Variant of NAICS 1997 - Information and Communication Technology (ICT) Sector

6.1 - Information and Communication Technology Industries

This special aggregation comprises the portion of NAICS of 'Manufacturing' (NAICS 31-33), 'Wholesale Trade' (NAICS 41), 'Information and Cultural Industries' (NAICS 51), 'Real Estate and Rental and Leasing' (NAICS 53), 'Professional, Scientific and Technical Services' (NAICS 54) and 'Other Services (except Public Administration)' (NAICS 81) that relates to information and communication technology products.

31-33i - ICT- Manufacturing

This special aggregation 'ICT- Manufacturing' comprises the portion of NAICS sector 31-33 'Manufacturing' that relates to information and communication technology products

The NAICS sector 31-33 'Manufacturing' comprises establishments primarily engaged in the physical or chemical transformation of materials or substances into new products. These products may be finished, in the sense that they are ready to be used or consumed, or semi-finished, in the sense of becoming a raw material for an establishment to use in further manufacturing. Related activities, such as the assembly of the component parts of manufactured goods; the blending of materials; and the finishing of manufactured products by dyeing, heat-treating, plating and similar operations are also treated as manufacturing activities. Manufacturing establishments are known by a variety of trade designations, such as plants, factories or mills.

Manufacturing establishments may own the materials which they transform or they may transform materials owned by other establishments. Manufacturing may take place in factories or in workers' homes, using either machinery or hand tools.

Certain activities involving the transformation of goods are classified in other sectors. Some examples are post-harvest activities of agricultural establishments, such as crop drying; logging; the beneficiating of mineral ores; the production of structures by construction establishments; and various activities conducted by retailers, such as meat cutting and the assembly of products such as bicycles and computers.

Certain activities involving the transformation of goods are classified in other sectors. Some examples are post-harvest activities of agricultural establishments, such as crop drying; logging; the beneficiating of mineral ores; the production of structures by construction establishments; and various activities conducted by retailers, such as meat cutting and the assembly of products such as bicycles and computers.

41i - ICT- Wholesale Trade

This special aggregation 'ICT- Wholesale Trade' comprises the portion of NAICS sector 41 'Wholesale Trade' that relates to information and communication technology products

The NAICS sector 41 'Wholesale Trade' comprises establishments primarily engaged in wholesaling merchandise and providing related logistics, marketing and support services. The wholesaling process is generally an intermediate step in the distribution of merchandise; many wholesalers are therefore organized to sell merchandise in large quantities to retailers, and business and institutional clients. However, some wholesalers, in particular those that supply non-consumer capital goods, sell merchandise in single units to final users.

This sector recognizes two main types of wholesalers, that is, wholesale merchants and wholesale agents and brokers.

Wholesale Merchants

Wholesale merchants buy and sell merchandise on their own account, that is, they take title to the goods they sell. They generally operate from warehouse or office locations and they may ship from their own inventory or arrange for the shipment of goods directly from the supplier to the client. In addition to the sale of goods, they may provide, or arrange for the provision of, logistics, marketing and support services, such as packaging and labelling, inventory management, shipping, handling of warranty claims, in-store or co-op promotions, and product training. Dealers of machinery and equipment, such as dealers of farm machinery and heavy-duty trucks, also fall within this category.

Wholesale merchants are known by a variety of trade designations depending on their relationship with suppliers or customers, or the distribution method they employ. Examples include wholesale merchants, wholesale distributors, drop shippers, rack-jobbers, import-export merchants, buying groups, dealer-owned cooperatives and banner wholesalers.

The first eight subsectors of wholesale trade comprise wholesale merchants. The grouping of these establishments into industry groups and industries is based on the merchandise line or lines supplied by the wholesaler.

Wholesale Agents and Brokers

Wholesale agents and brokers buy and sell merchandise owned by others on a fee or commission basis. They do not take title to the goods they buy or sell, and they generally operate at or from an office location.

