The information and communication technology (ICT) revolution is characterized by three major trends. First, there is the omnipresence of microchips, which is the foremost characteristic of the digital era. Second, the costs of computing are dramatically decreasing. The third trend, which is co-dependent on the previous two trends entail significant reduction in data costs. The term digital economy was coined to describe this new economy, which is driven by ICT. This term emerged from the observation that the relatively smooth transition from the old economy to the new economy was facilitated by the emergence of information goods, which can be digitized. This prominence of information commodities entailed three landmark events: the invention of the microprocessor in 1971, the introduction of the personal computer (PC) in 1981 and the commercialization of the Internet in 1994 (Norton, 1999).