Prospect Report of IT Application in Asia The 3 rd Forum On City Informatization in the Asia-Pacific Region The 3rd Forum on City Informatization in the Asia-Pacific Region (CIAPR III Shanghai 2002) Sponsors: The United Nations Department of Economic and Social Affairs The United Nations Development Program The State Council Informatization Office of China 1
The Ministry of Science and Technology of China The Ministry of Information Industry of China The Ministry of Foreign Trade and Economic Cooperation of China The Chinese Academy of Sciences The Shanghai Municipal People s Government Organizers: Shanghai Informatization Office Foreign Affairs Office of Shanghai Municipal People s Government The Regional Cooperation Office for City Informatization Shanghai Informatization Cooperation Exchange Center Honorary Chairmen Ivan Šimonovic Zeng Peiyan Xu Guanhua Wu Jichuan Shi Guangsheng Lu Yongxiang Chen Liangyu Chairmen Nitin Desai Liu He Ma Songde Lv Xinkui Long Yongtu Jiang Mianheng Yan Junqi President of ECOSOC Chairman of the State Development Planning Commission and the State Council Informatization Office Minister of Science and Technology Minister of Information Industry Minister of Foreign Trade & Economic Cooperation President, Chinese Academy of Sciences Mayor of Shanghai Under-Secretary-General for the United Nations Vice Chairman of the State Council Informatization Office Vice Minister of Science and Technology GM, Group of Electronic Science and Technology; Former Vice Minister of Information & Industry Vice Minister of Foreign Trade and Economic Cooperation Vice President, Chinese Academy of Sciences Vice Mayor of Shanghai Forum Executive Chairperson Yan Junqi Vice Mayor of Shanghai Conference Organizing Committee Director: Yang Xiong Vice Director: Vice Secretary General of Shanghai Municipal People's Government Fan Xiping Director, Informatization Office of Shanghai Municipality 2
Li Xuanhai Vice Director, Foreign Affairs Office, Shanghai Municipality He Shouchang Vice Director, Informatization Office of Shanghai Municipality Jian Yang Vice Director, News and Information Office, Shanghai Municipal People s Government Wang Mingzhu Vice Director, Reception Office, Shanghai Municipal People s Government Zhou Weimin Vice Director, Coordinating Office, Shanghai Municipal People s Government Zhang Shenghua Vice Director, Shanghai Bureau of Public Security 3
Contents Chapter One 10 World Development and 10 Application Trend of Information Technology (IT) 10 1. Characteristics and Trend of the World Information Industry Development 10 1.1 Introduction of the World Information Industry Development 10 1.2 Development Trend of the World Information Industry 14 2. Powerful development of mobile communication market 16 3. Advancement and Development Prospect of IT 17 3.1 Electronic Technology Will Have New Revolutionary Progress 17 3.2. Communication Technology Advances Rapidly 19 4. IT Application and Development Trend in the World 22 4.1 E-Commerce 22 4.2 Enterprise Informatization 25 4.3 E-Government 27 Chapter 2 IT Application in Asia 30 1. Current Situation and Characteristics of the Asian Telecomm Operating Industry Development 31 1.1 Continually Improved Status in the World 31 1.2 Accelerated Opening Progress of Telecomm Market and Intensified Market Competition 32 1.3 Telecomm Infrastructures Are Still Weak; and the Regional Development Differences Are More and More Distinct 34 1.4 New Telecomm Businesses in Asia Are Developing Quickly 35 2. Development of Asian Electronic Information Industry 36 2.1 Overview of Asian Electronic Information Industry 36 2.2 General Features of Development 39 2.3 A Profile of Main Electronic Information Industries 40 2.4 Prospects of Electronic Information Industry in Asian Countries or Regions 43 3. Application of Electronic IT in Asia 45 3.1 Application Level of Electronic IT in Asia 45 3.2 Enterprise Informatization 46 3.3 E-Commerce Development in Asia 47 Chapter 3 IT Application and Prospects in Japan 51 1. Economic Profile of Japan 51 1.1 Population of Japan 51 1.2 A Survey of Japan s Economic Development 51 1.3 Development of Major Industries in Japan 51 1.4 Status of Japan s Information Industry 54 1.5 Features and Evaluation of Japan s Current Overall Economic Development54 2. Status and Trend of Development of Communication Sector 57 2.1 Construction and Evaluation of Communication Infrastructure System 57 2.2 Current Situation and Trend of Japan s Communication Industry 60 2.3 Market Pattern of Telecomm Operation Market and Development Trend 66 3. An Analysis on the Market of Electronic Information Products 70 3.1 Market Scale, Development Features and Growth Potentialities of the Electronic Information Products 70 3.2 Sales Scale, Development Features and Growth Potentialities of e-information Manufacture Products 72 3.3 Market Scale, Development Features and Growth Potentialities of Information Service Industry 80 4. Development of Information Industry in Japan 82 4.1 An Overview of Industrial Development 82 4.2 Development Features and Trends of Major Products 87 4
