Big Data and Its Impact on International Development

Big Data and Its Impact on International Development7
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The term big data is used to describe an enormous volume of data which can be both structured and unstructured. And at the same time, this data is difficult to understand if using conventional information processing techniques (Wikipedia 2017, Big data).

Definitions of big data “vary by industries such as information technology (IT), computer science, marketing, social media, communication, data storage, analytics, and statistics” (Spratt and Baker, 2016, p. 8).

Big Data and Development

In terms of international development, big data provides important contributions in key development areas. These areas include resource management, economic productivity, health care, natural disaster, job market, etc. The analysis of online user-generated data provides opportunities for people from all over the world to have their voice heard.

In their research, Spratt and Baker argue that big data “will be the fuel that drives the next industrial revolution, radically reshaping economic structures, employment patterns and reaching into every aspect of economic and social life” (Spratt and Baker, 2016, p. 4). If in 1946 the first computers weighed thousands of kilograms and could do no more than 500 calculations per second, these days, the IBM Watson supercomputer can process 500 gigabytes per second. That is the equivalent of reading one million books per second.

However, as Spratt and Baker suggest, we should “distinguish big data from two related concepts: information and communications technology (ICT) and ‘open data’” (Spratt and Baker, 2016, p. 8). They argue that “big data is not always open, and at times will not be accessible without special skills or software” (Spratt and Baker, 2016, p. 8).

Big Data and Its Direct Impact on Development

As suggested by Spratt and Baker (2016), the potential impacts of big data can be classified as direct or indirect.

Directly, big data contributes to the process of creating new markets which are based on both production and consumption of data. Inevitably, this leads to the creation of a new complex physical infrastructure that is able to fully support the process of data production and consumption.

The three V’s of big data stimulated innovations in software, including data analysis, data management and networking. This allowed the creation of many now multi billion companies. Such companies had their start from open source projects such as Hadoop which was initially created to store and process huge amounts of data (Spratt and Baker, 2016, p. 8).

Thus, data science becomes a profession and data scientists combine “the skills of software programmer, statistician and storyteller/artist to extract the nuggets of gold hidden under mountains of data” (The Economist, 2010). Such employment opportunities require special qualification. And the demand for this special kind of knowledge creates these new employment opportunities.

In fact, these consequences have a great impact on developing countries. Many corporations outsource their data analysis departments to developing countries where computer skills are high and costs are low. And “skilled young adults in Uruguay will find themselves competing for certain types of jobs against their counterparts in Orange County” (MSNBC 2013). Amazon Mechanical Turk and Samasource (a non-profit business) are some of the organizations that promote the outsourcing of digital work to unemployed people around the world.

Big Data and Privacy

In terms of privacy, the buying and selling of data can create negative impacts as well. Once they collect the data, consumers are not in control of that data (Craig and Ludloff, 2011). And that’s an issue in both developed and developing countries.

Furthermore, issues like privacy and discrimination seem to be working in favor of the digital divide.  In fact, “while data-driven discrimination is advancing at exactly the same pace as data processing technologies, awareness and mechanisms for combating it are not” (Taylor, 2017, p.2). This contributes to various issues like online data privacy, transparency, (technological) inequality… (Wikipedia 2017, Big data). In this regard, Taylor draws a parallel between the idea of justice in general and the idea of data justice. We need data justice to “determine ethical paths through a datafying world” (Taylor 2017, p. 2). Linnet Taylor argues that the importance of big data and datafication and their positive impact on “citizenship, freedom and social justice are minimal in comparison to corporations and states’ ability to use data to intervene and influence” (Taylor, 2017, p. 2).

The Indirect Impact of Big Data

Indirectly, various institutions and sectors will experience the positive influence of the impact of big data. Because it can increase efficiency and productivity. Methods using big data can create organizational improvements of companies, public institutions, NGOs and even social movements. But at the same time, it may negatively impact concerns around privacy and civil rights. And this may lead to increasing social and economic inequalities such as the so called ‘digital divide’.

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