With the realization of the benefits associated with the adoption of information and communication technologies (ICTs), many small and medium enterprises (SMEs) in developing economies are beginning to embrace the use of ICT. This process has, however, been marred with numerous challenges, characterizing the process as slow paced adoption and use of poor quality ICTs that are outdated, ... [Show full abstract] ineffective and inefficient. This is partly attributed to the fact that most developing economies are not well positioned to provide conducive environments for their SMEs to thrive, even in their efforts to embrace ICT. Notwithstanding the many challenges, SMEs in developing economies are slowly but steadily starting to embrace the use of ICTs. Therefore, the objective in this article is to review literature on ICT usage within SMEs in developing economies. The authors concluded that by strategically positioning their ICT, SMEs can tap into the enormous potential advantages offered by ICT to gain a competitive advantage. The authors further submit that SMEs can make use of their flexibility and relatively small size to their advantage, because these are perfect conditions for the diffusion and application of ICT.