This paper analyzes Internet diffusion among various organizations, based on daily observation of second-level domain name registrations under the ".it" ccTLD. In particular, we analyzed domain names registered by organizations in the non-profit sector. The penetration rate, calculated according to the number of organizations, was computed for various widely separated geographic levels (regions). A concentration analysis was performed in order to determine whether the geographical distribution of Internet use in Italy is less concentrated with respect to both the number of existing institutions and income distribution, suggesting a diffusive effect. Regression analysis was performed using demographic, social, economic and infrastructure indicators. Results show that a "social digital divide" exists, both in terms of geographical distribution (i.e., in macroareas -Northern, Central, and Southern Italy -and at the regional level) and in terms of the legal status of the organizations, and that this digital divide will probably decrease in the future. 157

This chapter analyzes the digital divide in Italy and the factors contributing to this situation at both the regional and provincial levels. To do this, we used the registration of Internet domains under the “.it” Country Code Top Level Domain as a proxy. In particular, we analyzed domain names registered by firms. The analysis produced interesting results: The distribution of domains registered by firms in Italian provinces is more concentrated than the distribution related to income and the number of firms, suggesting a diffusive effect. Furthermore, in order to analyze the factors that may contribute to the presence of a digital divide at the regional level, a regression analysis was performed using demographic, social, economic, and infrastructure indicators. The results show that Internet technology, far from being an “equalizer,” follows and possibly intensifies existing differences in economic opportunity in industrialized countries like Italy.

Abstract:The last I 0 years witnessed an exponential growth of the Internet. According to Hobbes' Internet Timeline 1 , the Internet hosts are about 93 million, while in 1989 they were I 00,000. The same happens for second level domain names. In July 1989 the registered domains were about 3,900 while they were over 2 million in July 2000.This paper reports about the construction of a database containing daily observations on registrations of second level domain names underneath the "it" ccTLD 2 in order to analyse the diffusion of Internet among families and businesses. The section of the database referring to domains registered by individuals is analysed. The penetration rate over the relevant population of potential adopters is computed at highly disaggregated geographical level (province). A concentration analysis is carried out to investigate whether the geographical distribution of Internet is less concentrated than population and income suggesting a diffusive effect. Regression analysis is carried out using demographic, social, economic and infrastructure indicators. Finally we briefly describe the further developments of our research. At the present we are constructing a database containing domains registered by firms together with data about the registrants; the idea is to use this new database and the previous one in order to check for the existence of power laws both in the number of domains registered in each province and in the number of domains registered by each firm.