DIGITAL DIVIDE, TECHNOLOGY AND MARKET INEQUALITY
AUTHOR – ASHALESHA ANAND POKHARNIKAR, LL.M. (BUSINESS LAW), NAVALMAL FIRODIA LAW COLLEGE, SAVITRIBAI PHULE PUNE UNIVERSITY, PUNE, MAHARASHTRA, INDIA
BEST CITATION – ASHALESHA ANAND POKHARNIKAR, DIGITAL DIVIDE, TECHNOLOGY AND MARKET INEQUALITY, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (14) OF 2025, PG. 1144-1150, APIS – 3920 – 0001 & ISSN – 2583-2344.
Abstract
Digital technology has become a central driver of economic activity, reshaping markets, employment patterns, and modes of participation in the global economy. Although technological progress is often associated with efficiency, innovation, and economic growth, its benefits are not distributed equally across society. The unequal access to digital infrastructure, digital skills, and technological resources has resulted in a persistent digital divide. This divide plays a significant role in shaping market inequality by determining who can effectively participate in digital markets and who remains excluded.
This paper examines the impact of the digital divide on market inequality by analysing how technological disparities influence economic opportunities and market participation. Individuals and businesses with access to advanced technology are better positioned to benefit from digital platforms, online marketplaces, and data-driven decision-making. In contrast, those lacking access or digital literacy face barriers to entry, reduced competitiveness, and limited access to information and markets. As a result, technology can reinforce existing economic inequalities rather than reduce them.
The study further explores how digital technologies contribute to the concentration of market power. Large firms with strong technological capabilities are able to dominate digital markets through automation, platform control, and data accumulation, while small enterprises and informal sector participants struggle to compete. These dynamics are particularly evident in developing economies, where infrastructural gaps, affordability issues, and regulatory challenges deepen market inequality.
By adopting a socio-economic and policy-oriented approach, this paper argues that technology is not inherently inclusive. Its impact on market equality depends on the surrounding legal, regulatory, and institutional frameworks. The paper concludes that addressing the digital divide is essential for ensuring fair competition and inclusive economic growth. Targeted investment in digital infrastructure, education, and regulatory safeguards is necessary to ensure that technological advancement contributes to reducing market inequality rather than exacerbating it.
Keywords-Digital Divide; Technology; Market Inequality; Digital Economy; Access to Technology; Competition; Economic Inclusion; Socio-Economic Disparities