Digitalization could boost global economic output by $2 trillion

Optimizing the use of digital skills and technologies could generate $2 trillion of additional global economic output by 2020, according to a new study by Accenture.

The study also reveals the vast role digital plays in economic activity, with more than one-fifth of the world's gross domestic product (GDP) attributed to some form of digital skill, capital and goods, and services.

The Accenture Strategy report, Digital Disruption: the Growth Multiplier, provides a new and comprehensive measure of the scale of the digital economy in 11 major countries. It estimates the value added to GDP by hardware, software and related technologies and by workers who need these digital assets to do their jobs. It also calculates the value of intermediate digital goods and services used in production.

A little more than one-fifth (22 percent) of world output is linked to this digital economy of skills and capital. The US is the world's most digital economy, with existing digital investments accounting for 33 percent of its output. Forty-three percent of the US labor force and 26 percent of its accumulated capital are capable of supporting digital related activity.

The digital economy in other markets varies from more than 30 percent in the UK to 10 percent in China.

"Businesses and governments are turning to digital to secure faster growth amid an uncertain global economic outlook, but the size of the digital economy is no guarantee of growth," said Accenture Strategy's group chief executive Mark Knickrehm.

"Organizations need to act aggressively in shifting the focus of their digital talent and technology from making efficiencies to creating entirely new business models. That requires not just greater digital investments, but broader organizational and cultural transformation in order to yield the greatest returns."

Accenture is a leading global professional services company, providing a broad range of services and solutions in strategy, consulting, digital, technology and operations. It has more than 373,000 people serving clients in more than 120 countries.