Internet, Mobiles, IT
Looking at the venture capital industry, it’s easy to spot that future SME start-ups and innovations are likely to centre on the digital, mobile, and internet sectors. In fact, IT, Internet, and software already take a majority share of aggregate VC investments and deals in the past few years.
Inspired by Mark Zuckerberg’s recent white paper on ‘Connectivity as a Human Right’, I thought I’d dedicate this blog to discussing how the Internet will become the primary driver of social, economic and financial growth and well-being in the future, having already impacted an unprecedented number of people since the information revolution began.
Today 2.7 billion people have access to the Internet. It has generated more GDP in developed countries than energy and agriculture industries, with exponential future outreach potential. Mobile internet will become the highest revenue-generators in the media and advertising industry. We used to live in resource-based economies that are zero-sum, i.e. when someone gains an acre of land, someone else loses an acre of land. The knowledge economy has the transformative potential to be non zero-sum, increase consumer surplus, and expand economic prosperity that is mutually beneficial to all.
The traditional education system may become overshadowed by Internet-related institutions with further technological development. I predict higher social mobility and less income inequality, as a result of freer access to intellectual resources. The Internet has the capacity to expand human capital; statistics have shown that it has created 2.6 jobs for every one destroyed. The 9-5 office hours status quo could become redundant as people are able to work remotely and independently while connected to managers and teams by mobiles and Skype, etc.