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ICT, Information and Intellectual
Property Products
An overview of concepts and how they
relate to the CPC Ver. 2
United Nations Statistics Division
Background
• ISIC Rev.4 contain an alternative aggregate for an “ICT sector”
definition and a “content and media” sector definition.
• Likewise, CPC Ver.2 comes with an alternative aggregate for the
“information economy” product definition.
• These aggregates originates from the work of an OECD Working
Party working in the context of developing indicators on the
information society. (WPIIS)
• Their first ICT definition came out in 1998. Since then,
development in NAICS and later ISIC have been important for
driving the development of these sector and product definitions.
• In the development of these definitions, a number of concepts
were defined and used.
Scope of presentation
• In this presentation we will look at:
• the concepts and definitions used when talking
about the information economy.
• what they mean
• how they differ from each other
• how they interact
• How the new Central Product Classification
(CPC v2) relates to these concepts.
3
Why this presentation?
• The adoption of new ideas relating to the
“information economy” in ISIC/CPC, has caused
substantial changes in these classifications.
• introduction of new subclasses
• new concepts used in describing subclasses
• changes in structure
• Some conceptual problems in CPC v1.1 (the previous
version) and a rapid change in the actual products
• distinction between original, content and provision
services.
• emerging products
4
Key concepts
The Information Economy
ICT Sector
Content/Media Sector
ICT Products
Originals
Content
Intellectual Property Products
5
Information Economy
ICT SECTOR
Activity
(ISIC 4)
Product
(CPC 2)
CONTENT/MEDIA SECTOR
The ICT sector
• ICT sector defined by aggregating complete
ISIC classes according to the following general
principle:
• The production (goods and services) of a
candidate industry must primarily be
intended to fulfil or enable the function of
information processing and
communication by electronic means,
including transmission and display.
• The industries considered were from
manufacturing, trade, services and repair.
7
Information Economy
ICT SECTOR
Manufacture of:


Activity
(ISIC 4)



Electronic components
Computers/peripherals
Communication equip.
Consumer electronics
Magnetic/optical media
Wholesale trade:
Computers/peripherals
 Electronic and telecom.
equipment

Product
(CPC 2)
Services:
Telecommunications
Comp. programming
 Comp. consultancy
 Data processing and
hosting
 Web portals
 Software publishing


Repair


Computers
Communication eq.
CONTENT/MEDIA SECTOR
The content/media sector
• It was early recognized that the scope of the “information economy”
ought to be extended beyond that of the ICT sector.
• Content and media industries are engaged in the production, publishing
and/or the electronic distribution of content products.
• Guidelines for identifying a content or media product (OECD):
“Content corresponds to an organised message intended for human beings
published in mass communication media and related media activities. The
value of such a product to the consumer does not lie in its tangible qualities
but in its information, educational, cultural or entertainment content”
• The content/media sector are industries that create and disseminate mass
market information and cultural products; the ICT sector provides the
means for doing so.
• In ISIC 4, all of the content/media sector is contained within ISIC
section J: “Information and communication”
9
Information Economy
ICT SECTOR
Manufacture of:


Activity
(ISIC 4)



Electronic components
Computers/peripherals
Communication equip.
Consumer electronics
Magnetic/optical media
Wholesale trade:
Computers/peripherals
 Electronic and telecom.
equipment

Product
(CPC 2)
Services:
Telecommunications
 Comp. programming
 Comp. consultancy
 Data processing and
hosting
 Web portals
 Software publishing

Repair


Computers
Communication eq.
CONTENT/MEDIA SECTOR
Publishing of:
 Books
 Directories and mailing lists
 Newspapers and journals
Motion picture, video and TV progr.
 Production and post-production
 Distribution and projection
Sound recording and music publishing
Radio/TV progr. and broadcasting
Other information services
 News agency activities, etc.
ISIC Section J
• The new section J in ISIC is called
“Information and communication”
• It covers major parts of the “Information
Economy”
 All of the content/media sector
 The services part of the ICT sector (i.e., not
including manufacture, wolesale trade and
repair)
11
Information Economy
ICT SECTOR
Manufacture of:

