The transformative power of digital technologies and connectivity is empowering people, creating an environment that nurtures innovation, and is triggering positive change in business processes and in the global economy. The recent ITU global study on the economic contribution of broadband, digitization and ICT regulation provided a global econometric analysis of robust and reliable data resources to measure the impact of fixed and mobile broadband and digital transformation on the economy as a whole. It also analysed the impact of institutional and regulatory variables to the development of the digital ecosystem. Based on the data and analysis to measure the impact of digitization as a whole, a further need was identified to conduct studies that delved deeper into these effects, focusing on specific regions of the world. By applying the same methodologies and econometric models used for assessing global effects, this ITU report focuses on the impact of broadband, digital transformation and policy and regulatory frameworks on the growth of markets for digital services in the Arab States region. Table of contents The economic contribution of broadband, digitization, and ICT regulationEconometric modelling for the Arab States region Acknowledgements Foreword Table of Contents 1 Introduction 2 The effects identified on a global scale 2.1 Economic impact of fixed broadband 2.2 Economic impact of mobile broadband 2.3 Economic impact of digitization 2.4 Impact of policy and regulatory framework on digitization development 3 The economic contribution of broadband and digitization and the impact of policy on digitization in the Arab States region 3.1 Review of the research literature 3.2 Hypotheses 3.3 Economic impact of fixed broadband 3.4 Economic impact of mobile broadband 3.5 Economic impact of digitization 3.6 Impact of policy and regulatory framework on digitization 4 Conclusion Annex A: List of data sources for models testing the economic impact of fixed and mobile broadband Annex B: Indicators included in the CAF Digital Ecosystem Development Index and data sources Bibliography

Around the world, COVID-19 has upended lives and economies. Global analysts predict that the world may be facing its deepest recession since the end of World War II. At the same time, the pandemic has highlighted the crucial role of digital connectivity in keeping our societies functioning, as online everything quickly became our new way of life. Despite the surge in digital demand, however, important parts of the digital economy may not have escaped the economic fall-out from the crisis. If the financial difficulties faced by some market players constrain much-needed investment in digital infrastructure, the societal and economic consequences could be long, and far-reaching. Table of contents Economic impact of COVID-19 on digital infrastructure Acknowledgements Foreword List of tables and figures Executive summary Introduction 1. The impact of COVID-19 on digital infrastructure 1.1. Impact on telecommunication networks 1.2. The impact on the digital economy 2. Does digital infrastructure increase social and economic resilience? 2.1. State of research regarding the contribution of digital infrastructure to resilience in the face of pandemics 2.2. Limits to the capacity of digital infrastructure to increase resilience in the face of pandemics 3. Industry implications 3.1. The role of governments 3.2. A need to re-examine capital investment of telecommunication operators 3.3. An acceleration of the digitization of production

The transformative power of digital technologies and connectivity is empowering people, creating an environment that nurtures innovation, and is triggering positive change in business processes and in the global economy. The recent ITU study on the economic contribution of broadband, digitization and ICT regulation pro- vided a global econometric analysis of robust and reliable data resources to measure the impact of fixed and mobile broadband and digital transformation on the economy as a whole. It also analysed the impact of institutional and regulatory variables to the development of the digital ecosystem. Based on the data and analysis to measure the impact of digitization as a whole, a further need was identified to conduct studies that delved deeper into these effects, focusing on specific regions of the world. By applying the same methodologies and econometric models used for assessing global effects, this report focuses on the impact of broadband, digital transformation and policy and reg- ulatory frameworks on the growth of markets for digital services in Africa. It also provides evidence of the importance of regulatory and institutional variables in driving digital growth, illustrating that broadband technologies and effective ICT regulation can have positive impacts on the development of national economies and prosperity. Table of contents Economic contribution of broadband, digitization and ICT regulation: Econometric modelling for Africa Acknowledgements Foreword 1 Introduction 2 The effects identified on a global scale 3 The economic contribution of broadband and digitization and the impact of policy on digitization in Africa 3.1 Review of the research literature in Africa 3.2 Hypotheses 3.3 Economic impact of fixed broadband in Africa 3.3.1 Data 3.3.2 Model results and discussion 3.4 Economic impact of mobile broadband in Africa 3.4.1 Data 3.4.2 Model results and discussion 3.5 Economic impact of digitization in the Africa region 3.5.1 Data 3.5.2 Model results and discussion 3.6 Impact of policy and regulatory framework on digitization in Africa 3.6.1 Data 3.6.2 Model results and discussion 4 Conclusion Annex A: List of data sources for models testing the economic impact of fixed and mobile broadband Annex B: Indicators included in Digital Ecosystem Development Index and data sources Bibliography

