From advances in artificial intelligence (AI) compute to changing patterns of technology use, digital transformation is affecting economies and societies in increasingly complex ways. The Information and Communication Technology (ICT) sector is estimated to have grown by 5% across the OECD in 2025, although value creation and sourcing remain highly concentrated, reflecting both efficiency gains and growing cross-border interdependencies. The OECD Digital Economy and Society Outlook 2026 examines how digital priorities, policies and governance are evolving. It also explores the technologies underpinning digital transformation and their economic and societal effects.
OECD Digital Economy and Society Outlook 2026
Introduction
AI is increasing demand for high-quality, resilient and affordable connectivity
Fibre accounted for 51% of fixed broadband subscriptions across the OECD in the fourth quarter of 2025, up from 31% five years earlier. The share of Gigabit subscriptions in fixed broadband grew sixfold between 2020 and 2025 and network performance has also improved.
AI compute is a strategic asset, and investment is surging
AI compute is the specialised hardware and software infrastructure used to support AI workloads. And investment in compute is rising rapidly. Venture capital investment in AI firms working on information technology infrastructure and hosting increased from USD 54.5 billion in 2024 to USD 123.9 billion in 2025. This accounted for almost half of total AI venture capital investment in 2025.
Uptake of AI varies across countries, sectors and firms
In 2025, AI uptake reached 20% for all firms and 52% for large firms. The integration of complementary digital technologies remains limited, with the combined use of AI, cloud computing and big data analytics concentrated in large firms and knowledge-intensive sectors.
Older adults are less likely to use AI
Across the OECD, Internet use among adults aged 55 to 74 rose from 58% in 2015 to 87% in 2025. This reduced the basic access gap between older adults and the wider population. Differences remain for online services. In 2025, 68% of older adults used online public services, compared with 81% across all age groups.
Older adults were also less likely to use generative AI: 14% did so, compared with 68% of 16- to 24-year-olds. Among older adults, 43% reported that they saw no need to use AI, 12% said they lacked the necessary skills and 9% were unaware of the technology.
Tech-specific policies are reshaping digital governance
“Artificial intelligence” was the most cited technology in digital policies in 2025, while quantum technologies, semiconductors and satellites have become more prominent since 2023.
What can governments do?
Digital transformation cuts across sectors and policy domains. The Going Digital Integrated Policy Framework calls for a whole-of-government approach covering access, use, innovation, jobs, society, trust and market openness.
Ensure national digital strategies and governance arrangements can respond coherently to increasingly technology-specific policy challenges, including AI and other emerging technologies.
Continue expanding broadband to close geographical gaps, adapt regulation to changing market conditions and promote secure, resilient and future-proof networks.
Expand access to cloud services, provide targeted support for AI and big data analytics and strengthen complementary capabilities, particularly where adoption gaps persist between firms.
Related publications
-
Working paper
Lessons from the financial services sector
29 June 202663 Pages