(ISIC 4)



Wholesale trade:
Computers/peripherals
 Electronic and telecom.
equipment

Product
(CPC 2)
Repair


Computers
Communication eq.
Publishing of:
 Books
 Directories and mailing lists
 Newspapers and journals
Motion picture, video and TV progr.
 Production and post-production
 Distribution and projection
Sound recording and music publishing
Radio/TV progr. and broadcasting
Other information services
 News agency activities, etc.
ISIC J
Activity
Electronic components
Computers/peripherals
Communication equip.
Consumer electronics
Magnetic/optical media
Telecommunications
 Comp. programming
 Comp. consultancy
 Data processing and
hosting
 Web portals
 Software publishing

(58-63)

Services:
CONTENT/MEDIA SECTOR
Products of the Information
Economy
• When defining the products of the
Information Economy, the guiding principle
was that they should be the output of the
Information Economy sectors (ICT and
content/media).
• This approach facilitates consistency
between product statistics and industry
statistics
13
ICT products
• The ICT products (left side of diagram)
were identified as those primarily intended
to fulfil or enable the function of
information processing.
• This is generally (but not always) the
products from the ICT sector.
• The ICT product definition does not have a
specific goods/services split.
14
Information Economy
ICT SECTOR
Manufacture of:

(ISIC 4)



Electronic components
Computers/peripherals
Communication equip.
Consumer electronics
Magnetic/optical media
Wholesale trade:
Repair
Computers/peripherals
 Electronic and telecom.
equipment



Computers
Communication eq.
ICT PRODUCTS
Manufacture:
Product
(CPC 2)





Computers/periph.
Communication equip.
Consumer electronics
ICT components
Manuf. Services
Services:




Business/prod. software
All software originals
IT consultancy
Telecom. services
Maintenance/repair

Electrical
capacitors,
resistors and their
parts
 Wholesale trade
services


Of computers
Of telecom. equipment


Digital cameras
Other rec. media

Leasing/rental of
ICT equipment
Publishing of:
 Books
 Directories and mailing lists
 Newspapers and journals
Motion picture, video and TV progr.
 Production and post-production
 Distribution and projection
Sound recording and music publishing
Radio/TV progr. and broadcasting
Other information services
 News agency activities, etc.
ISIC J
Activity
Telecommunications
 Comp. programming
 Comp. consultancy
 Data processing and
hosting
 Web portals
 Software publishing

(58-63)

Services:
CONTENT/MEDIA SECTOR
“Content/media products”
• These products embody an organized message
intended for human beings and mass publishing, or
related media activities. Its value lies in its
information content, not its physical form.
• Generally, products coming out of the
content/media sector (but also a handful from the
ICT sector and from outside)
• Major components are:
• originals
• content
• related services
16
Information Economy
ICT SECTOR
Manufacture of:

(ISIC 4)



Electronic components
Computers/peripherals
Communication equip.
Consumer electronics
Magnetic/optical media
Wholesale trade:
Repair
Computers/peripherals
 Electronic and telecom.
equipment



Computers
Communication eq.
ICT PRODUCTS
Manufacture:
Product
(CPC 2)





Computers/periph.
Communication equip.
Consumer electronics
ICT components
Manuf. Services
Services:




Business/prod. software
All software originals
IT consultancy
Telecom. services
Maintenance/repair

Electrical
capacitors,
resistors and their
parts
 Wholesale trade
services


Of computers
Of telecom. equipment


Digital cameras
Other rec. media

Leasing/rental of
ICT equipment
Publishing of:
 Books
 Directories and mailing lists
 Newspapers and journals
Motion picture, video and TV progr.
 Production and post-production
 Distribution and projection
Sound recording and music publishing
Radio/TV progr. and broadcasting
Other information services
 News agency activities, etc.
CONTENT/MEDIA PRODUCTS
Originals
Content/serv.
ISIC J
Activity
Telecommunications
 Comp. programming
 Comp. consultancy
 Data processing and
hosting
 Web portals
 Software publishing

