Concept Paper: A Strategic Approach to Bridge the Digital Divide in the Philippines

1. Concept Paper: A Strategic Approach to Bridge the Digital Divide in the Philippines by: Renato C. Valencia Private Sector Co-Chair ITECC e-Government Committee APT Regional Forum, Indonesia February, 2004

2. A g e n d a • Perspective on Digital Divide • Philippine Case • A Strategic Approach • Conclusion

3. P e r s p e c t i v e On Digital Divide

4. What is Digital Divide? • Gap between “info-rich” & “info-poor” • “Info-poor” unable to avail of opportunities presented by digital technology to achieve their economic, social & political goals • Unattended: Lead to widening gap

5. Causes of Digital Divide? • Lack of: • Human capacity • Appropriate regulatory & policy regimes • Access to information/knowledge

6. Why Care About Digital Divide? • ICT Revolution: significantly contributed to world economic growth and progress • Broke time/space barriers: better efficiencies, higher productivity, lower costs • Introduced new ways/lifestyles • Built skills/improved education • Improved medical science/health care • Improved governance/enhanced culture • Fostered investments, research • Empowered individuals, communities, nations

7. Digital Divide Indicators(Digital Divide Network) • Global (Global Internet Trends, 1st qtr, 2001) • Only 6%, or 429 mm online (41% North America; 27% Europe, Middle East, Africa; 20% Asia Pacific, 4% South America) • US (Dept. of Commerce 2000) • w/ computer: 51% (>rest of the world) • w/ Internet access • 56.8% Asian American/Pacific Islander; 46.1% White; 23.5% Black; 23.6% Hispanic • 86.3% w/ $75k p.a. income; 12.7% w/ <$15k p.a. income

8. Whose Concern is Digital Divide? • The poor? Government? Private sector? • Everyone’s concern; the “haves” realize only by empowering the poor can the world foster peace & prosperity

9. Problem of Metrics • Can’t measure, can’t manage • Tele-density not enough; • Better metrics, better management • Identify disadvantaged sectors; quantify problem; provide viable solutions

10. P h i l i p p i n eC a s e

11. Human Capacity: Phil. Profile • 80 mm population in 7,000 islands • Predominantly Malay & Catholic • Predominantly young (71% <35 yrs.) • Culturally diverse (54 ethnic groups, 111 local dialects, 8 principal; historically influenced by the Malays, Chinese,Spaniards, Americans) • 94% literate (73% in English) • Per capita GNP: $ 800 • 30% below poverty line

12. Human Capacity: ICT Readiness in Schools ICT Readiness in Schools (INNOTECH, 2001; 45,811 schools; 79% response) • w/ electricity: 66.1%; w/o: 30.7% • w/ tel.: 13.3%; fax: 2.9%; Internet: 2% (NCR: tel.-92%; fax-50%;Internet-19%) • w/ computers: 14.3% (NCR:87.3%) • w/ IT-proficient staff: 18.2% (NCR-75.5%) • School heads w/ ICT training, past 5 yrs.: 13.3% (NCR: 54.5%)

13. Human Capacity: Govt. Initiatives Govt. Initiatives: $ 12mm: train teachers, equip schools (DECS) Open Learning/Distance Education Policy (CHED) Philippines ranked 7th in the Global Web-Quality Index Also, ranked 6th in e-participation (measure of government’s willingness to interact with citizens over the net)

14. Regulatory & Policy Regimes

15. Regulatory and Policy Regimes: ITECC VISION

16. Government Initiatives • E-Commerce Law • ICT Commission • DICT Bill • ICT convergence

17. Regulatory and Policy Regimes Philippine Report card [Carmichael Consulting, Aug., 2003]

18. Observations • Digital divide exists; willingness to address problem • No specific plan/policy on Digital Divide; Goals, resource allocations, timetables tend to be hazy • Disparate initiatives

19. Access to Information

20. CURRENT SITUATION • Existing programs to un-served areas: only voice services • Internet access: private sector internet café’s • Pilot tele-centers: widely dispersed, uncoordinated, and limited scale • Content: minimal • Unsustainable

22. Philippine Case: Findings • Young, literate, English-speaking, certain level of computer literacy: open to embrace digital technology • Supportive regulatory & policy regimes • On access to information & knowledge • Local content must be digitized/translated • Delivery/infrastructure good; un-served areas • Affordability & financing of appliances • Need for specific, comprehensive, unified plan on digital divide

23. AS t r a t e g i c A p p r o a c h

24. Basic Plan • Identify sectors • SWOT Analysis • Vision/Mission/Goals • Principles/Strategies • Government/private sector-led? • Comprehensive? • Participants? Roles? • Sustainable? • Programs/plans of action? • Accountability?

25. Human Capacity • Early & basic education, esp. for the disadvantaged? • Computer literacy? • Open learning/distance education? • Roles of government, corporations, NGO’s?

26. Regulatory & Policy Regimes • Champion? • Specific Plan on Digital Divide? Accountable? • Coordinated, unified programs? • Laws/incentives addressing digital divide?

27. Access to Information • Specific program: digitize/translate files, esp. local content? • Community e-centers: extensive? viable? Commercially unviable areas? • Affordability/financing of access?

28. Conclusion • RP has human capacity, as well as regulatory & policy support to embrace digital technology • Must focus on access to information,knowledge • Need for strategic, unified approach to address digital divide in Phil.

29. THANK YOU !