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Examining Trends in ICT Statistics: How Does the Philippines Fare in ICT?

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Examining Trends in ICT Statistics: How Does the Philippines Fare in ICT? A Service of Leibniz-Informationszentrum econstor Wirtschaft Leibniz Information Centre Make Your Publications Visible. zbw for Economics Albert, Jose Ramon G.; Serafica, Ramonette B.; Lumbera, Beverly T. Working Paper Examining trends in ICT statistics: How does the Philippines fare in ICT? PIDS Discussion Paper Series, No. 2016-16 Provided in Cooperation with: Philippine Institute for Development Studies (PIDS), Philippines Suggested Citation: Albert, Jose Ramon G.; Serafica, Ramonette B.; Lumbera, Beverly T. (2016) : Examining trends in ICT statistics: How does the Philippines fare in ICT?, PIDS Discussion Paper Series, No. 2016-16, Philippine Institute for Development Studies (PIDS), Quezon City This Version is available at: http://hdl.handle.net/10419/173537 Standard-Nutzungsbedingungen: Terms of use: Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Documents in EconStor may be saved and copied for your Zwecken und zum Privatgebrauch gespeichert und kopiert werden. personal and scholarly purposes. Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle You are not to copy documents for public or commercial Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich purposes, to exhibit the documents publicly, to make them machen, vertreiben oder anderweitig nutzen. publicly available on the internet, or to distribute or otherwise use the documents in public. Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, If the documents have been made available under an Open gelten abweichend von diesen Nutzungsbedingungen die in der dort Content Licence (especially Creative Commons Licences), you genannten Lizenz gewährten Nutzungsrechte. may exercise further usage rights as specified in the indicated licence. www.econstor.eu Philippine Institute for Development Studies Surian sa mga Pag-aaral Pangkaunlaran ng Pilipinas Examining Trends in ICT Statistics: How Does the Philippines Fare in ICT? Jose Ramon G. Albert, Ramonette B. Serafica and Beverly T. Lumbera DISCUSSION PAPER SERIES NO. 2016-16 The PIDS Discussion Paper Series constitutes studies that are preliminary and subject to further revisions. They are be- ing circulated in a limited number of cop- ies only for purposes of soliciting com- ments and suggestions for further refine- ments. The studies under the Series are unedited and unreviewed. The views and opinions expressed are those of the author(s) and do not neces- sarily reflect those of the Institute. Not for quotation without permission from the author(s) and the Institute. May 2016 For comments, suggestions or further inquiries please contact: The Research Information Staff, Philippine Institute for Development Studies 18th Floor, Three Cyberpod Centris - North Tower, EDSA corner Quezon Avenue, 1100 Quezon City, Philippines Telephone Numbers: (63-2) 3721291 and 3721292; E-mail: [email protected] Or visit our website at http://www.pids.gov.ph Examining Trends in ICT statistics: How Does the Philippines Fare in ICT? by Jose Ramon G. Albert, Ramonette B. Serafica and Beverly T. Lumbera1 ABSTRACT In the past one and a half decades, the world has vastly changed economic transactions, data sharing, and the entire general way of life given the dynamic and innovative landscape brought about by information and communications technologies (ICT). In this paper, we firstly describe the deluge of digital data known as Big Data and its potentials for generating socio-economic statistics given issues of veracity and privacy. We also give a brief history of the internet in the Philippines, and discuss the increased internet access and usage in the country. Other ICT statistics are also examined in this discussion paper, that describe a host of issues regarding the ICT sector, particularly infrastructure and the policy environment. Finally, we provide some suggestions on how the country can make its digital dividends more inclusive. KEY WORDS: ICT, Big Data, internet, social media, veracity, privacy, digital dividends 1 The first two authors are, respectively, senior research fellows of the Philippine Institute for Development Studies (PIDS) while the third author is research specialist, also of PIDS. The views expressed here are the authors’ own. The first author wishes to thank Martin Joseph M. Raymundo, research assistant of PIDS, for some assistance in generating some statistics, figures and tables described here. 1 1. Introduction Information and communications technologies (ICT) has been a game changer in our ways of doing things, especially in accessing and sharing information, connecting with one another, as well as in doing business and providing services. Tools on ICT, i.e., desktops, laptops, tablets, mobile phones, and other gadgets, as well as the internet and social media (facebook, twitter, instagram, youtube, dubsmash, spotify, etc.), have provided us the means to transmit and exchange data much faster, whether these data are in the form of sound, text, visual images, signals or any other form