Thursday, February 3, 2011

Chapter 2 - Technology Infrastructure: The Internet and the World Wide Web



"In 40 years, the Internet has grown to become one of the most amazing technological and social accomplishments of the last millennium." Schneider Gary, Chapter 2

Despite being a recent phenomenon the Internet and IT infrastructure has become a central piece in modern society and a huge tool to accelerate progress in developing countries. New emerging opportunities could help small and poor economies in the identification of new development strategies to overcome chronic problems such as lack of natural resources, geographical isolation, population dispersion and other structural conditions.

Presently this is the Cape Verde situation. The country was recently promoted by the UN from the least developing countries group to the medium income group which rewards the efforts made in the last decade and improvements in the Human Development Index. On the other hand Cape Verde is still vulnerable with a highly dependable economy.




In this scenario ICT reveals to be strategic for the Capeverdean development. In that direction, authorities are implementing cutting edge initiatives to overcome the country's current issues. The e-government program is impacting lives and promoting the rise of the information society connecting capeverdeans across the world (diaspora) with their fellow citizens in the islands. The online service "House of the Citizen" (Casa do Cidadão) is a one-stop shop where various services of the administration are available allowing effective access to the public information, delivering efficient services with increasing levels of accountability.

Meanwhile, Cape Verde has to develop the ICT sector to sustain the present achievement. In regards to the ICT development, I.T.U. - International Telecommunication Union reports that in 2010 the country was ranked in the 102 position which reflects the higher telecommunications cost. In 2009 the Internet Broadband cost was representing 19,65% of the medium income.

In my point of view, despite the government's performance the country is not yet prepared to compete in the global market. My experience as a player in the market allows me to point out three major constrains that should be evaluated and measured through research:
  1. IT enterprises have a limited market due to major role that government corporation plays in the value chain
  2. The National IT infrastructure was privatized for 50 years in the late 1990s  to a foreign company. The present government could only minimize the impact by reducing the award to 25 years. But the company has made investments in the IT infrastructure covering all the islands with a communication network (fixed lines, broadband and wi-fi). Still the company operates with focus on financial rewards and maintains a higher access cost for consumers and companies.
  3. A lack of an innovational environment delays the evolution of critical brain mass. IT entrepreneurs don't have access to seed capital, copyright laws are not effective and national policy is focused on the public sector.
However, countries compete with each other and those who are in a better shape to foster their own wealth and take advantage of their own set of infrastructure, with broadband connection and readiness to innovate, will be better positioned in the future.

In defiance of all major questions, ICT represents a window of opportunity for Cape Verde which should be able to consolidate present achievements and effectively lead innovation in Africa.


Source:
Schneider Gary, 2011. Electronic Commerce 9th Edition. Course Technology, Cengage Learning
International Telecomunication Union
International Human Indicators

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