(58-63)

Services:
CONTENT/MEDIA SECTOR
Originals
• The output of a intellectual / creative activity may
be considered a service or an original
• When the activity is carried out for another
party, a service is being provided.
• When the output of the creative activity is not
carried out for someone else, the output is an
original.
• Originals services
• Originals copies
• This distinction is also made in the SNA.
18
Originals
(continued)
• Examples of intellectual / creative activities
• writing of manuscripts and other texts
• audiovisual productions
• music composition
• music performance
• research activities
• product design activities
• geological surveys
19
Information Economy
CONTENT/MEDIA SECTOR
ICT SECTOR
Manufacture of:

(ISIC 4)



Electronic components
Computers/peripherals
Communication equip.
Consumer electronics
Magnetic/optical media
Wholesale trade:
Repair
Computers/peripherals
 Electronic and telecom.
equipment



Computers
Communication eq.
ICT PRODUCTS
Manufacture:
Product
(CPC 2)





Computers/periph.
Communication equip.
Consumer electronics
ICT components
Manuf. Services
Publishing of:
 Books
 Directories and mailing lists
 Newspapers and journals
Motion picture, video and TV progr.
 Production and post-production
 Distribution and projection
Sound recording and music publishing
Radio/TV progr. and broadcasting
Other information services
 News agency activities, etc.
CONTENT/MEDIA PRODUCTS
Services:




Originals
Business/prod. software
All software originals
IT consultancy
Telecom. services




sound recordings
motion pictures
radio/TV prog.
product design
Maintenance/repair

Electrical
capacitors,
resistors and their
parts
 Wholesale trade
services


Of computers
Of telecom. equipment


Digital cameras
Other rec. media

Leasing/rental of
ICT equipment

Original works
of authors,
composers, etc.
Content/serv.
ISIC J
Activity
Telecommunications
 Comp. programming
 Comp. consultancy
 Data processing and
hosting
 Web portals
 Software publishing

(58-63)

Services:
Content
• The reproduction, in some form, of an
original, regardless of physical media
• In general, most of the value is in the
information content, not the device.
• A copy of content is a product.
• The System of National Accounts uses
the concept of “copies”
21
Information Economy
CONTENT/MEDIA SECTOR
ICT SECTOR
Manufacture of:

(ISIC 4)



Electronic components
Computers/peripherals
Communication equip.
Consumer electronics
Magnetic/optical media
Wholesale trade:
Repair
Computers/peripherals
 Electronic and telecom.
equipment



Computers
Communication eq.
ICT PRODUCTS
Manufacture:
Product
(CPC 2)





Computers/periph.
Communication equip.
Consumer electronics
ICT components
Manuf. Services
Publishing of:
 Books
 Directories and mailing lists
 Newspapers and journals
Motion picture, video and TV progr.
 Production and post-production
 Distribution and projection
Sound recording and music publishing
Radio/TV progr. and broadcasting
Other information services
 News agency activities, etc.
CONTENT/MEDIA PRODUCTS
Services:





Business/prod. software
All software originals
Licensing of software
IT consultancy
Telecom. Services




Originals
Content/serv.
sound recordings
motion pictures
radio/TV prog.
product design
 printed/text-based
c/s.
 M. picture, video,
radio c/s.
 Music c/s.
 game software
 On-line c/s.
Maintenance/repair

Electrical
capacitors,
resistors and their
parts
 Wholesale trade
services


Of computers
Of telecom. equipment


Digital cameras
Other rec. media

Leasing/rental of
ICT equipment

Original works
of authors,
composers, etc.
ISIC J
Activity
Telecommunications
 Comp. programming
 Comp. consultancy
 Data processing and
hosting
 Web portals
 Software publishing

(58-63)

Services:
Intellectual Property (IP) products
• According to the System of National Accounts:
“Intellectual property products are the result of research,
development, investigation or innovation leading to
knowledge that the developer can market or use to their own
benefit in production because use of the knowledge is
restricted by means of legal or other protection.”
• Specific forms mentioned are products from:
• Research and development
• Mineral exploration and evaluation
• Computer software and databases
• Entertainment, literary or artistic originals
• Uses the notion of “originals” and “copies”
23
Information Economy
CONTENT/MEDIA SECTOR
ICT SECTOR
Manufacture of:

