The Digital Provide: Mobile Phones and Economic Well-being

When I think about how access to technology can help to improve people's lives, computers and the internet are the first kinds of technology that come to mind. But this week I came across several intriguing projects that demonstrate that mobile phones may play a more important role than computers in improving economic well-being in developing countries.

"Digital Provide", a case study published in a recent edition of The Quarterly Journal of Economics, reveals the economic benefits achieved when fisherman in India use mobile phones to keep abreast of daily market demand for fish in their communities. The study confirms that improvements in information impact market performance and welfare.

In this case, the use of mobile phones pretty much eliminated price differences among fish offered by different fishermen, reduced waste, and increased fishermen’s profits and consumer welfare. The key is that with information, the fisherman were in touch with buyers, and therefore no longer had a situation of excess supply they had to toss back into the water. The fishermen were able to sell their entire catch. Consumers also had access to supply, and did not have to go home empty-handed. For more information on how access to necessary information translates into efficient markets, please visit The Quarterly Journal of Economics.

Another application of mobile technology that helps people in developing countries to improve their economic well-being is evidenced by a fantastic social venture in Africa called "Mobile4Good". In this example, mobile phones are used in Kenya to send employment, health, and community content via SMS (short message service). Through this service, disadvantaged people can learn about job opportunities. The mobile service empowers people and helps to bridge the "digital divide" through "digital provide".

Since mobile phones are less expensive and more accessible to people in developing countries than computers, information technology through mobile devices is expected to become the model for development in places like Africa, Latin America, Southeast Asia, and other developing regions.

For more info, please visit Mobile4Good.

One Laptop Per Child

After years of development and discussion, the One Laptop Per Child educational project spearheaded by MIT Media Labs founder, Nicholas Negroponte, is taking off. :)

When I first saw this photo of a classroom of Nigerian kids, each with their own laptop, it completely made me smile. It's an image of hope, and demonstrates that some dreams can come true. It's a recent photo of the One Laptop Per Nigerian Child project. How remarkable to imagine that kids in Nigeria are among the first worldwide to benefit from this global project which puts laptops in the hands of low-income kids - giving them the opportunity to tap into their own potential, learn to learn, and gain access to a world of knowledge.

I love this project.

As noted in the OLPC mission statement, "most of the nearly two–billion children in the developing world are inadequately educated, or receive no education at all. One in three does not complete the fifth grade."

By equipping kids with tools like OLPC, they gain access to knowledge and an opportunity for education, which in turn can help them help themselves and their families out of the cycle of poverty.

For two weeks in mid-November, people in the United States can buy one in a "Give One Get One" purchase strategy. For $400, you can buy one for yourself and give one to a child in a developing country.

These laptops are durable, waterproof, and dust-resistant. They are not easily damaged and have a screen that can be viewed in sunlight. They possess a camera so that kids can take photos and post them online. The model is called the "XO".

I saw a first-hand demonstration of this laptop last week at a networking event hosted by Craigslist Foundation in San Francisco. The "XO" is a simple machine. It's offered in the color green now but I understand it will be available in the colors of each country's national flag or soccer team.

Oh, this is one of the best parts! The "XO" is designed so that it can be maintained by the kids themselves. There is no hard drive - just an AMD processor. Is power a problem? Not for the "XO" since it can be powered by a special hand crank or with an inexpensive solar-powered screen. It runs on Linux open source software. Genius. :)

Finally, the "XO" has a lot of basic functions that are important for connecting kids with their peers in the classroom and with people worldwide. Since it was designed for kids in developing countries, it may not have all the bells and whistles - but - it has its fair share, including: access to the internet, video, music, and online books. Also, you can even view the screen in the sunlight, thanks to a special dual monitor for indoor and outdoor use. And it comes loaded with e-books to serve as a mini-library as well. It's amazing.

I enjoyed playing with the "XO", checking out its features, and imagining the many ways that kids worldwide can apply the knowledge and skills they gain to help themselves.

For a video demonstration of OLPC, check out this One Laptop Per Child demonstration. :)

Rodrigo Baggio: Committee for the Democratization of Information Technology (CDI) on CNN Principal Voices

Rodrigo Baggio, founder of Committee for the Democratization of Information Technology (CDI), is AMAZING!

Rodrigo is an inspirational example of how one person can make a big difference in the lives of many. His success with CDI demonstrates the importance of dreaming big, and is a testament to the power of following one's passion.

Founded in 1995, CDI is an international non-profit dedicated to bridging the digital divide by providing computer training to youth who live in favelas and low-income communities.

Interestingly, CDI recognizes that access to computers and the Internet alone is not sufficient. So, in 965 CDI schools operating in 19 Brazilian states and eight other countries, students are taught how to use information technology to enhance their abilities to think critically and creatively, to analyze political and social reality, and to generate jobs and business opportunities.

According to Principal Voices, recent studies show how difficult digital inclusion will be. In Brazil alone, fewer than 16% of households own computers and a mere 12.2% of them have access to the Internet. The vast majority of computer technology is concentrated in just three regions (the federal capital, the south, and southeast) according to a 2004 study of 183 nations by the International Telecommunications Union.

Brazil placed a lowly 65th in Internet connectivity, trailing Chile, Uruguay, Argentina, Costa Rica and Mexico. The high cost of personal computers, poor computer training in the classroom and inconsistent public policies are the main reasons why middle and lower income Brazilians are still outsiders in the modern information society.

CDI targets this under-served demographic group.

Results?

1. CDI has trained almost one million at-risk children in computer and internet skills.

2. CDI has established an initial network comprised of more than 200 self-managed computer schools in the urban slums of 17 Brazilian states.

3. CDI programs have expanded to other countries, including Mexico, Colombia, Uruguay, and Argentina.

4. Each year, CDI trains approximately 28,000 new students.

Rodrigo's organization is helping students who might otherwise have turned to drug trafficking or violence. CDI provides the tools youth need to develop job skills, as well as self-respect and self-reliance.

I love this story about CDI. It is a wonderful example of using technology to educate and empower youth. Equally important, CDI is a powerful example for each of us to dream big, believe in our dreams, and take the first step to making our dreams a reality. Because like CDI, mostly all successful organizations start from humble beginnings; they grow one step at a time only under the care of a passionate, committed leader like Rodrigo Baggio.

:-)