Study shows significant economic benefits from broadband

A new econometric study commissioned by Nokia Siemens Networks and conducted by economic consulting firm LECG finds that in countries where ICT diffusion and usage were at medium or high levels, not only had broadband technology spread rapidly but the economic benefit from improved broadband penetration was significant. However, the study finds that in countries where ICT diffusion was relatively low, broadband has generally been adopted more slowly and has not had a measurable impact in improving economic productivity. In these countries, while it may simply be a matter of time before the productivity benefits of broadband are fully evident, governments should take a more active role in helping to speed up broadband adoption and in helping businesses and consumers make deeper and more economically effective use of broadband. One of the conclusions that the study reaches is that there is a significant role for "demand side" policies which create incentives for, or lower the costs of, adopting broadband and computing technologies.