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Digital divide hinders rural innovation, study shows

June 12, 2023

Cloud-based computing directly contributes to business innovation, but rural businesses lacking sufficient broadband capacity to access cloud services are missing out on their innovation-boosting potential, according to a team of researchers from Penn State and the National Science Foundation. The findings can be used by policymakers and business-support organizations to foster greater opportunities for rural innovation.

“Innovation plays a critical role in keeping businesses competitive and viable, and in turn, healthy businesses are essential to vibrant rural economies. Therefore, we’re interested in understanding how best to support innovation among businesses, particularly rural businesses,” said Luyi Han, a postdoctoral scholar at the Penn State-based Northeast Regional Center for Rural Development.

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