The transformative power of digital technologies and connectivity is empowering people, creating an environment that nurtures innovation, and is triggering positive change in business processes and in the global economy. The recent ITU study on the economic contribution of broadband, digitization and ICT regulation pro- vided a global econometric analysis of robust and reliable data resources to measure the impact of fixed and mobile broadband and digital transformation on the economy as a whole. It also analysed the impact of institutional and regulatory variables to the development of the digital ecosystem. Based on the data and analysis to measure the impact of digitization as a whole, a further need was identified to conduct studies that delved deeper into these effects, focusing on specific regions of the world. By applying the same methodologies and econometric models used for assessing global effects, this study focuses on the impact of broadband, digital transformation and policy and regulatory frameworks on the growth of markets for digital services in the Americas region. Table of contents The economic contribution of broadband, digitization and ICT regulation: Econometric modelling for the Americas Foreword Table of Contents 1 Introduction 2 The effects identified on a global scale 3 The economic contribution of broadband and digitization and the impact of policy on digitization in the Americas region 3.1. Review of the research literature 3.1.1. Economic impact of broadband: United States of America 3.1.2. Economic impact of broadband and digitization in Latin America and the Caribbean 3.2. Hypotheses 3.3. Economic impact of fixed broadband in the Americas region 3.3.1. Data 3.3.2. Model results and discussion 3.4. Economic impact of mobile broadband in the Americas region 3.4.1. Data 3.4.2. Model results and discussion 3.5. Economic impact of digitization in the Americas region 3.5.1. Data 3.5.2. Model results and discussion 3.6. Impact of policy and regulatory framework on digitization in the Americas region 3.6.1. Data 3.6.2. Models results and discussion 4 Conclusion Annex A: List of data sources for models testing the economic impact of fixed and mobile broadband Annex B: Indicators included in CAF Digital Ecosystem Development Index and data sources Bibliography

The transformative power of digital technologies and connectivity is empowering people, creating an environment that nurtures innovation, and is triggering positive change in business processes and in the global economy. The ITU study on the economic contribution of broadband, digitization and ICT regulation provided a global econometric analysis of robust and reliable data resources to measure the impact of fixed and mobile broadband and digital transformation on the economy as a whole. It also analysed the impact of institutional and regulatory variables to the development of the digital ecosystem. Based on the data and analysis to measure the impact of digitization as a whole, a further need was identified to conduct studies that delved deeper into these effects, focusing on specific regions of the world. By applying the same methodologies and econometric models used for assessing global effects, this study focuses on the impact of broadband, digital transformation and policy and regulatory frameworks on the growth of markets for digital services in the Asia-Pacific region. It also provides evidence of the importance of regulatory and institutional variables in driving digital growth, illustrating that broadband technologies and effective ICT regulation can have positive impacts on the development of national economies and prosperity. Table of contents The economic contribution of broadband, digitization and ICT regulation Econometric modelling for the Asia-Pacific region Acknowledgements Authors Foreword 1 Introduction 2 The effects identified on a global scale 2.1 Economic impact of fixed broadband 2.2 Economic impact of mobile broadband 2.3 Economic impact of digitization 2.4 Impact of policy and regulatory framework on digitization development 3 The economic contribution of broadband and digitization and the impact of policy on digitization in the Asia-Pacific region 3.1 Review of the research literature 3.2 Hypotheses 3.3 Economic impact of fixed broadband in the Asia-Pacific region 3.4 Economic impact of mobile broadband in the Asia-Pacific region 3.5 Economic impact of digitization in the Asia-Pacific region 3.6 Impact of policy and regulatory framework on digitization in the Asia-Pacific region 4 Conclusion Annex A: List of data sources for models testing the economic impact of fixed and mobile broadband Annex B: Indicators in the Digital Ecosystem Development Index and data sources Bibliography

This edition of the Global ICT Regulatory Outlook builds on its predecessor first edition. New this year is unique evidence from around the world charting the evolution of policy and regulation in ICTs and, by extension, in the digital economy. This is an exciting time for regulators and what they need more than ever, is detailed evidence to support their decision making, enabling them to lead the way in digital transformation with confidence. This report is based on inputs from 190 countries and offers an objective/neutral perspective on the latest trends driving ICT policy and regulation. Regulatory topics are explored through factual graphic analysis and complemented by country experiences. This powerful combination enables us to decipher complex, multi faceted issues and make sense of the rich body of regulatory experience from all regions. While some findings are intuitive, others offer surprises. Table of contents Global ICT Regulatory Outlook 2018 Summary Introduction The state of ICT regulation globally Policy and regulatory trends Policies for digital Digital platform regulation Taxation in the digital ecosystem Collaborative regulation: reaching the next frontier together Regulatory thinking cycle 2.0 Regulatory collaboration: ‘power coupling’ Five vectors defining the future of regulation

