Covid-19 has an unparalleled impact on our society and our economy. Scenario simulations by the International Monetary Fund (IMF) indicate an economic decline with the global economy possibly entering a recession in the first half of the year 2020. However, in terms of the Internet of Things (IoT), there are strong indications that many technologies will see accelerated adoption in the coming years with people becoming more digitally minded as they embrace technology while forced to work from home.
The World Economic Forum (2020) reports that:
More aspects of our daily lives have moved online due to the coronavirus; and
In the developed world, millions are connected to the Internet from kitchens, living rooms and home offices every day with some Internet service providers (ISPs) seeing demand rising steeply.
These instances beg the question of how fibre and the Internet impact the economy globally.
With fibre giving greater accessibility and faster speeds, entire cities will have new opportunities for economic growth. Entrepreneurs have the infrastructure to innovate and local governments can address local problems with additional capacity and by managing large databases more effectively. It may also mean improved economic performance by creating more jobs, more innovation, and incentives for infrastructure investments.
How fibre broadband will help SA compete globally
The Fourth Industrial Revolution with its knowledge-based economies are stimulating the adoption of technology in a changing world. Moreover, technology is advancing at an exponential pace, challenging and irrevocably changing the ecosystems of national economies.
Knowledge-based economies will circumnavigate this technological disruption better by reacting more holistically. Reshaad Sha. Chief Strategy Officer of Dark Fibre Africa indicates that transferring knowledge or intellectual capacity as a source of economic growth requires knowledge workers to access technology platforms, enabling new business models. Since fibre is the best network technology to handle the quickly growing data and speed demands, it is pivotal in the implementation of these proposed new business models.