ICT Industry Analysis



ICT sector value added - analysis by member states

Figure 3-1: ICT VA share of GDP by Member State (2011, 2012)

Source: Eurostat, elaborated by Ivie and JRC-IPTS

The share of ICT sector ranged from 10.22% of total VA for Ireland down to 2.89% for Poland and 2.93% for Lithuania. It is notable that while seven of the 13 most recent EU Member States (MS) have ratios of ICT VA to GDP above the EU level, these ratios are below the EU average for ten of the 15 older MS


Figure 3-2: Distribution of ICT sector VA between ICT manufacturing and ICT services by Member State (2012)

Note:  ¹ Finland is not represented due to the fact that manufacturing value added is negative in 2012. According to Eurostat, this negative value is due to few large enterprises logging much higher expenditures in income statement than in previous years in the Manufacture of communication equipment sector.
Source: Eurostat, elaborated by Ivie and JRC-IPTS

Clearly, in terms of VA, the ICT sector in each EU MS is dominated by ICT services. The two most ICT manufacturing-oriented countries in the EU are Malta and Hungary. Other countries with ICT manufacturing sectors that produced relatively high percentages of ICT VA were Romania, Estonia, Slovakia, Sweden, Finland, Austria and Ireland.


Figure 3-3: Distribution of ICT VA among Member States (2012)

Note: Newer MS are Bulgaria, Croatia, Cyprus, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Romania, Slovakia and Slovenia.
Source: Eurostat, elaborated by Ivie and JRC-IPTS

As expected, the largest EU economies –the UK (18.86%), Germany (16.99%), France (15.36%), Italy (11.03%) and Spain (7.04%)– contributed the most to EU ICT VA. Together, these five countries produced 69.27% of it in 2012. Overall, the 13 newer MS contributed 8.10% to EU ICT VA.