Denmark and the US retain their number one and two spots in the rankings (with Sweden also tied for 2nd), but Hong Kong (4th), Singapore (6th), South Korea (16th), Taiwan (17th) and Japan (18th) have experienced a boost in 2007 in both scores and ranks.

The EIU report on e-readiness gauges how easy the net is to use in almost 70 nations, writes BBC News. It takes into account how easy and affordable citizens find it to get online as well as the legal and policy issues surrounding net use.

"Increasingly," said the report, "it is about how people and companies consume digital goods and services."

The report says this is partly due to broadband which is now cheap and affordable in almost every nation.  

But it warns that much hard work remains to be done to get the best out of the net for citizens and companies.  

"Technology leadership in the world is becoming a fast-moving target," said Robin Bew, editorial director of the EIU.  

"Those at the top of today's league table cannot be complacent - changing technologies, and attitudes to technology usage, mean that hard-won advantages can be quickly eroded by nimble-footed rivals."

More information at the Economics Intelligence Unit