A report launched this month by the Panos Institute warns that a new "information poverty" threatens the developing world. There are over 6.8 million documents available on the World Wide Web but 70% of host computers are in the United States and fewer than 10 African countries are connected to the internet. The report finds that the South has much to gain from the internet but faces a huge challenge in accessing it.

"The internet could be crucial, not only as a source of valuable information, but as a boost to new forms of commerce and to help plug the brain-drain", says Mike Holderness, author of the report. "But so far the information revolution has only reached a few universities, companies, journalists, researchers and governments in developing countries. There is a danger of a new information elitism which excludes the majority of the world's population."

The Internet & the South: Superhighway or Dirt-Track?

-More than 80,000 companies are already wired up to the internet. Businesses are likely to increase their use of computer links to export clerical jobs to developing countries - but only to those with low labour costs, high literacy and network access.

New forms of commerce are emerging such as the Earth MarketPlace, a project linking Northern consumers and Southern farmers directly through the internet.

Using internet services it takes about half an hour to complete research which could previously have taken weeks.

But the internet relies on technology which is much less accessible - and much more expensive - in the South than in the industrialised world.

At least 80% of the world's population still lack the most basic telecommunications.

A modem in India costs about four times more than that in the US.

In real terms, internet access time is 12 times more expensive in Indonesia than the US.

Internet use is likely to be confined to a priviliged elite, in developing countries much more so than in the North.

Some governments such as Singapore, Vietnam and China are already trying to censor the free flow of information from the internet.

"The opportunities offered by the internet are seen by many as positive elements in an already unequal world. Clearly the South has much to gain. But if we don't act swiftly, the information gap is going to widen further and could jeopardise development."says Heather Budge-Reid, director of information, the Panos Institute.

For further information or interviews please contact:
Juliet Heller, international media coordinator, Tel (+44) 171 278 1111. Mike Holderness, author of the briefing, is available for interviews, or Heather Budge-Reid, director of information, the Panos Institute.

The Internet & the South: Superhighway or Dirt-Track?, a 12-page briefing, is available from:
Panos Institute,
9 White Lion St,
London N1 9PD, UK.
Tel (+44) 171 278 1111, Fax (+44) 171 278 0345,
e-mail: panoslondon @gn.apc.org.

The Panos Institute is an international non-profit organisation specialising in development issues.

Please credit Panos if using this report and send Panos a copy of any articles published.