The Purposes of IRAN Digital Economy Report 2020
This report was prepared at the request of Automation and Digital Technologies Headquarter of the Vice Presidency of Science and Technology It reviews Iranian digital economy and three layers of it namely core of digital economy, limited scope of digital economy, and extensive area of digital economy Considering Iran potential in creating value through digital evolution on the one hand and the ever increasing importance of several concepts such as the fourth industrial revolution on the other hand, this report tries to explain the place of digital economy in Iran by describing the current status of each layer.
a Review on Digital Economy in Iran
Digital economy increasingly blends with economic performances During the past year, Covid 19 pandemic highlighted the importance of digital economy and relevant infrastructures According to UNCTAD s 2019 report, various types of technologies and different dimensions of digital economy could be classified within three categories:
Core of digital economy
core layer covers empowering infrastructures, including the Internet and telecommunication networks, and main technologies, including computers and smart phones.
Limited scope of digital economy including digital Services and platform
Economy this category produces key products or services related to main digital technologies such as digital platforms, smart phone applications, and payment services.
Extensive area of digital economy
this category addresses areas where digital technologies and services are increasingly being used.
The contribution of the mentioned three layers to Iranian GDP has been raised from 2 2 percent in 2012 to 6 5 percent in 2020 where the contribution of the core layer 4 percent approaches global average 4 5 percent, while those of the second and third layers 2 5 percent) are different from global averages by far 15 percent) Nevertheless, digital economy shows an ever increasing development trend in Iran According to Tufts University s report, Iran ranks 6 among 90 studied countries in terms of digital economy momentum.
IRAN Digital Economy Report 2020 contains these three sections
Core of digital economy
This section concentrates on the core layer of digital economy and empowering infrastructures such as the Internet and telecommunication networks Issues associated with infrastructural and physical indices will be evaluated through the dimension of access In addition, other relevant dimensions including use, innovation, and emerging technologies and social and trust dimensions, as the complementary dimensions required to build a deep insight to the scope of digital economy, will be reviewed in this section.
This domain of digital economy produces key products or services related to main digital technologies including digital platforms, mobile phone applications, and payment services. In other words, it generally deals with platform economy. Although sharing economy based and gig economy based activities encapsulate both digital and digitalized economies, they lack precise boundaries and share many aspects.
Extensive area of Digitalized Segments
This layer encapsulates sectors where digital technologies and services are increasingly being used The changes brought by this layer will digitalize many economic sectors even if they are not profitable yet This includes introducing digital technologies to the sectors where new business models and activities have been created and, therefore, they will experience changes under the influence of digital technologies Tourism, transportation, education, and health sectors are among such sectors.
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