5. An analysis on Information Technology (IT) Application 91 5.1 Network Construction and Popularization 92 General status of world internet users 92 A profile of Internet users in Japan 92 5.2 Education Informatization 93 5.3 Enterprise Informatization 93 Table: E-Commerce market comparison between the USA and Japan 94 5.4 E-Government 94 Chapter 4 Information Technology Application Analysis 95 in South-East Asia 95 1. South Korea 95 1.1 A Profile of Economic Development in South Korea 95 Table Import and export volume in recent 3 years in South Korea 97 1.2 The Development Status and Trend on Communication Industry in South Korea 97 Table Construction status of the communication infrastructures in South Korea 98 Table Status of Internet users 99 1.3 An Analysis on the Electronic Product Market in South Korea 104 1.4 Development of Information Production in South Korea 106 1.5 An Analysis on Technology Application in South Korea 109 2. Malaysia 111 2.1 A Profile of Economic Development 111 2.2 Status and Trend of Development of the Communication Industry 112 2.3 Market Analysis of Electronic Information Products 114 2.4 Malaysian Information Industry Development 115 2.5 An Analysis on IT Application 117 3 Taiwan, China 119 3.1 Overall Economic Situation of Taiwan, China 119 3.2 Development Situation and Trend of Taiwan s Communication Industry 121 3.3 An Analysis on Electronic Information Product Market in Taiwan 125 3.4 Overview of the Development of IT Industry in Taiwan 128 4 Thailand 129 4.1 A Profile of Economic Development in Thailand 129 4.2 Development situation and Trend of Thailand s Communication Industry 131 4.3 An Analysis on Electronic Information Products Market in Thailand 133 4.4 Information Industry Development in Thailand 135 Table Export value and change status of main electronic and electric appliances 139 4.5 Analysis of IT Application in Thailand 140 5 Vietnam 143 5.1 A Profile of Economic Development 143 5.2 Current Development Status and Tendency of Communication Industry 143 5.3 Market Analysis for Vietnamese Electronic Products 148 5.4 Status of Information Industry Development and Information Technology Application in Vietnam 151 6 Hong Kong 152 6.1 A Profile of Hong Kong Economy 152 6.2 Current Development Status and Tend of Communication Industry in Hong Kong 154 6.3 Development and Market Analysis of Hong Kong Information Industry 162 7. Singapore 174 7.1 An profile of Singapore Economy 174 7.2 Development Status and Trend of Singapore Communications 174 7.3 Development and Market Analysis of Singapore Information Industry 182 7.4 IT Application 186 Chapter 5 South Asia 191 1 India 191 5
1.1 A profile of Economic Development 191 1.2 Development Status and Trend of Communication Industry 192 1.3 Market Analysis of Electronic Information Products in India 203 1.4 Development of National IT Industry 206 1.5 An Analysis on IT Application 211 2 Pakistan 214 2.1 A profile of Economic Development 214 2.2 Development Status and Trend of the Communication Industry 216 2.3 Market Analysis of Electronic Information Products 217 2.4 Development of National IT Industry 218 2.5 Analysis on IT Application 218 Chapter 6 West Asia 220 1. Israel 220 1.1 General Situation of Economic Development 220 1.2 Development Status and Trends of Communication Industry 223 1.3 Analysis for Electronic Information Product Market 227 1.4 Information Industry Development 229 2. Turkey 235 2.1 A Profile of Economic Development 235 2.2 Current Status and Development Trend of Telecommunication Industry 235 2.3 An Analysis for Electronic Information Product Market 237 2.4 Development of Information Industry 240 Chapter 7 Central Asia (Kazakstan) 242 1.1 General Status of Economic Development 242 1.2 Development Status of Information Industry 244 Chapter 8 A Profile of Chinese Information Industry Development and IT Application 246 1. Information Industry Development 246 1.1 Characteristics and Replacing Rule of Pillar Industry 246 1.2 The Reasons and Significance for Information Industry Becoming the First Pillar Industry 249 2. Spreading and Application Situation of Chinese Electronic Information Technology 264 2.1 Enterprise Informatization, the Popularization and Application of Electronics Information Technology in Industry 265 2.2 Agricultural Informatization, Popularization and Appliance of Electronic Information Technology in Agriculture 271 2.3 Popularization and Application of Electronic Information Technology in National Administration 274 2.4 Applications and Dissemination of Electronic Information Technology in the Aspects of Social Life and Service 277 Table : Status of China Telecomm Industry Development 277 2.5 Wide Application and Dissemination of Electronic Information Technology in All Trades and Professions. 