History

The use of services such as Yahoo was not permitted under Saddam. In addition to government restrictions, the export to Iraq of computers with more than a very basic processing capability has been prohibited for the past 10 years because of the belief that more powerful computers might be used by the Iraqi government in rebuilding its nuclear and biological weapons capabilities.

Internet

Internet country code: .iq

Internet service providers: 1

In 1997, Iraq had 0 host density per 10,000 inhabitants. Internet hosts refer to the number of computers in an economy that are directly linked to the worldwide Internet network.

 Iraq, as well as developing countries, not only need local telephone lines, but they also need national, regional and international backbones. “Despite growing within region Internet traffic, intra-regional connectivity remains very low. The lack of inta-regional connectivity means that most Internet traffic is likely to be routed through US based even when the communication is between neighboring nations.”(gvnews, Iraq Telecommunications Reconstruction UnderWay)

According to a Kallman Worldwide, Inc. webpage industry sector for information technology /communication, pre-war internet carriers charged up to $55 annual membership fees and Iraqi companies had to pay between $2500 and $8000 per year to install Internet service in their offices. Computers were restricted and only 15% of the population is thought to be able to use a computer. (Kallman Group, Industry Sector: Information Technology/Communication 2004)

The US Department of Commerce reports that today internet service is increasingly available through Internet cafés and hotels. 

Individuals

According to Radio Netherlands, July 12, 2003, “the telephone system in Iraq is still in a mess after the coalition takeover, but Iraqis are able to communicate with each other via E-mail. Internet access is one of the few aspects of daily life which have actually improved since the fall of Saddam. In the absence of working landlines, Internet providers use satellites to hook up to the outside world. Although home access is now available, many Iraqis use the rapidly increasing number of Internet cafés to send E-mails, use chatrooms and surf the Web.”  Internet cafés are being set up by small businessmen and a typical charge is 4500 dinars (about $3) for an hour’s use.

An internet bus sponsored by Jordan Telecom that was equipped with 20 PCs completed a month-long visit in the city of Rutba where free Internet service in addition to an opportunity to see the latest IT technology. According to Jordan Telecom, approximately 6000 school students, teachers, professionals and representatives of humanitarian organizations visited the bus and had assistance from a technical team.

The Government's Role in Internet Diffusion

 The Coalition Provisional Authority (CPA) has set up a comprehensive Website (mostly in English) providing an overview of the structure of the current administration, press releases, public notices, and speeches. A full-scale Arabic language site is to follow.

The CPA and the newly established government in Iraq will be in the position to create global linkages. “Creating global lineages means attracting the best companies in the world to locate in a country and helping local companies find business opportunities either working with multinationals or selling directly to global markets.” Kraemer & Dedrick state that a country must get the highest-level policy participation and buy-in to the vision for network-oriented businesses, and to the provision of resources for its implementation. And while many countries lack a successful IT industry or an IT industry at all, in order to develop one, the government must have a vision that is anchored in the next wave of IT industry and market development. Kraemer & Dedrick suggest the following for countries to become a leader in network-oriented information businesses:

• Promote IT use by business, government, and education
• Target appropriate IT sectors which include software, services, and information content
• Develop national capabilities to support use and production of network computing technologies
• Create global linkages to bring leading IT companies to the country and to provide access to global markets for domestic companies.

  (Kraemer & Dedrick, “National Policies for the Information Age: IT and Economic Development." Irvine: Center for Research on Information Technology and Organizations, University of California, 1999.)

The following table is from 2001 data cited in The Global Information Technology Report, 2003

Internet Users as Percentage of Population (2001)

According to Dutta in The Global Information Technology Report, most challenges in ICT adoption and usage lie in the political and regulatory environment. Arab states have one of the highest software piracy rates in the world and have poor records on IPR protection. This results in bad press and a lack of credibility. Data from the Global Information Technology Report, 2003 cite Arab Software Piracy Rate in 2000 such as Lebanon 83%, Qatar 81%, Jordan 71%, Egypt 56%, and Saudi Arabia 59%. Also, there seems to be differing and often competing approaches to ICT between the Gulf and other states. Restricting and censoring the content available online also exists. Jordan has shown innovation in ICT when the government identified ICT as an industry for creating potential for foreign direct investment and the REACH initiative was launched in 1999.

Dutta, Soumitra, “ICT Challenges for the Arab World,” The Global Information Technology Report, 2002-2003, p. 122.

 Kenneth Kraemer & Jason Dedrick, "National Policies for the Information Age: IT and Economic Development." Irvine: Center for Research on Information Technology and Organizations, University of California, 1999.

 Kallman Group, Industry Sector: Information Technology/Communication 2004 [cited January 22, 2004 2004]. http://www.kallman.com/Outreach/itandcomm.htm.

 gvnews. Iraq Telecommunications Reconstruction under Way 2003 [cited January 23, 2004 2004]. http://www.gvnews.net/demo/html/MiddleEastNewsletter/local6html.

 Soumitra Dutta, Bruno Lanvin, & Fiona Paua. The Global Information Technology Report 2002-2003: Readiness for the Neworked World, New York: Oxford University Press, 2003.