Virtually all businesses in the Republic are connected to the internet, a new report from the Office of the Director of Telecommunications has shown.
In its quarterly report, the ODTR said that 88 per cent of businesses were now online with ISDN usage by this sector increasing to 56 per cent compared to 38 per cent a year ago.
This compares favourably with an Oftel survey which showed that 61 per cent of UK SMEs are connected to the internet.
Almost half of the Irish companies said they had a website with a further 29 per cent planning to develop one.
The Director of Telecoms Regulation, Ms Etain Doyle, said that 42 per cent of SMEs would be investing in telecommunications services in the coming year, despite the global slowdown.
Businesses claimed to core uses for the internet; sourcing information and e-mailing suppliers and customers. However, almost half used online banking and 32 per cent catered for online purchasing. More than one third of the Irish population have internet access, according to the ODTR report with 47 per cent of those in the 15-24 year-old age group.
Ms Doyle added that only 63 per cent of households with a computer are connected to the Internet which presented a challenge to the competitiveness of internet service providers.
Online purchasing has also increased with 15 per cent of users making a purchase on the internet in the three months between July and September this year.
The report noted that 94 per cent of Irish executives believe that e-commerce is vital to national competitiveness.
