of the Financial Crisis 4.1 The ICT Industry while the ICT industry has been far from immune to the economic slowdown, it has been less exposed than other sectors. For example, Pyramid Research projects that the telecom services market will still grow in 2009 and generate US$ 1.4 trillion in 2009. Pyramid Research considers that voice services will be hardest hit in 2009, contracting by 3% in 2009 (compared with a 6% expansion in 2008). How-ever, The ICT sector is now a sizeable and growing sector in many countries, typically accounting for up to 7.5% of GDP worldwide (depending on its defi ni-tion) and an even higher proportion of GDP growth. Historically, the ICT industry has been viewed as a volatile, but resilient long-term growth industry riding a wave of innovation, even during diffi cult economic times. Today, there is clear evidence that the ICT industry is sharing the pain of the global recession with widespread lay-offs and restructur-ing “non-voice mobile applications and broadband Internet access are expected to remain robust”, with the data market (both fi xed and mobile) reaching US$ 411 billion in 2009, up 12% on 2008.64 – however, the fi nancial crisis has had a markedly The fi nancial crisis has also provoked some consoli-dation different impact on the individual technologies and it is diffi cult to speak of the overall general experi-ence among some technology companies, with a few high-profi le bankruptcies, mergers and acquisi-tions of the industry without allowing for the widely (e.g. Nortel). Despite this, some analysts see different experience of different sectors. evidence for ‘green shoots’ of recovery in the ICT industry (Insight 10). The experience of previous crises suggests that economic crises can create open-ings Telecom services are now vital services for consumers and businesses alike. Booz & Company (2009) note that “although the telecom industry has been more resilient than many industries during the economic downturn, it has faced the same challenges in access-ing for disruptive technologies and new start-ups.65 The fi nancial crisis may also accelerate the emergence of new, converged services and growth in many markets. capital”. There is some evidence to suggest that Confronting the Crisis: ICT Stimulus Plans for Economic Growth 59