Telecoms, Datacoms, Wireless, IoT


Digital chicken or cyber egg - which should come first?

26 September 2001 Telecoms, Datacoms, Wireless, IoT

The digital divide and the right to access information is the current global media hype subject. Politicians around the world have also climbed onto the bandwagon with crowd-pleasing statements like those of erstwhile US Vice President, Al Gore, who claimed that the Internet is bring a 'brave new world replete with an on-line democracy'.

It is not.

The truth of the matter is that fewer than 2% of people in the world are actually connected and more than 80% have never even heard a dial tone, let alone surfed the web. Moreover, the gap between the information 'haves' and 'have-nots' is widening. According to UN Secretary General, Kofi Anan, being cut off from basic telecommunications services may prove to be a hardship almost as acute as the deprivations of poverty.

The statistics for the African continent are particularly stark. With an estimated population of 739 million people, there are only 14 million phone lines. That is fewer than in Manhattan or Tokyo. Furthermore, 80% of those lines are located in six countries. There are only 1 million Internet users on the entire continent compared with 10,5 million in the UK alone. Therefore, from London to New York, the Internet has certainly changed the face of both business and recreation activities but in Malawi and Mozambique, life remains very much the same.

All of these statistics and statements refer to connecting the individual, but is this the most important issue?

The answer must be 'No' because it is such a vast problem. The more important topic in the digital divide debate is unquestionably the formation of a focused technology policy that favours the emergence of ICT (information and communications technology) or cyber centres within a country. The vast economic stimulus that this can provide has been shown in India, for example, where Bangalore and Hyberdad - now popularly referred to as Cyberdad - are providing this third world country with its 'digital revolution'.

Though it is a developing country, India has forged a US$5 bn industry from a US$15m business in 1988. Indian software exports have grown by a staggering 55% annually for the past 10 years. The Indian software industry employs 280 000 people and Indian professionals account for 34% of all Microsoft employees.

How did they do it? By nurturing an environment that favoured entrepreneurship. Could South Africa be the cyber centre of this continent?

Yes. The environment here is excellent for the development of ICT centres. SA, like India, is a mix of first and third world, in terms of the presence of first world technology and third world problems. However, a national will to succeed is vital. Government, big business, the investment community and even the local media - all have a role to play.

Because technology is changing all the time, the centres do not need to be cutting-edge, but they must be good. It is a myth that countrywide Internet access must be present before the benefits of connected centres can be obtained.

Government needs to provide the necessary deregulation to make things happen.

A positive, as opposed to punitive, attitude from the investment community is also essential. Entrepreneurial companies embarking on local technology development need the backing of the investment sector. Financial analysts need to broaden their radar screens in terms of understanding long-term national benefits, rather than focusing on short-term returns.

South Africa's media tends to play a Doubting-Thomas role when reporting on local technology development initiatives which is unquestionably picked up by the international community.

But all efforts will be to no avail if we cannot sell ourselves to world markets. South Africa, unlike India, has no national presence in Silicon Valley. The onus is on government and business to work together and aggressively market the cost benefits of technology development in this country.

So, what comes first - the digital chicken or the cyber egg?

Both issues can be addressed in tandem but the digital chicken in the form of the development of ICT centres must be the main focus.

The connection of the individual is a separate and, of course, important matter. It is also an emotional issue that makes for good political lip service. But substance, in the form of real benefits, can only be derived from the formation of a national strategy for the development of technically enabled centres. The economic spin-off would unquestionably elevate the economy as a whole. This in turn would lead to new-found wealth and the resources necessary to address third world priorities like health care, sanitation, and education, and thereby not just connect, but more importantly, uplift the individual.

For further information contact Barbara Kruger, Spescom Limited, (011) 266 1701.





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