Hyperconnectivity on the rise

New Delhi

May 22, 2008

An exploding 'Culture of Connectivity' is forcing enterprises around the
world to change the way they do business faster than ever before or risk the
opportunities of hyperconnectivity passing them by. A new global IDC study
sponsored by Nortel found that not only is the speed of technology adoption
accelerating-impacting business policy and IT investment-but the global
workforce is increasingly expecting employers to provide similar levels of 'everywhere,
all the time' connectivity.

The IDC study of close to 2,400 people across 17 countries found that 16
percent of workers surveyed are already 'hyperconnected,' fully embracing a
world of multiple devices and intense use of new communications applications.
The hyperconnected worker uses a minimum of seven devices for work and personal
access plus at least nine applications like IM, text messaging, web conferencing
and social networks. Even more significant, the hyperconnected are closely
followed by a large second group of 36 percent designated as 'increasingly
connected' who use a minimum of four devices for work and personal access to
six or more applications. As the increasingly connected advance in capabilities-and
changing demographics of the workforce are factored in-the study predicts that
hyperconnected business users will likely rise to 40 percent in five years.

“The results of this study send a clear message to today's business-the
hyperconnected workforce is coming and you'd better be ready,” said John
Gantz, Chief Research Officer and Senior VP, IDC. “The study found that 16
percent of the global workforce is hyperconnected today, and will grow to 40
percent in just a few years. This means that the surveyed workforce isn't just
migrating towards hyperconnectivity, it is stampeding to it. Businesses that
embrace this have an opportunity to increase productivity and ability to compete
in the global marketplace,” added Gantz.

“For more than a year, Nortel has been emphasizing the profound global
implications of hyperconnectivity-on the enterprise and its IT strategy. For
some, these IDC study findings are a final wake-up call that they risk losing
productivity and profitability if they ignore this exploding culture of
connectivity,” said John Roese, CTO, Nortel. “For others, it confirms that
hyperconnectivity can represent huge opportunities if they choose to embrace
this mega trend. These organizations can lead with critical changes to
technology and business process that help them thrive as progressive
enterprises.”

The study surveyed men and women of various age groups in North America,
Europe, Middle East, Asia Pacific and Latin America, who work across various
industries and company sizes. It found the desire for personal connectivity has
no national boundaries and that hyperconnectivity is happening today. In fact,
the countries with the highest percentage of hyperconnected respondents in the
study were China and the United States. The country with the highest percentage
of increased hyperconnectivity was Russia.

KEY FINDINGS:

- 16 percent of business users are already hyperconnected


The hyperconnected have a much higher adoption of communication devices and
applications than those in other clusters, they are reasonably happy with their
work/life balance, even though they use almost all devices and applications for
both, and are willing to communicate with work on vacation, in restaurants, from
bed and even in their place of worship.

- Asia-Pacific is leading the way


The largest percentage of hyperconnected are in the Asia-Pacific region. They
are higher than average in the US and China, lowest in Canada and the United
Arab Emirates.

- Latin America is emerging fast


64 percent of the workforce in Latin America is either hyperconnected or
increasingly connected, compared to 59 percent in Asia-Pacific, 50 percent in
Europe, and 44 percent in North America.

- Europe and the Middle East rely heavily on instant and text messaging in
business


Over 50 percent of EMEA respondents-more than twice the number of North
American respondents-said they use instant and text messaging for business.

- 40 percent of business users will be hyperconnected within five years


With an aging workforce retiring, younger employees entering, a current majority
of increasingly connected users, 40 percent of the workforce may be
hyperconnected within next few years.

- Enterprises will compete for talent


As baby boomers retire, corporations will find themselves increasingly competing
for talent. Hyperconnected individuals expect to work in a rich communications
environment and consider the newer solutions a condition of their employment.

- Phones more important than wallets and keys


When asked which item people would take if they had to leave the house for 24
hours more than 38 percent of global respondents chose their mobile phone over
their wallet, keys, laptop and MP3 player. Less than 30 percent chose their
wallet first.

- Social network adoption growing in the enterprise


More than one in three people use social networks and online communities such as
blogs, wikis, and online forums for business communication-with CALA workers
leading the world. Personal postings to social networks and online communities
are nearly three times as common as business postings.

- Enterprises struggling with disparate communications


Nearly one in five respondents found it hard to manage multiple disparate
sources of communication. Users in the finance and high tech segments are the
most dissatisfied with the way their companies manage multiple communications
sources. More than 25 percent said their corporate systems are slow and
unreliable.

- Different industries, different stories


Hyperconnectivity varies by industry, from 9 percent of respondents in
healthcare to 25 percent in high tech and 21 percent in finance industries.

- Multiple devices are the global norm


70 percent of respondents connect to the Internet at home with more than one
device. In Asia-Pacific that number jumps to 80 percent. Nearly 80 percent of 18
to 34 year olds connect to the Internet at home with more than one device.