. 1his
change in methodology is due to an update in the OLCD
low-user basket, which I1U has adopted. In particular,
the new ,2009, OLCD low-user basket includes vore
calls ,30, instead o 25 preiously, and vore sms ,100,
instead o 30 preiously,, so the oerall alue o the
latest IPB is higher.
Annex Box 2.1: Rules applied to collect tarifs for the 2010 mobile-cellular sub-basket
1. The OECD 2009 mobile basket for the 30 calls per month basket is used as a basis for the ITU data collection on mobile-cellular
prepaid tarifs.
2. Tarifs are based on the tarifs published by the dominant operator, in terms of the number of subscriptions/market share.
3. If there are several prepaid plans, the plan that is chosen is the one that comes closest to the 30 calls and 100 sms included.
4. Special ofers and plans with limited availability (for example those reserved for a limited number of customers) cannot be used.
5. If subscribers can choose favourite numbers (for family, friends, etc.) with a special tarif, this special tarif cannot be taken into
consideration (irrespective of the quantity of numbers).
6. If prices vary between minutes (1st minute = price A, 2nd minute = price B, 3rd minute = price C), the sum of the diferent prices
will be divided by the number of diferent prices (for example: price per minute=(A+B+C)/3).
6.1. If only the frst minute is diferent, calculate the average price per minute based on 3 minutes.
6.2. If prices vary beyond 3 minutes, calculate the average price per minute based on 3 minutes.
7. If there is a connection cost per call, then this is taken into consideration in the fnal formula of the mobile-cellular basket, based
on 30calls.
8. If free minutes/calls/sms are included in the connection fee, then these are taken into consideration and deducted from the
number of calls/minutes/sms in the formula that is used to calculate the price basket.
9. If there are diferent prices for an sms (of-peak vs peak), then the average of both is used.
10. If there are diferent of-peak tarifs, then the one that is the cheapest before midnight is used.
11. If the only of-peak period is after midnight, then this is not used. Instead, the peak price is applied.
12. If there are diferent peak tarifs, the most expensive one during daytime is applied.
13. If there are diferent weekend tarifs, the price that applies Sundays during daytime applies (or the equivalent day in countries
where weekends are not on Sundays).
14. If there is no weekend price, the average peak and of-peak price that is valid during the week applies.
15. When the customer can chose between diferent connection charges that include diferent amounts of units/minutes, and
the price per minute/unit decreases the higher the connection charge, the cheapest refll card is used. If diferent connection
charges exist depending on the validity period, the validity period for 30 days (or closest to 30 days) applies.
16. If calls are charged by call (and not by minute), the mobile-cellular sub-basket formula will be calculated based on 30 calls.
17. Tarifs include taxes.
146
Annex 2
represent the astest or most cost-eectie connection,
since the price or a higher-speed plan is oten relatiely
cheaper ,on account o caps,.
A future mobile-broadband sub-basket
An increasing number o people are accessing the
Internet oer mobile-broadband connections, and in
some parts o the world mobile broadband is the only
means o access to the Internet. By the end o 2010,
more than 150 countries were oering 3G serices, but
many countries, such as India and China, only launched
serices in 2009, and operators are still in the process
o adjusting taris and pricing structures to subscribers`
needs and usage patterns.
1here are two main reasons or not including mobile-
broadband prices in the 2010 IPB. lirst, mobile-broad-
band serices are not yet aailable in all countries, so the
number o countries included in the IPB would hae
to be reduced. Second, gien the relatie noelty o the
serice, pricing structures are changing quite rapidly and
ary between countries. Mobile-broadband subscrip-
tions could include the subscription to a USB,dongle
which enables a computer to connect to the Internet ia
a 3G network, or they could reer to the subscription
to the Internet ia a mobile-cellular telephone. \hile
both subscriptions use the same high-speed ,3G, wire-
less network, packages and prices dier. Oten, access
to data and the Internet are also bundled with other
serices, such as calls or sms, which makes it dicult
to separate out the price or data only. 1hese diculties
suggest that some comparisons need to be made and
some rules need to be established beore a harmonized
mobile-broadband sub-basket can be calculated. linally,
it is not clear i this sub-basket should be gien the same
weight as the other sub-baskets, or whether it should be
grouped with the xed-broadband sub-basket.
1o take ull adantage o the potential o the Internet,
broadband Internet access is indispensable. Many o
the most popular applications and serices in use today,
including many that hae the greatest deelopment po-
tential, require a high-speed broadband connection. By
the end o 2010, there were 52 million xed-broadband
connections, according to I1U. \hile it is not possible
to know how many people access the Internet oer a
xed-broadband connection, more and more o the
world`s 2 billion Internet users hae gone high speed`.
Indeed, the number o dial-up and narrowband con-
nections is decreasing, and in many countries Internet
access is almost exclusiely broadband.
1he price computed or the xed-broadband sub-basket
gies a broad representation o an entry-leel xed-
broadband oer aailable in an economy. 1he price
is calculated based on a 256 kbit,s connection and a
minimum o 1 Gigabyte ,GB, o data. Broadband is
considered any dedicated connection to the Internet at
speeds equal to, or greater than, 256 kbit,s, downstream.
