With Lance Knobel at World Link I co-conceived, researched and developed the Network Society Map. It aimed to show how well prepared 49 of the largest and most dynamic economies are to compete in the network society. The economies surveyed were those in the World Economic Forum’s Global Competitiveness Report 1996. The Map was presented at the World Economic Forum’s 1997 Annual Meeting in Davos, Switzerland.

Network map thumbnail [312K JPEG] and published map [3.3Mb PDF]

1. Explanation
2. Network society ranking
3. Sources and credits
4. Reference (including more recent surveys and analysis)

Explanation

We have lived in the information age for 150 years, since telegraphy gave us the ability to transmit data almost instantly and allowed the futures of markets and industries to be decided in real time. What characterises the developments we are currently experiencing is the convergence of media around one form – the digital – and the opening up of standards for information exchange, making viable new ways of working. These developments become imperative as advanced economies can no longer rely on manufacturing for economic growth and job creation and must find other ways of conducting existing business and new avenues for adding value.

The Network Society Map aims to show how well prepared 49 of the largest and most dynamic economies are to compete in the network society. The economies are the same ones surveyed in the World Economic Forum’s Global Competitiveness Report 1996. Factors chosen indicate different aspects of preparedness:

Phone lines There can be no network society without a network and for most consumers in most countries this will be the phone network linking to an Internet service provider and accessed via a modem.

Mobile phones This indicates the willingness to adopt new technology and working practices, as well as the ability to develop a sophisticated telecommunications infrastructure. Mobile connections will be a major access route to the Internet in the near future, particularly for field workers.

Televisions Most consumers are likely to access the Internet via a set-top box, using their television as a monitor. Television penetration also indicates the possibilities for the Internet as a leisure and entertainment medium.

Cable connections In more advanced countries cable will be the medium of choice for high-bandwidth access to the Internet and an extensive cable infrastructure is an important beginning. (It should be noted that the extent of cable can indicate an infrastructural weakness and problems in getting services to remote users.)

Satellite connections These will be important in remote areas and in so-called webcasting (broadcasting material to be cached in advance of access). Both satellite and cable are indicators of mature consumers, used to receiving additional services in the home.

Personal computers PC penetration indicates a familiarity with digital technology, although PCs have traditionally been used for processing rather than accessing and transmitting data. PC users in the workplace and in the home have and will tend to be the early users of the Internet, although in the home the PC may not be the dominant method of access.

PC factor This is from the Global Competitiveness Report 1996 and indicates the overall maturity of business use of technology. The network society points to many new ways of doing business, and those companies used to innovating with technology will benefit even more greatly in future.

Internet hosts This is a strong indicator of how far the Internet has pervaded a society, both in the commercial and academic sectors. Hosts could be Web, ftp, mail or other kinds of servers.

There are other factors which are less easy to quantify – such as the cultural and Cold War dynamics that made Silicon Valley what it is today – but to a large extent these factors are evened out nationally and reflected indirectly in other statistics.

Network society ranking

The final ranking was compiled by: (1) multiplying values to make them of equivalent magnitude; (2) multiplying all values by a factor representing the importance of that element in creating a network society; (3) adding all the resulting values and ranking the results in order from the greatest to the least. Where no data existed (N.D) a value was estimated by using comparable data. Figures in italics represent values from a previous survey to that credited as the source.

Network society ranking table (HTML)

Sources and credits

Sources

World Telecommunication Development Report 1995
<www.itu.int/WTDR95> published by the International Telecommunication Union (ITU)

Mobile Communications. Published by Pearson Professional.

Screen Digest. Published by Screen Digest. +44 171 580 2842.

Computer Industry Almanac 1996.
Published by the Computer Industry Almanac

Matrix Information and Directory Services (MIDS) <www.mids.org>

Global Competitiveness Report 1996. Published by the World Economic Forum. <www.weforum.org>

[For sources in the table, dates indicate the point of collection.]

Resources

Network Wizards: Internet Domain Survey
<www.nw.com/zone/WWW/top.html> published by Network Wizards <nw.com>
Survey attempts to discover every host on the Internet by doing a complete search of the Domain Name System. Breakdown given by country or top-level domain and listed alphabetically.

CyberAtlas: Market Size
<www.cyberatlas.com/market.html>
Well-presented collection of advertising-related statistics.

1994 CIA World Factbook
<hoshi.cic.sfu.ca/cia>
Some telecommunications and PC data for most countries although not consistently presented or summarised.

Netcraft Web Server Survey
<www.netcraft.com/survey>
Regularly updated survey of Web server software usage on Internet connected computers.

The List
<thelist.iworld.com>
Comprehensive list of Internet service providers worldwide.

OECD: Information, Computer and Communications Policy
<www.oecd.org/dsti/sti_ict.html>
Information on the “global information infrastructure – global information society” initiative.

The Internet Society (ISOC): Information Services Index
<info.isoc.org:80/infosvc>
Links to connectivity maps and an extensive set of charts, tables, and current metric graphs.

Graphics, Visualization and Usability Center: WWW User Survey Home Page
<www.cc.gatech.edu/gvu/user_surveys>
The Hoffmann and Novak Internet-user demographic surveys. Sixth survey completed in October 1996.

Communications Industry Researchers
<www.cir-inc.com>
Trend-watching for the telecommunications, data communications, computer, cable television and broadcasting industries.

Assistance

Frost & Sullivan +44 171 730 3438 <www.frost.com>

Informed Business Services +44 171 490 2811 <www.informed-ibs.com>

Matrix Publishing Network Stephen Harris +44 171 316 9291 <www.mpn.com>

Ovum +44 171 312 2670 <www.ovum.com>

Simba Information +1 203 358 4287 <www.simbanet.com>

Spectrum Strategy Consultants +44 171 235 0525 <www.spectrumstrategy.com>

TeleGeography +1 202 467 0017 <www.telegeography.com>

Credits

Map artwork: Chapman Bounford, London

Printing: BAS Printers, Stockbridge, Hants

Published by: World Link Publications [no longer published by Euromoney]

Reference

16 Apr 2004: IBM/Economist Intelligence Unit annual ‘e-readiness ranking’ of 64 countries (published since 2000) measures six distinct categories: connectivity and technology infrastructure; business environment; consumer and business adoption; social and cultural environment; legal and policy environment; and supporting e-services. Information on IBM site (including link to PDF [no charge]). Press release on EIU site (more detail, including data overview) and download page for PDF [no charge].

10 March 2004: The Jupiter Research report ‘The Digital Life Index’ notes that as Internet, wireless, and DTV adoption continues to grow in Europe, digital sophistication and technology are becoming increasingly important to consumers. However, adoption rates vary by country, implying distinctive levels of market opportunity. Reported on in ‘UK consumers living the digital good life’ Silicon.com, April 20 2004

The role of trust was considered in ‘Web of Trust’ The Economist Technology Quarterly, 21/9/02, p12. “The statistical link between trust and Internet adoption turns out to be surprisingly strong.”

See The Advantage Index in NetProfit’s Reconnaissance, “a scorecard for the new connected world”: This index of 73 countries, representing 84 per cent of global GDP and 97 per cent of all Internet users, rates nations according to their ability to flourish in the new connected world.

See the ‘ITU Digital Access Index: World’s First Global ICT Ranking - Education and Affordability Key to Boosting New Technology Adoption’ Press release 19 November 2003. “The Digital Access Index (DAI) distinguishes itself from other indices by including a number of new variables, such as education and affordability.” Author Michael Mingus was interviewed on the BBC World Service programme ‘Go Digital’ on 24/11/03.