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Blocking Internet Cost Egypt at Least $90M, Says OECD

The Egyptian government's five-day block of Internet services cost the national economy at least US$90 million, the Organization for Economic Cooperation and Development (OECD) said Thursday.  —  The Paris-based organization …

PC World Martyn Williams

Context & Ripple Effects

The outage was first tracked as Egypt dropping off the internet, with reporting examining how a small number of telephone calls may have enabled the disruption and why one ISP remained connected. The OECD’s estimate turns a network-control episode into a quantified economic consequence for Egypt.

First-order effects

  • The OECD places a minimum US$90 million economic cost on the five-day interruption, giving Egyptian authorities and affected businesses a concrete measure of the disruption’s immediate commercial damage.

Second-order effects

  • The estimate raises the cost of treating national connectivity as a purely security or political lever: service providers’ continuity arrangements become relevant to the economic exposure of a shutdown.

Third-order effects

  • If governments and multilateral bodies continue to quantify outage losses, internet access becomes an economic-policy dependency whose interruption carries a more visible fiscal and business cost.

The trend: Internet shutdowns are becoming measurable economic events, not only communications controls, as network dependence spreads through national commerce.