Internet users in Asia/Pacific to surpass U.S. surfers

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FRAMINGHAM, Mass. – Internet users in Asia/Pacific are increasing like never before and are expected to surpass those in the United States by 2005.

This information comes from a recent report, The Global Market Forecast for Internet Usage and Commerce: Based on Internet Commerce Market Model.

According to the report, Asia/Pacific (excluding Japan) is forecast to exceed 240 million Internet users within four years.

Although this represents more than a 30 percent compound annual growth rate from the 64 million users in 2000, there is much room for continued growth.

Internet use as a percentage of the population in the region will be only 9 percent by 2005. By comparison, the U.S. figure will be 76 percent.

“Rapid growth coupled with a huge pool of potential users will work to ensure Asia’s place at the forefront of the Internet revolution,” said Douglas Jaffe, analyst with Asia/Pacific’s Internet Market research.

Incredible growth.

“Internet users and e-commerce revenues are increasing rapidly, and the wireless Internet is poised to transform Asia into a key global growth center for m-commerce.”

Surprisingly, China, Korea, and India will account for more than 72 percent of total Internet users in the Asia/Pacific by 2005.

Greater China, which includes China, Hong Kong, and Taiwan, will eventually comprise nearly half of all users, increasing from 39 percent in 2000.

“China is still an extremely poor country, but these trends herald a fundamental shift in the regional balance of power, especially considering the economic and cultural clout behind Greater China,” Jaffe said.

“Even so, the Internet is pushing populations together faster than governments.”

The report presents a broad range of information on Web access devices, Internet users, the wireless Internet, m-commerce, and e-commerce.

Report’s findings.

Key findings of the report include the following:

* The PC will remain the key Web access device. The PC will continue as the principal access device throughout the region.

* Asia will be a wireless Web pioneer. Asia/Pacific accounts for more than 25 percent of the world’s total installed base of mobile phones.

Mobile subscribers will exceed 366 million in 2004, leading to a penetration rate that will far exceed that of the PC.

At present, only 2.6 percent of mobile phones are used for wireless Internet use, but IDC expects this proportion to increase to nearly 40 percent by 2005.

* e-commerce transcends the hype. e-commerce is expected to serve as an important engine of growth for development across the region, with revenues reaching nearly $600 billion in 2005.

To learn more about the report contact Paul Edwards at 416-369-0033 ext. 245.

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