Digital Economy Report 2019

Value Creation and Capture: Implications for Developing Countries

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The Digital Economy Report 2019 on “Value creation and capture: Implications for developing countries” takes stock of recent trends in the global digital landscape and discusses the development and policy implications of data and digital platforms. A key feature of the evolving digital economy is the increasing role of digital data as an economic resource, together with digital platforms as new influential actors, with capacity to collect, process, analyze and monetize data. The report considers policy options for countries to help ensure that they capture a fair part of the value created in the digital economy for inclusive development. Key issues include the market impact of emerging technologies and digital platforms, the impact on smaller businesses in developing countries and the implications for infrastructure, entrepreneurship, skills, competition, data flows, data protection, taxation and other relevant policies.

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Policies aimed at value creation and capture

Previous chapters have demonstrated some of the major transformations caused by the digital economy, and especially the growing reliance on digital data. These transformations are facilitating the creation and expansion of new business models and ways of organizing production. At the same time, the high levels of concentration of resources, skills and capacities needed to leverage digital transformations are heightening the risk that further digitalization and data-driven development will lead to widening digital divides and income inequalities, instead of contributing towards more inclusive and sustainable development.

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