The Asia-Pacific region outside Japan is expected to have 40 million Internet users by the year-end, with electronic commerce worth $7.3 billion, according to a research released today.

China will account for the highest number of online users, pushing current leader Australia into second place, followed by South Korea and Taiwan, International Data Corp-Asia/Pacific (IDC) said.

The online population at the end of 1999 was 25.7 million, the firm said in a statement.

The number of Internet users region-wise is forecast to reach 141 million by 2004, with China, India, Korea and Australia accounting for 76 per cent of the total, it said.

The value of e-commerce transactions will grow by a compounded annual rate of 128 per cent between 1999 and 2004, IDC said without giving figures.

IDCs projections came from a study of 13 economies - China, Australia, South Korea, Taiwan, Thailand, India, Malaysia, Indonesia, the Philippines, Hong Kong, New Zealand, Singapore and Vietnam. "The Internet market in Asia/Pacific (excluding Japan) experienced a tremendous amount of activity and growth during the first half of 2000," said Richard Jacobson, senior Internet analyst at IDC. (AFP)