or any combination of those forms. Today, we are awash with data as a result of tools in ICT that have made data more easy to collect, store, analyze, share, re-share and re-analyze. We live in a world where everything is just a click away, all because of ICT. There is also now discussion about the next big ICT revolution: the Internet of Things (IOT). Imagine what we see in “Star Trek” movies, objects all networked, everything becomes linked with everything else, and objects giving us “feedback” … Entering your house and the entire room light up and have a temperature that you want and automatically open your television to your favorite tv show; or having your sofa buzz your phone to tell you that you have left your wallet behind; or having your refrigerator order your groceries online without you having to make a shopping list. All these requires putting chips in your tv, lights, air conditioner, sofa, your wallet and your refrigerator to enable them to talk to the rest of the world. The IOT roughly means connecting any device with an on and off switch, and a chip to the internet (and/or to each other). This includes everything from cellphones, refrigerators, air conditioners, washing machines, cars, jet engines of an airplane, etc. The analyst firm Gartner (2015) estimates that by 2020 there will be about 21 billion connected devices, which means for every person, there will be three devices connected to the internet by then. The relationship of connections from the IOT will be between people-people, people-things, and things-things. This is already starting. In a world of vastly changing economic transactions, the ICT sphere is undoubtedly important to sustain economic activity. Both the public and private sectors are challenged to keep up with the pace of changes in ITC. Quiang (2009) estimates that for every 10 percent increase in high speed internet connections, economic growth increases by 1.3 percent (1.38 percent for high income economies, and 1.21 percent for low to middle income economies). As the Philippines has developed a new economic growth trajectory, it requires reliable, accessible and affordable ICT services for Philippine participation in the information economy. It is important for the Philippines to maximize the digital dividends resulting from the wider use of ICT in the country. It is crucial that policies are formulated and implemented to underscore the positive effects of ICT to economic growth, particularly in promoting a more sustained and inclusive economic growth. The provision of accessible and affordable ICT services to Philippine society can be achieved through the proper implementation of existing regulatory frameworks, the formulation of better laws, rules and regulations, increased investments in upgrading ICT infrastructures that can be shared by all, and improvements in the capacity and accountability of institutions that administer and manage the ICT sector. ICT statistics need to be examined carefully in order to see the landscape. In 2000, the world committed to the Millennium Development Goals (MDGs), a set of 8 poverty and related goals by 2015. Given the importance of ICT in development, three ICT statistics have been monitored for the MDGs, viz., fixed telephone subscriptions per 100 inhabitants mobile- cellular subscriptions per 100 inhabitants, and number of internet users per 100 inhabitants. 2 Last September 2015, nations of the world gathered to commit to the 2030 Agenda for Sustainable Development, including the 17 Sustainable Development Goals (SDGs). Global monitoring of the SDGs involve 169 targets and 230 indicators. Six of these indicators are ICT statistics: (a) Proportion of individuals who own a mobile telephone, by sex; (b) Percentage of schools with access to: (i) the internet for pedagogical purposes; (ii) computers for pedagogical purposes; (c) Percentage of adults (15 years and older) with an account at a bank or other financial institution or with a mobile money service provider; (d) Percentage of population covered by a mobile network, by technology; (e) Fixed internet broadband subscriptions, by speed; and, (f) Proportion of individuals using the internet. In this Discussion Paper, we firstly discuss the rise of Big Data, i.e. digital data exhaust from using tools of ICT, and the potentials of this data source as an alternative data source for statistics especially in the wake of the world’s commitment to the 2030 Agenda on Sustainable Development, and the Sustainable Development Goals. Then we discuss a brief history of the internet in the Philippines, and some statistics about internet access in the country. We then further examine trends in various ICT statistics and discuss several issues regarding the ICT sector, particularly infrastructure and policy issues. We also discuss some ways forward so that the country can work on ways to having its digital dividends, i.e., the development effects of these technologies, more inclusive. 2. The Rise of Big Data We have an enormous amount of digital data being created and shared, especially with the availability of smart phones, the internet, social media, sensors and other tools of ICT.
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