(ISIC 4)



Electronic components
Computers/peripherals
Communication equip.
Consumer electronics
Magnetic/optical media
Wholesale trade:
Repair
Computers/peripherals
 Electronic and telecom.
equipment



Computers
Communication eq.
ICT PRODUCTS
Product
(CPC 2)





Computers/periph.
Communication equip.
Consumer electronics
ICT components
Manuf. Services
CONTENT/MEDIA PRODUCTS
Services:





Business/prod. software
All software originals
Licensing of software
IT consultancy
Telecom. Services




Originals
Content/serv.
sound recordings
motion pictures
radio/TV prog.
product design
 printed/text-based
c/s.
 M. picture, video,
radio c/s.
 Music c/s.
 game software
 On-line c/s.
Maintenance/repair

Electrical
capacitors,
resistors and their
parts
 Wholesale trade
services


Of computers
Of telecom. equipment


Digital cameras
Other rec. media

Leasing/rental of
ICT equipment

Original works
of authors,
composers, etc.
Other originals not
covered under content/
media sector

IP products
Manufacture:
Publishing of:
 Books
 Directories and mailing lists
 Newspapers and journals
Motion picture, video and TV progr.
 Production and post-production
 Distribution and projection
Sound recording and music publishing
Radio/TV progr. and broadcasting
Other information services
 News agency activities, etc.
ISIC J
Activity
Telecommunications
 Comp. programming
 Comp. consultancy
 Data processing and
hosting
 Web portals
 Software publishing

(58-63)

Services:
Content/media products in the
CPC?
• Some of them are neither goods nor
services, but “IP products and similar
products”
• Sections 0-4 limited to transportable goods
classified in the HS.
• These intangible goods have therefore been
classified in section 5-9, close to the services
that are outputs of the same ISIC industries as
the intangible goods.
25
Content/media products in the
CPC?
(continued)
• Originals
• Close to the related services, found in part 5-9
• Content
• Content on physical media: in the related
products found in part 0-4.
• Content not on physical media (downloadable)
- 843 group: “On-line content”
26
Pre-existing products
• New detail added for information products
• Books
• software
• audio/video tapes
• CPC v2 sometimes goes beyond HS in
detail.
27
28
Information Economy
CONTENT/MEDIA SECTOR
ICT SECTOR
Manufacture of:

(ISIC 4)



Electronic components
Computers/peripherals
Communication equip.
Consumer electronics
Magnetic/optical media
Wholesale trade:
Repair
Computers/peripherals
 Electronic and telecom.
equipment



Computers
Communication eq.
ICT PRODUCTS
Product
(CPC 2)





Computers/periph.
Communication equip.
Consumer electronics
ICT components
Manuf. Services
CONTENT/MEDIA PRODUCTS
Services:





Business/prod. software
All software originals
Licensing of software
IT consultancy
Telecom. Services




Originals
Content/serv.
sound recordings
motion pictures
radio/TV prog.
product design
 printed/text-based
c/s.
 M. picture, video,
radio c/s.
 Music c/s.
 game software
 On-line c/s.
Maintenance/repair

Electrical
capacitors,
resistors and their
parts
 Wholesale trade
services


Of computers
Of telecom. equipment


Digital cameras
Other rec. media

Leasing/rental of
ICT equipment

Original works
of authors,
composers, etc.
Other originals not
covered under content/
media sector

IP products
Manufacture:
Publishing of:
 Books
 Directories and mailing lists
 Newspapers and journals
Motion picture, video and TV progr.
 Production and post-production
 Distribution and projection
Sound recording and music publishing
Radio/TV progr. and broadcasting
Other information services
 News agency activities, etc.
ISIC J
Activity
Telecommunications
 Comp. programming
 Comp. consultancy
 Data processing and
hosting
 Web portals
 Software publishing

(58-63)

Services: