Salvatore Capasso, Giovanni Canitano (a cura di)
Mediterranean Economies 2023
DOI: 10.1401/9788815411167/c6
As for the use of digital technologies by SMEs, the digital intensity score is based on counting how many of the twelve selected technologies are used. A basic level requires usage of at least four technologies. Data are provided by Eurostat (European Union survey on ICT usage and eCommerce in Enterprises). The table shows that the greatest diffusion of these technologies is recorded in Malta, Cyprus and Italy. Surprisingly, in this ranking Italy overtakes Spain, while France and Greece are confirmed in the last two places. The Med average is substantially in line with the EU average, while the variability ranges from about 38 per cent to 72 per cent.
The basic indicator for cloud technology is the percentage of enterprises purchasing at least one of the following cloud computing services: hosting of the enterprise’s database, accounting software applications, CRM software and computing power. Data are provided by Eurostat (European Union survey on ICT usage and eCommerce in Enterprises). In 2022, Italy had the largest value, followed by Malta and Cyprus, while at the bottom of the ranking were Spain, France and Greece. The variability of this indicator ranges from 16 per cent (Greece) to 52 per cent (Italy). The Med average is slightly lower than the EU average.
The situation is slightly different for AI technologies. In this case, the indicator refers to the percentage of enterprises using at least two AI technologies and the source of the data is the Enterprise survey on the use of technologies based on artificial intelligence carried on by Ipsos and iCite. Interestingly, among the EuroMed countries in 2022, Portugal was the best performer, unlike cloud technologies, where it ranks only sixth. Moreover, while Malta maintains a high position (3rd) also for this technology, Italy and Cyprus shift from very good positions (respectively first and third place) for cloud technologies to the lowest levels of investments of enterprises in AI technologies in {p. 211}comparison to other EuroMed countries (bringing up the rear). A case in point is the position of Slovenia, second in the ranking. In countries such as Italy, Greece and Cyprus, there are fewer companies using such solutions. The variability of the phenomenon under examination ranges from 17 per cent in Portugal to 2 per cent in Cyprus. The Med mean is slightly lower than the EU mean (8.1 per cent). Finally, the last indicator measures the level of support that adopted ICT technologies offer to enterprises to engage in more environmentally friendly actions. The level of intensity is measured according to the number of environmental actions (max. 10) reported by enterprises to have been facilitated by ICT use. The following categorization was achieved: low intensity (0 to 4 actions), medium intensity (5 to 7 actions) and high intensity (8 to 10 actions). For this indicator the data source is the Enterprise survey on the use of technologies based on artificial intelligence carried out by Ipsos and iCite. Once again, Portugal is confirmed as leader with 85 per cent of the total, followed by Spain (76.1) and Croatia (74.9). While the values of Cyprus and Malta are not present, Italy and France are positioned at the bottom. Furthermore, the European average (67.2) and the Med are substantially aligned.
Tab. 3. Comparison among EuroMed countries of selected indicators of ‘integration of digital technology’ (Year 2022)
Country
SMEs with at
least a basic level
of digital intensity
EU mean (55.4%)
Cloud technology
EU mean (36.4%)
AI technology
EU mean (8.1%)
ICT for
environmental
sustainability
EU mean (67.2%)
SMEs
(%)
Position
in the
EuroMed
ranking
Enterprises
(%)
Position
in the
EuroMed ranking
Enterprises
(%)
Position
in the
EuroMed ranking
Enterprises
(%)
Position
in the
EuroMed ranking
Malta
72.8
1
47.5
2
10.2
3
n.d.
n.d.
Cyprus
66.2
2
42.2
3
2.6
9
n.d.
n.d.
Italy
60.3
3
51.9
1
6.2
7
60.3
6
Spain
59.7
4
27.0
7
7.7
5
76.1
2
Slovenia
55.2
5
37.6
4
11.7
2
74.2
4
Portugal
51.9
6
29.0
6
17.3
1
85.5
1
Croatia
49.7
7
34.6
5
8.7
4
74.9
3
France
47.0
8
25.3
8
6.7
6
54.6
7
Greece
38.8
9
16.8
9
4.2
8
65.1
5
 
 
 
 
 
 
 
 
 
Figure 11 reports the percentage of SMEs selling at least 1 per cent of their turnover via the internet. Comparison was carried out across countries and over time. The best performing country is Croatia (29.2 per cent), followed by Malta (26.4 per cent) and Spain (25.4 per cent). Quite surprisingly, Greece is in fourth place (19.5 per cent), a result that could be easily attributed to tourism, a sector whose purchases are likely to have moved online. By contrast, Italy and France are very poor performers, occupying the bottom of the ranking, and the negative trend recorded for France from 2017 to 2022 is particularly striking. As far as the various Med countries are concerned, there is an evident leap forward across the board between 2020 and 2022. It is conceivable that due to COVID-19, several companies implemented a change by initiating and/or expanding this method of selling their goods and services, and then retained this marketing strategy after the pandemic.{p. 213}
Fig. 11. The integration of digital technology - the indicator «SMEs selling online».
Definition: enterprises with 10 or more persons employed. All manufacturing and service sectors, excluding the financial sector. Breaks in series because until 2008 economic activities according to NACE Rev 1.1 and from 2009 data are based on NACE Rev.2. Since 2010 include also sector S 95.1-Repair of computers and communication equipment (percentage of enterprises).
Source: authors’ elaboration on Eurostat (European Union survey on ICT usage and eCommerce), 2022.
Source: authors’ elaboration on Eurostat (European Union survey on ICT usage and eCommerce), 2022.

4.2.4. The DESI sub-dimension of «Digital public services»

«Digital public services» are the fourth dimension of the DESI. This variable measures the spread of public services provided by public administrations. Data for all EuroMed countries and for the years 2017, 2020 and 2022 are reported in figure 12. The trend over the period 2017-2022 is very similar for all countries in the Med area: a fairly similar growth rate is recorded. The public administrations of Malta and Spain are the most digitalized, with about 20 per cent of public services being provided online. A group of countries, namely Slovenia, Portugal, France and Italy, have public administrations digitalized on average with values ranging approximately between 17 and 15 per cent. Greece, as noted in various circumstances, continues to occupy the last position.
For this dimension, further analysis was carried out by looking at the percentage of individuals who used the Internet, in the last 12 months, for interaction with public authorities (fig. 13). In 2022, France (87.1) was first in the standings, followed by Slovenia (76.8) and Spain (72.7) while Italy (40.4) returned to be last in the standings, after Portugal (58.9) and Croatia (54.9). Greece has substantially stable values over the three years (about 70 per cent). Overall, the various countries are very differently positioned, which suggests that the COVID-19 pandemic has not contributed to sustaining the digital convergence of EuroMed countries for this specific indicator.
{p. 215}