The Infrastructure Framework of the Digital Economy: Broadband Access, Economic Resilience, And the Digital Divide in the European Union

László Arany and Péter András Popovics
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László Arany: University of Debrecen, Faculty of Economics and Business, Institute of Economics, Non-independent Department of Agricultural Economics
Péter András Popovics: University of Debrecen, Faculty of Economics and Business, Institute of Economics, Non-independent Department of Agricultural Economics

CrossCultural Management Journal, 2026, vol. 28, issue 1, 75-88

Abstract: The aim of this study is to provide an overview of the infrastructure conditions of the digital economy, with particular emphasis on the undersea fiber-optic cable networks that support global data flows, the economic impacts of broadband internet, and the regional and corporate dimensions of the digital divide observable within the European Union. Today, digital infrastructure cannot be viewed merely as a technological foundation but also as a fundamental prerequisite for economic growth, productivity, employment, business adaptability, and social participation. According to the international literature, broadband internet access is positively correlated with GDP growth, productivity, business dynamism, and economic resilience to crises; however, the intensity of these effects may vary considerably by country, region, firm size, and by demand-side adaptation. The study emphasizes substantial convergence in internet access within the European Union, particularly in Eastern and Southeastern European member states, however, urban–rural disparities, differences by firm size, and access to higher-quality connections continue to indicate structural inequalities. The development of the digital economy therefore cannot be understood solely through the lens of infrastructure availability; it is necessary to also consider actual usage, digital skills, business adaptation, and the socio-economic environment.

Keywords: Digital economy; digital infrastructure; broadband internet; digital divide; digital convergence; economic resilience (search for similar items in EconPapers)
JEL-codes: L86 O33 R11 (search for similar items in EconPapers)
Date: 2026
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Persistent link: https://EconPapers.repec.org/RePEc:cmj:journl:y:2026:i:1:p:75-88

DOI: 10.70147/c287588

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