Increasing Broadband Internet Penetration
In the OIC Member Countries
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• Income levels: disadvantaged socio-demographic groups, measured by income, have
limited capacity to afford the acquisition of broadband. However, affordability has
been found to be correlated with limited awareness and lack of cultural relevance of
content. Research indicates that lack of cultural relevance, as a barrier in developed
countries, is prevalent in very circumscribed socio-demographic categories. For
example, in the United Kingdom, the non-broadband households that cite lack of
relevance to explain non-adoption of broadband tend to belong to lower income
demographics with people over 65 years old. In a study conducted in Spain (ONTSI,
2012), lack of relevance of Internet content was found to be inversely proportional to
income levels.
• Education levels: the education attained by potential users influences the degree of
digital literacy and is related to interest in accessing the Internet. Beyond the direct
relationship between income and broadband adoption, the influence of education is
quite relevant. Particularly, in households above the sixth income decile (where
affordability represents less of a barrier), education becomes a determining factor. The
higher the educational achievement of the head of household, the higher broadband
adoption is. The study of the education variable reveals the complex interrelationship
it has with the affordability factor. At lower income levels, the affordability variable is
stronger than the educational one in predicting adoption. On the other hand, at income
levels higher than the sixth decile, demand is less elastic to income, and educational
achievement becomes preeminent.
• Age: similarly, the age variable is inversely related to digital literacy and content
relevance. Studies conducted in the developed world have all pointed out the existence
of a generation gap linked to limited digital literacy. In the United Kingdom and the
United States, the average age of a non-adopting household is over 65 years old
(OFCOM, 2012). Research in the emerging world suggests the existence of a threshold
of 30 years old, after which Internet use tends to decline significantly. The difference
between the 30-year threshold for Internet usage and persisting broadband
penetration at the 35 to 44 age bracket is explained by the presence of children in the
household. Children tend to act as change agents in a household, stimulating Internet
usage and sustaining broadband adoption. This indirect influence cancels some of the
generational gap identified in numerous studies.
• Ethnicity: as a result of linguistic and/or cultural structural factors, ethnic group
belonging can impact the level of interest in accessing the Internet. Along these lines,
the lack of content in local languages could represent a major barrier for adoption.
• Gender: differences in education or insertion in the labor market between male and
female population can have an impact on broadband adoption, For example, a gender
gap was detected in some countries (see Universidad Alberto Hurtado, 2009 for Chile;