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The Digital Opportunity Index (DOI)

The Digital Opportunity Index (DOI). Michael Minges Senior Market Analyst Telecommunications Management Group, Inc. Contents. History What is digital opportunity? ICT Indexes: Problems & solutions About DOI Results DOI and wealth, etc. Extending DOI. Digital Opportunity Index.

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The Digital Opportunity Index (DOI)

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  1. The Digital Opportunity Index (DOI) Michael Minges Senior Market Analyst Telecommunications Management Group, Inc.

  2. Contents • History • What is digital opportunity? • ICT Indexes: Problems & solutions • About DOI • Results • DOI and wealth, etc. • Extending DOI

  3. Digital Opportunity Index • “In cooperation with each country concerned, develop and launch a composite ICT Development (Digital Opportunity) Index.”— WSIS I, Geneva, Plan of Action, December 2003 • “The development of ICT indicators is important for measuring the digital divide. … We also note the launch of the … Digital Opportunity Index, which will build upon the common set of core ICT indicators as they were defined within the Partnership on Measuring ICT for Development.”—WSIS II, Tunis, Agenda for the Information Society, November 2005

  4. What is digital opportunity? • The whole population having easy access to Information and Communication Technologies (ICTs) at affordable prices; • All homes equipped with ICT devices; • All citizens having mobile ICT devices; and • Everyone using broadband.

  5. Problems with existing indexes • Subjective • Exclusive • Poor choice of indicators • Confusing methodology • Limited analysis over time http://www.cepal.org/cgi-bin/getProd.asp?xml=/socinfo/noticias/documentosdetrabajo/8/24228/P24228.xml&xsl=/socinfo/tpl-i/p38f.xsl&base=/socinfo/tpl-i/top-bottom.xsl

  6. DOI advantages • Objective - Only statistical indicators • Inclusive – 180 economies covered • Standard indicators - “Partnership” core ICT indicators • Straightforward methodology - UNDP HDI oriented, favorable to developing countries • Time series – 2000-2005

  7. DOI structure DIGITAL OPPORTUNITY INDEX Percentage of population covered by mobile cellular telephony Opportunity Internet access tariffs as a percentage of per capita income Mobile cellular tariffs as a percentage of per capita income Proportion of households with a fixed line telephone Proportion of households with a computer Infrastructure Proportion of households with Internet access at home Mobile cellular subscribers per 100 inhabitants Mobile Internet subscribers per 100 inhabitants Proportion of individuals that used the Internet Utilization Ratio of fixed broadband subscribers to total Internet subscribers Ratio of mobile broadband subscribers to total mobile subscribers Indicators are averaged within categories, categories are averaged to get DOI.

  8. Digital Opportunity Index (DOI), Colombia, 2004 Note: The categories are the averages of the value of each indicator; the DOI is the average of the values of the three categories.

  9. Individual-mobile Household-fixed Ratio of Broadband mobile subscribers to mobile subscribers Ratio of Broadband Internet subscribers to Internet subscribers Proportion of individuals that used the Internet Only mobile Only fixed (Mobile) Internet subscribers per 100 inhabitants Both mobile & fixed Proportion of households with Internet access at home Proportion of individuals with Internet-enabled phone Proportion of households with a computer Mobile cellular subscribers per 100 inhabitants Proportion of households with a fixed line telephone Mobile cellular tariffs as a percentage of per capita income Internet access tariffs as a percentage of per capita income Percentage of population covered by mobile cellular telephony

  10. Mobile coverage% population covered by mobile signal 450 MHz 950 MHz 2100 MHz 12 km 27 km 49 km Source: GrameenPhone, International 450 Association.

  11. TariffsInternet & mobile baskets OECD prepaid, monthly basket

  12. Household ICTs % of households with, 2005: % of households with Internet access: Source: Hagstofa Íslands .

  13. Mobile Internet Source: OSIPTEL. Source: ANRT. % of mobile users, 2005

  14. Broadband Permanent Internet connections as % of all subscriptions Mobile subscribers, 000s 3G as % of total 3G 2.5G Source: Adapted from SKT, KTF, LGT. Source: National Statistics. 2G 1G

  15. The DOI for Colombia Colombia, DOI DOI, 2004 Fuente: CRT, DANE y estimaciones (Colombia), UIT (otros países).

  16. DOI, 2005

  17. Rankings Top & bottom ten Why Korea is number 1

  18. Mobile DOI

  19. DOI & GDP2005 DOI GDP per capita, US$

  20. DOI & human Development Digital Opportunity Index, 2004 Human Development Index, 2005

  21. DOI & regulation Regulatory Scorecard Results, 2003 Source: Jones Day / ECTA, 2004 Regulatory Telecommunications Scorecard, http://www.jonesday.com/pubs/pubs_detail.aspx?pubID=S1187 Change in DOI rank, 2002-2004

  22. Other DOI permutations • Gender (Czech Republic) • Within a country (Brazil)

  23. Extending DOI DOI + Knowledge (e.g., UNDP Education sub index) + Regulatory (e.g., EU Regulatory Scorecard) + Business (e.g., EC The e-business readiness composite indicator)

  24. Thank you minges@d-two.info

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