281 2.6 Concluding Remarks 284 Appendix 285 World Information Technology Revolution 285 1. Characteristics of All-purpose Technological Revolution 286 2. The Core of IT Revolution is the Advances of New Materials Science 286 3. Comparison between IT Revolution and the Past All-purpose Technological Revolutions 288 4. Effects of IT Revolution on Labor Productivity 291 4.1 Country-Specific Studies 292 4.2 Cross-Country Studies 294 Activities to GDP Growth, 1990-1998 295 5. Who benefits from Information Technology? 295 6. Information Technology and Growth in Emerging Asia 298 6
7. Information Technology slump and Short-term Growth Prospect in East Asia 299 8. Information Technology Revolution Prospect in Developing Countries 302 Postscript 305 7
Foreword In the world today, economic globalization and informatization have become the general development trend of human society. The informatization degree and level have become the significant mark to measure the comprehensive power and civilization level of a city s economic and social development. Informatization is now becoming a key impetus in global trade, investment, capital flows and technology transfer as well as in all fields of society, economy and culture, etc. The development of Information Technology (IT) enables humankind to burrow and make use of the tremendous information resources hiding in material movement. The importance of information resources has become identical to that of material resources and is growing with each passing day. With the continuous promotion of knowledge and technology innovations, the combinations of material and knowledge productions, of hardware manufacturing and software development, and of traditional economy and information technology, will result in a powerful motive force for economic and social advancements of the 21 st century. It is well worth noting that the world today is witnessing a dramatic imbalance and an increasing gap in the development of information networking in various regions. Having an advantage in information technology and possessing more and more information resources, the developed countries have become rich in terms of information technology. On the other hand, the developing countries are relatively backward in information technology, not only with a low level of economic and social development but also with relatively poor informatization. In view of the world as a whole, the gap of informatization development is widening rather than narrowing. Without change of such situation, the South and the North will see a further enlarged gap in development and the world economy will be difficult to develop in a healthy way. The developed countries have the obligation to support the developing countries in technology, funds and human resources and to help promoting the course of the latter s informatization. Under the joint support of the United Nations agencies and Chinese Government, the Forum on City Informatization in the Asia-Pacific Region (CIAPR), centering on the development and cooperation of city informatization in the Asia-Pacific region, has provided a platform for the policy-developers and decision-makers of city informatization in this region to exchange their experiences in the development of the information industry and the applications of information technology, etc. The Prospect Report of IT Application in Asia, as a research achievement of the Forum on City Informatization in the Asia-Pacific Region in this year, gives a comprehensive and centralized analysis and study on the informatization level of Asian countries. It will provide an important basis for the policy-making of informatization in each country, and serve as a key reference for market decision of IT enterprises. Due to a hasty time, there is an unavoidable mistake and a lot of imperfections in this report. Here we would like to give a cordial welcome to readers to show your concerns about the Forum on City Informatization in the Asia-Pacific Region, and give your instructions in the Prospect Report of IT Application in Asia. 8