The Key to Economic Development in the Modern Era Lies in Digital Inclusion

The digital economy has transformed the way we work, shop, and interact. It has created new industries, revolutionized existing ones, and opened up unprecedented opportunities for innovation and entrepreneurship. 

However, to reap the benefits of this digital revolution, organizations and individuals must be able to participate in it fully. This is where digital inclusion becomes paramount, and digital exclusion rises as a threat to equality online. 

Identity Digital holds a unique position within the internet infrastructure community, which enables us to keenly understand the role the web has played in democratizing entrepreneurship. 

Access to the internet allows individuals to start businesses and scale them at lower costs, with fewer barriers to entry. Whether you are running an Etsy shop, using digital marketing tools and social media for promotion, or simply collaborating with teammates around the world on Zoom, the internet has brought the global marketplace to your door – and just as importantly, brought your goods and services to the global marketplace.

Heather Boushey, the White House’s Chief Economist for the Invest in America Cabinet, said it best in a recent blog post, stating: 

Access to the internet is now a must-have for creating and running businesses in the U.S. economy. Businesses engage with customers, suppliers, and services (such as banking and accounting) online; online sales account for 15.9 percent of total retail sales, nearly nine percent more than a year ago; and most job seekers ‍now look for jobs online. Several recent papers have found causal links between expansions of broadband (high-speed internet) access and the creation of new businesses, as well as the growth of existing businesses, in urban and near-urban areas. 

But this economic empowerment is only available to those able to leverage these tools. This creates a world of digital haves-and-have-nots, and millions around the world are being left behind. And the causes are as varied as they are complex. Millions of people still lack high-speed internet access due to inadequate infrastructure. Others lack the education and training to effectively use these technologies. Devices and services are often not designed for those with differing abilities or with the capability to support different scripts, languages, or character lengths.

We need to give this issue the attention it deserves because in today’s digital age, online inclusion is fundamental to both individual success and national economic prowess. Bridging the digital divide is no longer merely a social aspiration—it's a critical driver of global economic competitiveness. Put simply, it's an economic imperative.

Recent studies reveal that the digital sector has grown at 7x the rate of the overall U.S. economy in just four years, now constituting 12% of the nation's GDP. This rapid expansion underscores the need to prioritize digital access and skills development.

Ensuring widespread digital literacy and access is crucial for fostering inclusive participation in this major economic sector. As we navigate an increasingly interconnected world, our national economic strength hinges on our ability to empower all citizens with the tools and knowledge to thrive in the digital landscape.