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The Economy

Digital networking

  See also...
  Convergence
  Digital networking
  Wired Canada
  Digital divides
  Cutting the cord
  Watching the box
  Sound waves

The communications explosion is bringing more and more Canadians together. Indeed, Don Tapscott, another Canadian following the rise of the digital world, feels that this electronic era is an age of networking that involves people, organizations and societies in addition to technology.

Though businesses in the 1980s spurred the massive introduction of new technologies, by the 1990s computers and modems began to find their way into Canadian homes as well. The wild growth of the Internet precipitated an explosion in 'connectedness,' and Canadians have been rapidly jumping online. In 2002, a total of 62% of Canadian households used the Internet, with 51% of these users accessing it from home. About 95% of regular home Internet-use households used e-mail, 90% used the Internet for general browsing, and 51% were banking electronically.

Chart - Household Internet use at home, 2002

In 2002, Ontario had the highest proportion of users online: 67% of households in this province reported regular use of the Internet from any location, nearly six points above the national average. British Columbia and Alberta followed with 66% and 64%, respectively. New Brunswick and Newfoundland and Labrador posted the lowest levels of household Internet use in 2002.

Canada's most connected metropolitan area in 2002 was Ottawa, where 75% of households had a regular Internet user. Following close behind were Toronto and Regina at 71%, Halifax (70%), and Vancouver (69%).Ottawa's lead in Internet usage can be attributed to its resident high technology sector, a well-connected federal government, and high average levels of education and household incomes.

Canadians also rank among the world's leaders in the use of the latest high-speed Internet technologies. Among Organisation for Economic Co-operation and Development (OECD) countries, Canada ranks second only to Korea in per capita use of broadband Internet delivered by high-speed cable or DSL (Digital Subscriber Line) networks. In 2001, over 2.8 million Canadian households subscribed to the Internet using broadband, representing nearly one-half (49%) of all households regularly using the Internet from home.

Broadband has also quickly emerged as a standard business tool among Canadian businesses. In 2001, the majority (58%) of Canadian enterprises accessing the Internet did so using broadband technology.

For Canadian businesses, ICTs are proving to be the backbone of a new 'wired world' that is fundamentally changing the practice of commerce. In 2002, a full 76% of private-sector enterprises were connected to the Internet and 31% had websites. Combined private and public sector online sales posted another strong gain in 2002, rising 27% from 2001 to reach $13.7 billion. However, e-commerce sales still accounted for only a small fraction of total operating revenues.

Chart - Barriers to electronic commerce, private sector

 

 
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  Date published: 2003-05-26 Important Notices
  Date modified: 2004-05-11
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