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Egypt’s Position in Technology and Information Led Globalizationof IT in the North, while the South is stillstruggling to close the old gap.● Severe Competition. IT opens the doorfor developed countries to access themarkets of developing countries with newproducts and services, representing a realthreat to all businesses in these markets.Further, IT helps developed countriesadopt new business models thatoutperform existing business models indeveloping countries. Developed countrieshave lower costs, better services andhigher performance. As a result, businesscommunities in the developing countrieswill face severe competition and may losetheir markets to the more efficientmodels.● Lower Migration Opportunities. ITapplication in the developed countries ischanging workforce requirements byincreasing demand for highly qualifiedpersonnel. This will limit the job opportunitiesopen to citizens of developing countries inindustrialized countries, reducing thechances of wage equalization.Opportunities:● Problem Solving. Application of IT in thedeveloping countries can create newopportunities for solving developmentalproblems.● Better Education Services. DistantLearning can help developing countriessolve some of their higher educationproblems. High enrollment rates atovercrowded universities and colleges canbe largely offset by the application ofdistant learning, which also lends itself tomore flexible study hours and part-timeeducation for the employed. Course contentcan be significantly improved throughcooperation between different staffmembers using the potential of IT.● Better Health Services. Telemedicinecan provide better health services,especially to rural areas. Doctors in thesmall villages of Egypt – and indeed, inurban areas - can experience the professionalvalue of the Internet as a tool to access thelatest medical developments, to enhancethe level of service provided.Collaborative work with other doctorsoffers opportunities to consult and to raiseskills.● Less Bureaucracy. The average numberof visits to conclude a service withgovernment agencies in Egypt is 3.5visits. The first visit is simply to knowwhat the required procedures are, when aweb site or telephone center wouldachieve the same end more speedily.Corruption resulting from “gatekeepers”who control access to bureaucratic procedurecan be cut down dramatically by allowingtransactions to be conducted on the Net.● Wider Markets. IT can open the door forbusiness organizations to outreach to theworld. Small and medium enterprises(SMEs) can have access to world marketsand expand their local markets.Additional exports can be realized throughproper planning and coordinationbetween different bodies. Subscription toelectronic trade zones or electronicmarket places would open newopportunities for developing countries torationalize their imports and increasetheir exports. IT can allow developingcountries to enter and compete in somefields on an equal footing with developedcountries.● New Jobs and Income Creation.Software industries, IT services, dataentry, operation, and maintenance are afew examples of activities that developingcountries are already equipped toaccomplish, which would create more jobopportunities and raise incomes.Turning these opportunities into realityrequires coordinated efforts and collaborativework between different constituencies,including government, the private sectorand NGOs. Setting national plans andstrategies is essential in order to maximizethe advantages and mitigate the threats.Characteristics of the DigitalDivide in EgyptThe most important characteristics of theIT can allowdeveloping countriesto enter and competein some fields on anequal footing withdeveloped countries.Egypt Human Development Report 2000/2001 - 83