Small businesses lack basic computers in Thailand, Indonesia

At least half of the small businesses in Thailand and Indonesia are still in the first wave of IT adoption, a market report reveals.

"Currently, 50% to 60% of their spending centers on procuring basic computing hardware," said Jackie Chan, a senior analyst at AMI-Partners, in a statement.

"The basic infrastructure must be built before they can advance to the next stage of networking and connectivity," Chan added.

The PC penetration levels among small businesses in Thailand and Indonesia are the lowest compared to Singapore, Hong Kong, Malaysia and Korea.

According to the latest report, over 70 percent of small businesses in Thailand have yet to purchase a computer. This number is even higher in Indonesia, where more than eight in 10 small businesses have yet to implement basic computer systems.

"These small businesses need help understanding how PCs can be applied to their individual businesses as they fail to see the relevance," said Chan.

Small businesses that have implemented basic computer systems plan to puchase more computers and printers in the next 12 months, as well as invest in Internet-related services, according to AMI-Partners' latest report.

From 2004 to 2009, IT investment by small businesses in Thailand and Indonesia is forecast to grow at a compounded annual growth rate of over 20 percent, stated the report.