Regulation has entered a new age. The days when regulators dealt with purely technological changes such as the analogue to digital transition are over. Today, digital transformation is sweeping across whole economies, changing our outlook forever. As mobile phones have become even more ubiquitous in their coverage and use, they have also become portals to a host of online services. Regulators find themselves grappling with an ever-growing array of challenges associated across different sectors including digital identity, data protection, blockchain and Artificial Intelligence (AI). Regulation continues to evolve rapidly. Far from falling behind or trying to catch up , I have seen first-hand the earnest efforts of governments and policy-makers to monitor, benchmark and understand the impact of digital transformation. ITU stands ready to support its membership, including regulators and policy- makers, in understanding and navigating these changes and in meeting the challenges they bring. Table of contents Table of contents Foreword 1. Setting the scene 2. Global context 2.1. Economic impact of digital 2.2. Digitization has strong economic impact 2.3. ICT policy and regulatory frameworks impact market growth for digital services 3. The state of ICT regulation 3.1. Worldwide trends 3.2. Major regulatory trends 3.3. Each region is unique 4. Policy and regulatory trends 4.1. The regulator 4.2. Policies for digital 4.3. Regulation as usual – or is it? 4.4. Up for debate 4.5. New frontiers 5. Regulatory collaboration: ‘power coupling’ 5.2. Power coupling: the ICT regulator and the competition authority 5.3. Power coupling: the ICT regulator and the consumer protection authority 5.4. Power coupling: the ICT regulator and the data protection authority 5.5. Power coupling: the ICT regulator and the financial regulator 5.6. Power coupling: the ICT regulator and the energy regulator 5.7. Power coupling: the ICT regulator and the broadcasting authority 5.8. Power coupling: the ICT regulator and the spectrum regulator 5.9. Power coupling: the ICT regulator and the agency responsible for Internet-related issues 5.10. Collaborative regulation worldwide – medal winners and missed opportunities 6. Closing remarks NOTE ON METHODOLOGY – ICT REGULATORY TRACKER ANNEX 1: LIST OF COUNTRIES, ICT REGULATORY TRACKER 2007-2017 ANNEX 2: DETAILED METHODOLOGY OF THE ICT REGULATORY TRACKER

Over past decades the world has witnessed a digital revolution that is ushering in huge change. The rate of that change continues to accelerate challenging our governments and institutions to keep pace. The ICT regulatory landscape too is evolving and at an ever-increasing pace. This report measures and monitors changes taking place in the telecommunication/ICT market itself as well as in the regulatory environment. It identifies and analyses seven market trends and seven regulatory trends and takes an informed view on future regulatory direction. The report builds on extensive data captured in the ICT Regulatory Tracker. Of the many findings featured in this report, one stands out as particularly significant. It is this: the move towards a more open, collaborative regulatory approach, together with the role played by the ICT regulator in orchestrating this, will be critically important in delivering on the rich promise of the digital economy – to the benefit not only of consumers and businesses but to the 3.9 billion people who remain unconnected to the Internet.

Regulatory impact analysis (RIA) is defined as a systematic, structured, evidence-based analysis of the prospective impacts of a proposed policy measure against possible alternatives. First launched in the US in 1981, it has been heavily promoted by international organizations such as the OECD and the World Bank in the past three decades, and has seen successful implementation in a number of developed and also developing economies. The adoption and implementation of RIA can promote the efficiency, transparency and accountability of government action. However, implementing RIA is also challenging from a procedural and methodological viewpoint, and many countries have failed to date in their attempt to successfully mainstream this procedure into their policy cycle. Table of contents Using regulatory impact analysis to improve decision making in the ICT sector Executive summary Table of contents 1 Understanding regulatory impact analysis 1.1 What is RIA and why it matters 1.2 International RIA models 2 Regulatory impact analysis: Main challenges and lessons learnt 2.1 Procedural and organizational challenges 2.2 Methodological challenges 3 Using RIA to make better decisions in the ICT sector 3.1 National experiences with RIA in the ICT sector 3.2 Examples 3.3 Concluding remarks 4 Introducing RIA in the ICT sector: A checklist for ICT regulators 4.1 Introducing RIA in the ICT sector 4.2 A checklist on how to perform individual RIAs 5 Conclusions and lessons learned