\here seeral oers are aailable, preerence is gien
to a 256 kbit,s connection. Preerence is also gien to
unlimited` oers, when these are cheaper than a capped
oer ,based on 1 GB o data,. I proiders set a limit
o less than 1 GB on the amount o data that can be
transerred within a month, then the price per additional
Gigabyte was used and added to the monthly tari to
calculate the cost o 1 GB o data per month. \heneer
possible, prices are or serices oer a digital subscriber
line ,DSL,, since this remains the most common access
method worldwide. 1he sub-basket does not include
installation charges, modem prices or telephone,line
rentals that are oten required or a DSL serice. 1he
tari represents the broadband entry-leel plan in terms
o the minimum speed o 256 kbit,s, but does not
take into account special oers - limited in time or to
specic geographic areas. 1he plan does not necessarily
Measuring the Information Society 2011
147
Endnotes
1
lor the 2008 IC1 Price Basket, 2008 PPP conersion actors, the 2008 UN conersion rate and 2008 GNI per capita data were used.
lor the 2010 IPB, 2009 alues were used in all three cases, as 2010 data were not yet aailable.
2
See Point 1opic ,2011,.
3
See OLCD ,2010a,, pp. 13-14.
4
It should also be noted that the preious ,2009, mobile sub-basket was based on the 2001 methodology o the OLCD low-user
basket, which included only 25 calls and 30 sms, instead o the 30 calls and 100 sms that are included in the 2009 methodology. 1he
results o the mobile sub-basket and the preious IPB that were published in 2010 are thereore not strictly comparable with the 2008
results published in this report. Since the updated mobile sub-basket methodology includes more calls and more sms, it will be relati-
ely more expensie than the mobile sub-basket published in 2010.
5
lor more details on the OLCD,1eligen methodology, see OLCD ,2010a, pp. 13-14.
6
On-net reers to a call made to the same mobile network, while o-net and xed line reer to calls made to other ,competing, mobile
networks and to a xed-telephone line, respectiely.
Measuring the Information Society 2011
149
households and indiiduals. Ioweer, ull harmoniza-
tion is not always easible, and some limitations still exist
in regard to comparability o questions or classicatory
ariables. Additional eorts hae been made to try to
show harmonized and comparable inormation as ar
as possible.
lor example, populations taken into account to measure
the use o IC1 may dier, as not all countries are using
the same age range or sureyed indiiduals ,see Annex
1able 3.1,. lor comparison purposes, and wheneer pos-
sible, the results are shown or the population between
15 and 4 years old. It is expected that more countries
will collect data with a broader age scope in the uture,
so that comparisons can be made at the leel o the
total population.
In other cases, not all countries with aailable data or
a certain ariable can be included in the analysis due
to the act that not all subcategories o a question or a
classicatory ariable hae been sureyed. Ioweer, it
is expected that this can be corrected in uture analyses,
as more countries begin to ollow the recommendations
by the Partnership.
\hen analysing surey results, it is ery important to take
into account that, as sureys apply to a representatie
sample o the population and not the entire population,
they incur sampling errors. Results which at rst sight
look dierent may be ery close or potentially equal when
they are compared in light o their standard errors. lor
example, results that show small dierences among clas-
sicatory categories need to be read with care, since in
some cases they may oerlap when condence interals
are calculated. Non-sampling errors, also reerred to as
bias, may also occur at any time. 1his can be due, or ex-
ample, to sampling rame inadequacies or non-response.
Since 2004, the Partnership on Measuring IC1 or De-
elopment has been striing to achiee internationally
comparable and reliable statistics on IC1 access and use.
1he members o the Partnership hae been working
together in deeloping and maintaining a core list o IC1
indicators which is recommended as a minimum set that
could be collected by countries, in particular by national
statistics oces ,NSO,. One o I1U`s responsibilities
has been to proide guidance and capacity building in
the collection o data or the core IC1 household in-
dicators, specically on IC1 access by households and
IC1 use by indiiduals.
Until 2005, I1U ocused on collecting primarily tele-
communication inrastructure and market statistics.
It thus has historic time-series data on IC1 serices,
including Internet and mobile-cellular subscription data.
Ioweer, subscription ,or supply-side, data hae their
limitations, particularly when it comes to analysing the
uptake and use o IC1s by people and businesses. lrom
2005, I1U thereore started gathering demand-side data.
Collected through household sureys, demand-side data
proide in-depth inormation on IC1 use not only in
terms o usage leels but also according to socio-demo-
graphic and economic characteristics, which in turn can
be used to identiy IC1 diides and barriers. More and
more countries hae started collecting demand-side IC1
data through ocial household sureys. By end 2010, 34
deeloping economies had collected data on the number
o indiiduals using the Internet or at least one year
between 2008 and 2010 through an ocial household
surey. Chart 5.1 ,Chapter 5, proides a more detailed
picture o data aailability on this indicator by region
and oer time.
\ork has been undertaken by I1U, in cooperation with
NSOs, to harmonize questions on IC1 access and use by
Annex 3. Methodological aspects
related to household survey results
150
Annex 3