The following elements together form a digital service:
A service (i.e. not goods)
Delivered via the internet, or an electronic network
Supply is essentially automated, or involves minimal human intervention
Difficult to perform the service in the absence of information technology
Here are some common examples of digital services:
Software products and software upgrades
Software provided as a service (‘SaaS’)
Cloud computing
Downloading and playing online games
E-books
Subscriptions to online content
Websites, hosting, VoIP and content
Music, films, images and photographs
E-services
Access to e-markets
Distance learning (pre-recorded and downloadable sessions)
And here are common examples of cases which are not classified as digital services:
A PDF document manually emailed by seller
Live webinar online
Software developer's contribution delivered and sold as a software development service
If a company supplies a package of services/goods, the company has to analyse the nature of the bundle and decide whether the complete package should be considered as a digital service, or each element in the bundle should be classified and treated separately.
For instance, if a company provides a packaged software and onsite support activities as a bundle, it would be reasonable to consider the packaged software as a digital service, and the onsite support activities as a professional service instead.