Challenges and Prospects of Assessing the Digitalization Process: Tracing the Widening Gap between Urban and Rural Areas

Over the last two decades, digitalisation has become a key factor, fundamentally influencing the quality of life for residents. This dissertation focuses on analysing the digital divide between urban, suburban and rural areas. It aims to extend the current understanding of the digital divide and its manifestations in European Union countries, as well as quantifying it and identifying evaluation opportunities in its defined spheres. Against the backdrop of uneven access to digital infrastructure, the study seeks to identify the key factors contributing to the digitalisation process. As part of the research, the Composite Index of Digital Inequality (KIDN) was developed to measure the level of digitalisation in different regions (urban, suburban and rural). Analysis confirmed that urban areas typically exhibit higher internet usage intensity than suburban and rural areas. This indicates that the availability of digital infrastructure and the level of digital skills play a crucial role in the degree of digitalisation. The significance of the factors influencing the size of the digital divide varies significantly across different models. Furthermore, the relationship between the level of digitalisation, as measured by the Digital Economy and Society Index (DESI) developed by the European Commission at the national level, and the size of the digital divide between urban, suburban and rural areas within individual Member States was examined. The findings suggest that investing in digitalisation development positively impacts the reduction of digital inequality among urban, suburban and rural areas in European Union member states. Highlighting the specifics of different types of regions, the work emphasises the need to include suburban regions in analyses of digital inequality, drawing attention to significant internal differences between various types of regions.