24.01.2015 Views

DHL Global Connectedness Index 2014

DHL Global Connectedness Index 2014

DHL Global Connectedness Index 2014

SHOW MORE
SHOW LESS
  • No tags were found...

Create successful ePaper yourself

Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.

50 3. The Depth of <strong>Global</strong> <strong>Connectedness</strong><br />

Figure 3.8 FDI Outward Stock as Percentage of<br />

World GDP, 1913 – 2013 31<br />

40%<br />

35%<br />

30%<br />

25%<br />

20%<br />

15%<br />

10%<br />

5%<br />

0%<br />

1910 1930 1950 1970 1990 2010<br />

FDI outward stocks as a percentage of world GDP were larger in 2013<br />

than in any other year they were measured as far back as 1910.<br />

international connectivity rather than actual international<br />

communications. It is included in the <strong>DHL</strong> <strong>Global</strong> <strong>Connectedness</strong><br />

<strong>Index</strong> as a proxy for international internet<br />

traffic because data on the latter are not available on a<br />

country-by-country basis. However, the international share<br />

of internet traffic on a global basis is estimated at roughly<br />

17%. 32 The explosive growth of international internet bandwidth<br />

has not been accompanied by a similar rise in the<br />

international share of internet traffic.<br />

Analyses of social network traffic indicate that while the<br />

internet is a global network, it is used primarily to transmit<br />

information within national borders. A published<br />

estimate indicates that only 16% of Facebook friends are<br />

located across national borders, 33 and newer unpublished<br />

research points toward an even lower share, only 10%–15%.<br />

Just because we are notionally able to befriend anyone,<br />

anywhere, anytime on Facebook doesn’t mean we will:<br />

the technology is being superimposed on a “social graph,”<br />

which already exists and conforms closely to physical and<br />

political geography. Thus, researchers have concluded that<br />

Facebook has a “strongly modular network structure at the<br />

scale of countries.” 34<br />

Information flows on Twitter are more international than<br />

those on Facebook, with an estimated 25% of Twitter followers<br />

located in different countries from the people they follow.<br />

Nonetheless, only 14% of followers are located in a foreign<br />

country that doesn’t share the same dominant language. 35<br />

Followers who re-tweet a user’s tweets are also more likely to<br />

be domestic than followers who do not re-tweet. 36<br />

Research on other forms of communication over the internet<br />

also backstops the conclusion that people primarily<br />

use the internet to communicate domestically rather than<br />

across international borders. A study of instant messages<br />

on MSN Messenger showed that users who communicated<br />

with each other were 16 times more likely to be in the<br />

same country (and 27 times more likely to speak the same<br />

language) than users who did not. 37 Email exchanges on<br />

Yahoo Mail are also significantly more intense among users<br />

who are geographically proximate and share cultural ties. 38<br />

Turning to the other components of the information pillar,<br />

the depth of international telephone call minutes also rose<br />

dramatically from 2005 to 2012 (2013 data were not available<br />

as of this writing). The depth of international telephone<br />

call minutes is measured here in minutes per capita<br />

because the preferable normalization (international share<br />

of total minutes) is not available on a country-by-country<br />

basis. Nonetheless, on a global basis, the international<br />

share of total telephone calling minutes is roughly 2% over<br />

standard telephone lines and 3%–4% including calls placed<br />

over the internet. 39<br />

The data used in this report to calculate the depth of international<br />

telephone calls include both calls placed over fixed<br />

and mobile telephone networks (TDM traffic) as well as<br />

calls that are routed over the internet (VoIP traffic) but terminate<br />

on fixed or mobile telephone networks (such as calls<br />

from Skype to fixed and mobile phones). However, they do<br />

not include computer-to-computer calls (e.g., Skype-to-<br />

Skype calls). In 2012, Skype-to-Skype calls accounted for<br />

about one quarter of all international calling minutes. 40<br />

These are excluded from the index because country-bycountry<br />

data are not available on such calls.<br />

On average, people spoke on international telephone calls<br />

for 152 minutes during 2012, up from 88 minutes in 2005<br />

(doubling the number of outbound minutes shown in Figure<br />

3.9 to account for time people spend on both outbound<br />

and inbound calls). While these figures do reflect very substantial<br />

growth (8% CAGR over 2005–2012), they indicate

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!