Digital infrastructure refers to the technological foundation that is used to transfer, process, share, and store information available digitally. However, what is digital infrastructure is a crucial question that refers to the range of technological systems.
Communication networks, data centers, software platforms, and hardware devices are some of the systems which provide services to social institutions, and governmental institutions as well as the public in general.
Its importance has been multi-folded in the last couple of years, especially during the COVID-19 pandemic times when the health and education sectors suffered a lot. This is an era of digital transformation where several digital transformation initiatives are being taken.
1. Importance of Digital Infrastructure
Digital infrastructure is transforming the lives of millions. During the time of the COVID-19 pandemic, it emerged as a boon for the entire humanity. The following video illustrates the same.
1.1. A Platform for Communication and Connectivity
Most communications are now being held online through various mediums like video conferencing, Audio calls, or online chats among the general public. Leaders are becoming digital leaders by holding official meetings over video conferencing.
1.2. Provide Education and Health services
New opportunities are being created daily for the hospitals and educational institutions where they are providing their services online sitting anywhere in the world. It has created partner ecosystems in these institutions.
1.3. Increase Productivity and Efficiency
Digital infrastructure plays a crucial role in making a digital economy where businesses deploy new technologies to cater the customer demand and produce in vast amounts.
2. What is Digital Infrastructure
It can be divided into various categories based on its functionality. Such as the following
2.1. Communication Infrastructure
It refers to the physical and virtual technologies that make the base of the digital infrastructure and provides the facility to transmit data and information over distances.
Several devices are wired and wireless like mobile phones, fiber optic cables, internet, broadband, cloud computing, etc.
2.1.1. Wireless Communications Network
Starting with satellite communication, mobile phones, the internet, and GPS services are some of the networks that enable people to connect at vast distances. They provide wireless broadband internet.
2.1.2 Wired Digital Infrastructures
Fiber-optic cables and personal computers are examples of wired networks. Although they have limited speed over the connection, however, provide a competitive advantage by establishing more secure platforms than wireless ones.
2.2. Information Infrastructure
This kind of digital infrastructure refers to that system that creates, stores, and disseminates information over various platforms. Vast data centers have been established which form the primary source of information. Some of the components are
2.2.1. Data Centers
These are used to store and process a huge amount of data to provide the right solution to the problem of misinformation.
2.2.2. Cloud Storage
Cloud storage is the latest technology innovation that allows users to store and share data online.
2.2.3. Content Delivery Networks (CDNs)
These are the building blocks for digital infrastructure that manages web content and other digital media for users at a reliable speed.
2.2.4. Databases
These software applications store and organize customer data and provide facilities for inventory data and financial records.
2.3. Hardware Infrastructure
This is another pillar of digital infrastructure that deals with all the physical components that are necessary to do digital operations. Following are some of the components
2.3.1. Servers
They are computing devices that provide services to store data and run applications and services.
2.3.2. Routers and Switches
Network traffic is managed by these devices to ensure a swift flow of data. They play a critical role in network speed maintenance.
2.3.3. Storage Devices
Due to the constantly growing importance of data, these devices like pen drives, solid-state drives, and hard disks are in high demand in the market.
2.3.4. Power and Cooling Systems
To do complex operations, the technological equipment needs to be cooled and powered effectively to avoid hardware failure and data loss.
2.4. Software Infrastructure
Only the hardware cannot operate as digital infrastructure. The software app installed on the hardware devices is the core of the digital infrastructure.
2.4.1. Operating Systems
Operating systems are the base for running other applications. They perform operations between digital infrastructures and users and act as a bridge between them.
2.4.2. Middleware
They provide facilities for different applications to communicate among themselves and enable digital infrastructure to work.
3. Role of Digital Infrastructure
Digital infrastructure plays a critical role in economic development and social as well as for businesses. Some of how digital infrastructure supports all these sectors include
3.1. Enabling e-Commerce
Digital infrastructure improves business agility to sell products and services digitally, providing customer support worldwide and managing economic growth.
3.2. Supporting Supply Chain Management and Financial Growth
The digital infrastructure enhances the capabilities of supply chain management, enabling the industry to manage inventory, provide real-time tracking of shipments, and optimize logistics.
Digital infrastructure enables the industry to access financing and capital, supporting growth and investment.
3.3. Digital Divide
Despite its potential benefits, digital infrastructure can also present a solution to existing inequalities in society, especially in terms of accessibility and affordability.
The digital divide is defined as the gap between those who have access to digital infrastructure and those who do not. Digital infrastructure can address the digital divide through the following points
3.3.1. Expanding Access to Digital Infrastructure
The decision-makers in governments and organizations can work to expand access to digital infrastructure and connect rural and underserved areas.
3.3.2. Reducing Costs
Costs of digital infrastructure can be reduced for the public in general as well as for businesses to make them more efficient.
3.3.3. Providing Digital Skills Training
Training individuals and businesses about the digital infrastructure framework and its working can improve their financial and social aspects.
3.4. Job Creation
The technology sector is one area where the younger generation is most attracted. Therefore, building digital infrastructure can boost the employment rate and thereby economy. Some of how digital infrastructure supports job creation include
3.4.1. Enabling Entrepreneurship
Digital platforms leverage the startup culture where entrepreneurs start new businesses, boosting job creation, and youth become digital leaders of tomorrow.
3.4.2. Supporting Remote Work and Facilitating Innovation
Digital infrastructure also facilitates work from a remote position thereby doing away with the necessity of physical presence in the office. This expands job opportunities to remote areas as well.
The digital infrastructure enables innovation, and creativity and makes available new ideas to solve present-day problems of the world.
4. Challenges Ahead
The advent of technology is also posing various challenges to humanity.
4.1. Funding and Investment
It is a harsh reality that most of the big digital infrastructure projects loom in midway due to a lack of investment. Sometimes, governments are not interested on the other hand private sector cannot fund them by itself. Therefore Public-Private partnerships have better capabilities to manage this problem.
4.2. Regulations and Policy Framework
Digital technology is a very dynamic sector where it keeps evolving. However, government regulations are more static, making it difficult for digital transformation. Some of the policies are more anti-technology, thereby suppressing its progress.
Governments need to make sure to update the rules as per demand and encourage competition as well as innovation across digital platforms.
4.3. Cyber Security and Data Privacy
Being such a dynamic sector, the security of the general public as well as businesses needs to be ensured. As threats of cyber crimes like malware attacks, spying, phishing, and hacking are very common.
Digital facilities need to be secured from these attacks. At the same time, the sensitive data of the public and businesses need to be protected.
This case study from Africa reveals the severity of Cybercrime.
5. Conclusion
Although what is digital infrastructure is important why digital infrastructure is more important? These platforms provide numerous opportunities for personal and economic growth. It poses various challenges at the same time which need to be tackled. Communications over the internet need to be secured, and digital services like online shipments should be up to date.
Governments should focus on reforming the law as per the demand to expand the network of digital technology in society. It also needs to ensure a significant amount of funding is available. Overall, the capabilities of digital technology are immense and should be harnessed for a sustainable future.
Last Updated on by Himani Rawat