Digital Services Comprise Over Half of Global Service Exports as Technological Divide Widens, UNCTAD Reports
Digitally deliverable services expanded to represent 56% of global service exports following a decade of 7.1% annual growth, according to UNCTAD. While advanced economies capture the bulk of digital trade, developing and least developed nations face growing structural divides.
ISTANBUL — Digitally deliverable services (DDS) have risen to account for 56% of total global service exports, outpacing conventional cross-border trade sectors over the past decade, according to the latest global trade assessment released by the UN Conference on Trade and Development (UNCTAD).
The report indicates that while worldwide services exports grew by an average of 6.7% annually over the last 10 years—accelerating to 8.3% expansion in 2025—digitally deliverable services expanded at an average pace of 7.1% per year. The sustained increase has been propelled by expanded access to cloud infrastructure, software ecosystems, and enhanced cross-border telecommunication networks across major markets.
Structural Divergence Between Developed and Developing Nations
Despite global momentum, UNCTAD highlighted a severe imbalance in participation. Digitally deliverable services constitute approximately 61% of total service exports in developed economies, compared to just 16% in least developed countries (LDCs). Total service exports from LDCs expanded by an annual average of only 3% over the past decade, reducing their overall share of global services trade from under 1% in 2010 to 0.6% in 2025.
The disparity is further reflected in UNCTAD’s artificial intelligence readiness index, where advanced economies scored an average of 0.65, while developing economies averaged 0.41 and least developed economies lagged at 0.31. Fewer than one-third of developing economies have implemented a formalized national AI strategy.
Integration of Digital Value in Production
Erdem Erkul, chair of the digital tech business council at Türkiye’s Foreign Economic Relations Board (DEIK), observed that physical manufacturing alone no longer secures export competitiveness, as industrial outputs increasingly incorporate embedded software, data management, and operational services.
"A country's competitive edge will be determined by the extent to which it can add technological and service value to the goods it produces," Erkul said, noting that while centralized access to compute and datasets poses risks of widening wealth divides, specialized AI deployment offers emerging economies paths to scale exportable technical capabilities.
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