Wholesale agents and brokers are known by a variety of trade designations including import-export agents, wholesale commission agents, wholesale brokers, and manufacturer's representatives and agents.

51i - ICT- Information and Cultural Industries

This special aggregation 'ICT- Information and Cultural Industries' comprises the portion of NAICS sector 51 'Information and Cultural Industries' that relates to information and communication technology products

The NAICS sector 51 'Information and Cultural Industries' comprises establishments primarily engaged in creating and disseminating (except by wholesale and retail methods) information and cultural products, such as written works, musical works or recorded performances, recorded dramatic performances, software and information databases, or providing the means to disseminate them. Establishments that provide access to equipment and expertise to process information are also included.

The unique characteristics of information and cultural products, and of the processes involved in their production and distribution, distinguish this sector from the goods-producing and services-producing sectors. In particular,

*the value of these products lies in their information, educational, cultural or entertainment content, not in the format in which they are distributed. Most of these products are protected from unlawful reproduction by copyright laws. Only those possessing the rights to these works are authorized to reproduce, alter, improve and distribute them. Acquiring and using these rights often involves significant costs.

*the intangible nature of the content of information and cultural products allows for their distribution in various forms. For example, a movie can be shown at a movie theatre, on a television broadcast, through video on demand, or rented at a local video store; a sound recording can be aired on radio, embedded in multi-media products or sold at a record store; software can be bought at retail outlets or downloaded from an electronic bulletin board; a newspaper can be purchased at a newsstand or received on-line. In addition, improvements in information technology are revolutionizing the distribution of these products. The inclusion in this sector of telecommunications carriers and Internet access providers reflects the increasingly important role these establishments play in making these products accessible to the public.

The main components of this sector are the publishing industries, including software publishing, the motion picture and sound recording industries, the broadcasting and telecommunications industries, and the information services and data processing industries. There are establishments engaged in culture-related activities that are classified in other sectors of NAICS. The most important are listed below.

53i - ICT- Real Estate and Rental and Leasing

This special aggregation 'ICT- Real Estate and Rental and Leasing' comprises the portion of NAICS sector 53 'Real Estate and Rental and Leasing' that relates to information and communication technology products

The NAICS sector 53 'Real Estate and Rental and Leasing' comprises establishments primarily engaged in renting, leasing or otherwise allowing the use of tangible or intangible assets. Establishments primarily engaged in managing real estate for others; selling, renting and/or buying of real estate for others; and appraising real estate, are also included.

54i - ICT- Professional, Scientific and Technical Services

This special aggregation 'ICT- Professional, Scientific and Technical Services' comprises the portion of NAICS sector 54 'Professional, Scientific and Technical Services' that relates to information and communication technology products

The NAICS sector 54 'Professional, Scientific and Technical Services' comprises establishments, not classified to any other sector, primarily engaged in repairing, or performing general or routine maintenance, on motor vehicles, machinery, equipment and other products to ensure that they work efficiently; providing personal care services, funeral services, laundry services and other services to individuals, such as pet care services and photo finishing services; organizing and promoting religious activities; supporting various causes through grant-making, advocating (promoting) various social and political causes, and promoting and defending the interests of their members. Private households are also included.

81i - ICT- Other Services (except Public Administration)

This special aggregation 'ICT- Other Services (except Public Administration)' comprises the portion of NAICS sector 81 'Other Services (except Public Administration)' that relates to information and communication technology products

The NAICS sector 81 'Other Services (except Public Administration)' comprises establishments, not classified to any other sector, primarily engaged in repairing, or performing general or routine maintenance, on motor vehicles, machinery, equipment and other products to ensure that they work efficiently; providing personal care services, funeral services, laundry services and other services to individuals, such as pet care services and photo finishing services; organizing and promoting religious activities; supporting various causes through grant-making, advocating (promoting) various social and political causes, and promoting and defending the interests of their members. Private households are also included.

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