4
Adopt a “push—don’t jump” approach in expanding availability of,
access to and utilisation of ICTs.
The Government recognises that expanding availability of, access to
and utilisation of technologies in the developmental context should follow the same laws that apply to diffusion of technologies in general, and
network-type technologies, including ICTs, in particular. An appropriate
policy should not attempt to overcome such laws, but employ them to enhance effectiveness and sustainability of policy interventions.
The above includes such mutually reinforcing laws as: (a) Metcalfe’s
law, which characterises network effects; and (b) the technology adoption
Value of a Network
Figure 4. Metcalfe’s Law
Number of Users
curve.
Metcalfe’s law states that the value of a network (whether physical,
virtual or logical) is proportional to the square of users (or devices) connected to such a system. This is derived from the pattern of growth in potential links (bilateral connections and communication opportunities) as
a number of users (or devices) increases. Metcalfe’s law, as represented in
the graph below, explains why every new user will find, in an accelerating
manner, it incrementally more valuable to use specific ICT services or applications, and how new additions increase the value to existing users.
The Technology Adoption Curve, as represented below, demonstrates how diffusion of a technology starts with a small number of innovators, who are followed by a larger number of early adopters, subsequently followed by a majority of users, until finally it is adopted by late
comers. Naturally, encouraging adoption of a technology by innovators
and early adopters is relatively easy and cheap, whereas adoption by late
comers is dependent on them being able to derive a significant value
from such a technology.
When put together, Metcalfe’s Law and the Technology Adoption
Curve mean that the most reasonable way to encourage adoption of a
32
National Information and Communication Technology Policy