Following John Daly’s lead, I read an interesting article in “Issues in Science and Technology” discussing the link between information technology and socioeconomic development. The article by Renee Kuriyan, Isha Ray, and Daniel Kammen from Berkley explores the viability of business-government partnerships for development. On the one hand, they ask what degree it is possible to do well while doing good. On the other, they are trying to see what are the needed conditions for this paradigm to work. It is quite an interesting read and the authors draw a rather complex evaluation of this approach.
You are welcome to read the entire article, but what I wanted to share here are some quotes containing numbers about information technology and associated investment in developing countries. So, here we go:
With the explosion of markets for low-cost cell phones, personal digital assistants, and personal computers, the information and communications technology (ICT) sector has been particularly influenced by the BOP business logic. More than half of the world’s population lives in rural or peri-urban areas outside the reach of ICT networks. To bridge this digital divide, the World Bank and IFC have invested $5 billion in loans to ICT projects in more than 80 countries. Most USAID programs worldwide have an ICT component, with its latest report indicating that the U.S. government spent a total of $120 million on ICT for development purposes (ICT4D).
Mobile telephony represents the most dramatic ICT4D and BOP success story. According to the joint WRI and IFC report, between the years 2000 and 2005, the number of mobile subscribers in developing countries grew to nearly 1.4 billion, a fivefold increase. Annual increases in cell phone subscribers exceed 100% per year in some nations, notably in sub-Saharan Africa.
India stands out as a leader in developing ICT4D projects, with over 150 private and public initiatives. Mobile subscribers per 1,000 people increased from 4 in the year 2000 to 48 in 2004. Internet users per 1,000 people went from 5 in 2000 to 23 in 2004. The Indian government has made a concerted effort to deliver low-cost connectivity and ICT-enabled services to the “common person” for development purposes. One of the most popular channels for the mass delivery of ICT4D services is through access to shared computers in rural ICT kiosks (also known as telecenters). The kiosks are equipped with one or more Internet-enabled computers and are generally owned and run by independent entrepreneurs. The Indian government is in the process of installing 100,000 ICT kiosks for business and government services throughout the country through a franchise model. Microsoft Corporation India has committed to initiating an additional 50,000 kiosks on the premise that such kiosks can be drivers of growth and facilitate development through business opportunities. The most recent company to seek its fortune in rural India is Google, with a simplified search engine and mobile phone applications, customized to provide weather information, crop patterns, and other relevant data to rural customers.
There are no new and shocking ideas in these data, but it is always good to put numbers along some commonly shared “wisdoms”. Again, here is a link to the complete article.