More than 63 percent of Hong Kong businesses are using computers and more than 58.8 percent are connected to the Internet, according to survey results from the Census and Statistics Department (C&SD) of the Hong Kong government.

The government department conducted two surveys on the usage and penetration of IT among Hong Kong businesses and households from May to September 2008.

The C&SD said in a statement that the use of IT among businesses in Hong Kong has stabilized in recent years, with a slight drop of 0.7 percentage points in the use of PCs year-on-year and a one percentage point decrease in Internet connection.

In terms of size, 99.1 percent of large firms, 91.7 percent of medium firms, and 58.4 percent of small firms were using PCs in 2008. The corresponding figures for 2007 were 99.1 percent, 88.3 percent, and 59.8 percent respectively. Besides, 95.3 percent of large companies, 85.1 percent of medium firms, and 54.4 percent of small firms had Internet connection in 2008, as against 93.3 percent, 82.8 percent and 56.1 percent respectively in 2007.

PCs were most popularly used by players in industries including finance, insurance, real estate and business services (84.0 percent) as well as wholesale, retail and import and export trades, restaurants and hotels sector (65.8 percent). The percentage of firms with Internet connection also ranked the top in these two sectors, at 79.9 percent and 62.3 percent respectively.

Less than 20 percent got websites

In 2008, 19.3 percent of the establishments had webpages or websites, being 1.1 percentage points higher than the figure in 2007. The percentage was much higher for large firms (75.3 percent) than medium firms (45.0 percent) and small firms (14.5 percent). All businesses having webpages/websites provided information about their own establishments and the products and services they offered on their webpages/websites.

Close to two-third had e-business experience

In the twelve months before enumeration, 59.5 percent of the establishments had undertaken business activities through electronic means, which was broadly the same as the corresponding figure in 2007 (59.3 percent). Analysed by type of the e-business activities conducted, receipt of goods, services or information through electronic means was the most common, followed by delivery of goods, services or information through electronic means. Electronic means included Internet, interactive response system through telephone lines/mobile telecommunications network and designated private network.

In 2008, 58.9 percent of the organizations had received goods, services or information through electronic means, slightly up by 0.6 percentage point over 2007. Goods received through electronic means were only confined to those products that could be transmitted through electronic media, such as software packages and songs. Browsing information on the Internet was also regarded as receiving information through electronic means.

About 19.4 percent of establishments had delivered their goods, services or information through electronic means in 2008, being 1.1 percentage points higher than that in 2007.

The total amount of business receipts from selling goods, services or information through electronic means in 2007 was estimated at HK$98.3 billion, representing a significant increase of 51.4 percent over the corresponding figure of HK$64.9 billion in 2006.

74.6 percent home PC penetration

According to survey results, PCs and Internet connections were very common in households. Some 1,710,100 households, or 74.6 percent of all domestic households in Hong Kong, had PCs at home in 2008.

Among those households with PCs at home, some 1,625,700 (95.1 percent) had their PCs connected to the Internet, representing 70.9 percent of all domestic households in Hong Kong. This represented a slight increase when compared to the situation in 2007.

Government initiatives

The government said it will continue to collaborate with industry and professional bodies and non-government organizations in facilitating business sectors, especially SMBs to leverage on IT for sharpened edge.

Since launched in 2004, the government has sponsored fourteen projects under the Sector-specific Programme (SSP) targeting ten business sectors at upgrading the technology awareness and adoption of SMEs. Eight of the fourteen SSPs in sectors of travel agencies, medical and health, drugstores, logistics, accounting and beauty service were completed.

The other six SSPs aiming at driving the adoption of more advanced applications and improving the productivity of SMEs in trade, social service, watches and clocks, medical and health, beauty service, and supply chain sectors are expected to be completed by end 2009.

22 Dec 2008

By Computerworld Hong Kong staff