Internet Shutdown Cost Global Economy 8 Billion Dollar Last Year

Last year internet shutdowns for more than 18,000 hours across the world cost respective governments cost more than $8 billion, according to a new report. 

In the list, India, Myanmar top the list as the worst offenders in terms of maximum time of internet disruption. Among the list of the countries, Iraq was the most affected economically, losing an estimated $2.3 billion for Internet blackouts and social media shutdowns for more than 263 hours. 

The internet research firm, Top10VPN published the report that examined partial and total shutdowns across 122 countries. The Internet freedom watchdog Net blocks and advocacy group prepared The Internet Society the report.

Researchers Samuel Woodhams and Simon Migliano associated with the research wrote, “In economic terms, disruptions not only affect the formal economy but also the informal, especially in less well-developed nations. There can also be lasting damage with the loss of investor confidence and faltering development, all of which makes our estimates conservative”. 

They also added, “On the human rights side, these shutdowns clearly impact citizens' freedom of expression and the right to information and may even result in an increase in violence”.

The internet shutdown because of political decisions is rare these days. Internet blackouts are more often caused as a result of accidental damage to undersea communications cables.

In the last five years, the number of internet shutdowns across the world has grown much, particularly because the governments control them in order to control unrest and protests. 

According to Freedom House, a Washington based non-profit organization, last year half of the world’s population suffered because their government has disconnected Internet or mobile networks for political reasons.

For example, India has shut down the internet for some citizens partially or entirely for more than 100 times in the year 2019. According to an estimate by Top10VPN, such shutdowns cost the Indian economy more than $1.3 billion last year.

The Internet blackout in Kashmir for more than 150 days is the longest ever in a democracy, according to Access Now, an advocacy group that tracks Internet freedom. 

United Nations special envoy on free of expression and opinion, David Kaye, has described the ongoing shutdown as “a communications siege and collective punishment without even the allegation of an underlying offense”.

So far only the autocratic governments of China and Myanmar have cut off access to the internet for such a long period of time.