OECD Information Technology Outlook 2006

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Information technology (IT) and broadband are major drivers of economic change, restructuring businesses, affecting skills and employment, and contributing to growth and consumer benefits. This volume describes recent market dynamics and trends in industries supplying IT goods and services and offers an overview of the globalisation of the information and communication technology (ICT) sector and the rise of ICT-enabled international sourcing. It analyses the development and impact of the changing global distribution of services activities and the rise of China and India as significant suppliers of ICT-related goods and services. It also looks at the increasing importance of digital content in selected industries and how it is transforming value chains and business models. The potential of technological developments such as ubiquitous networks, location-based services, natural disaster warning systems, the participative web and the convergence of information technology with nanotechnology and biotechnology is also examined. This book includes StatLinks, URL's linking statistical graphs and tables to spreadsheets containing the underlying data.

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China, Information Technologies and the Internet

China has established itself as a leader in the production and use of information and communication technologies (ICTs). On the supply side, it has become one of the most important locations for the assembly and production of ICTs, mainly driven by foreign firms. Since 2004, it has been the biggest exporter of ICT goods and its strong ICT exports continued up until early 2006. China continues to import electronic components – now increasingly from other Asian countries – while exporting computer and related equipment. In spite of their relatively limited size and technological know-how, Chinese ICT firms are rapidly developing their production and export capacities (especially in the area of telecommunications equipment). On the demand and use side, China is the now the sixth most important global ICT market but still lags in the area of ICT services. PC penetration, Internet access and use (including e-commerce) are developing rapidly, albeit from low per capita levels.

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