digital technology diffusion

Extract from WIPO report. 

Digital technologies such as submarine cables, broadband networks, data-driven platforms and AI have become the backbone of modern economies. Yet, not all economies realize the promise of digital transformation. This chapter traces why connectivity and digital capabilities advance rapidly in some regions while others remain constrained by infrastructure gaps, affordability barriers, skills shortages, and regulatory hurdles. It shows that unlocking inclusive digital diffusion requires more than new technologies—it demands coordinated investments, balanced IP governance, and policies that ensure all countries and communities can participate in the opportunities of the digital age.

Many digital technologies are considered GPTs, (General Purpose Technologies) the internet being a classic example. The patent landscape for digital technologies is highly concentrated. Most DT patent applications come from five major jurisdictions; namely, China, the United States, Japan, the Republic of Korea and the European Patent Office. Together, they account for most global filings. This concentration creates uneven diffusion patterns, as technology often follows the investment and licensing channels controlled by leading patent holders. At the same time, the growing market concentration of major digital platforms raises new policy challenges. A small number of global technology firms increasingly control key digital infrastructures, data resources and IP portfolios, shaping the direction and speed of diffusion. Ensuring dynamic competition therefore requires regulatory frameworks that prevent excessive market dominance, encourage interoperability and promote open innovation. Balancing the legitimate protection of IP rights with measures that safeguard competition and facilitate entry for smaller and local innovators remains a central policy priority for inclusive digital transformation.