Transcript Outsource2Lithuania

Baltics ICT:
 Lithuania –
Aiming the Europe
and Project

Outsource2Lithuania”
outsource2Lithuania
Agenda






General information about Lithuania
Lithuania government support
Lithuania ICT industry and infrastructure
Lithuania ICT industry export
Association Infobalt
Project “Outsource2Lithuania”
2
GENERAL INFORMATION ABOUT




LITHUANIA
Population: 3.5 mln.
Area: 65,300 sq. km
Language:
Lithuanian
Neighbouring with:

Latvia

Poland
Belarus
Russia


3
outsource2Lithuania
LITHUANIA: KEY FACTS AND FIGURES

Lithuania – the largest economy in the Baltics:





Lithuania GDP increased by 8,9% in 2003
Deflation in 2003 was 1,3%
FDI inflow in Lithuania was 500 mill. US $ in 2003
Lithuania will join ES and NATO in 2004
European Commission declare Lithuania as
market economy country
4
outsource2Lithuania
Government support

National agreement: all political parties have reached
consensus on knowledge economy as priority for
country development

Long term strategy for economy development:
knowledge economy priority(government declared
knowledge economy as priority for country
development)

Information society development committee under
government of Lithuania www.ivpk.lt

Lithuanian development agency www.lda.lt
5
outsource2Lithuania
Legal information





Law on electronic signatures
Law on Copyright and Related Rights
Law on Personal data protection
Law on electronic communications
Telecommunication market de-monopolized
since 2003
6
outsource2Lithuania
Lithuanian ICT sector

In 2003, the sector of information and other new
technologies compounded 7.5 percent of the
Lithuanian GDP

About 500 of ICT and electronics companies

ITT wholesale market increased by 8%, to 153
million Eur

There are 15 000 of high qualification specialists
employed in the sphere of the information
technologies alone.
7
outsource2Lithuania
Lithuanian ICT sector

Their competence gained the international
recognition as well – in 2003 more than 40
Lithuanian ICT companies exported their products
and solutions to the EU, USA, Asian and CIS
countries.

During 2002–2003, Lithuanian ICT market has not
only been growing 27-30%, but also creating new
quality and cheaper products for its users.
8
Lithuania ICT Market Trends
2003 year Lithuanian ICT market size
In total – appr. 1 237 million Eur.
Note: Data on communication equipment and complex IT solutions
market are tentative and approximate.
IT – appr.
Million Euro
300
327
610
Communications – appr.
Communication equipment,
other IT services and
complex solutions – appr.
9
outsource2Lithuania
2003 year Lithuanian ICT market size
In 2003, the sector of information and other new technologies
compounded 7.5 percent of the Lithuanian GDP
17,50%
7,70%
6,10%
Services
Production
1,40%
2003
2015
10
outsource2Lithuania
Lithuania ICT industry export





General Lithuanian export in 2003 increased by 8.7
percent
Volume of Lithuanian ICT companies export is on the
average 7 percent
Lithuanian TOP 10 IT companies exports increased
from 40 to 80 percent in 2003
Export of IT services in 2003 – about 45 million Euros
The main Lithuanian ITT export markets: Germany,
Russia, Belarus, Finland, Denmark, USA, and Latvia
11
outsource2Lithuania
Lithuania R&D

In 2003, about 1950 ICT specialists studied in five
Lithuanian Universities; 1000 Masters of Science

About 500 ICT specialists are employed in Lithuanian or
foreign ICT companies every year

Lithuania’s ICT businesses and the Government have
initiated a program of investment into R&D seeking to
achieve that by 2008 up to 2.5-3 percent of State
budget funds is allocated for R&D projects and
enlargement of the related scope of work
12
outsource2Lithuania
Lithuania ICT industry strengths

The strongest ICT association Infobalt in the
region Knowledge economy forum(cooperation
between science and High - tech industry)

Private - public partnership (alliance “Window to
the future”, clusters)

Copyright agencies to protect IPR
13
outsource2Lithuania
Lithuania ICT infrastructure

Location between the EU, Nordics, Belarus & Russia

Modern telecom infrastructure with a digitalization
ratio of 100% and mobile penetration of 60%

In 2003, the penetration of mobile
telecommunications reached 62 percent of Lithuanian
population

National broadband program 2004 – 2007

Internet penetration growth >100% in 2003

1000 public internet access points in rural areas
14
outsource2Lithuania
Lithuania ICT infrastructure




89% of business have web pages
Government has an initiative to train 10% of total
population to use internet
Government employees have a ECDL certificate
3 international airports, direct connection with major
cities in Europe. The same or close time zone.
Relatively short geographical distance
15
outsource2Lithuania
Data and IP security in Lithuania



IPR law
Data protection law
Active copyright agencies to
enforce IPR protection
16
outsource2Lithuania
Education in Lithuania


Most educated population in Europe
(source www.eurostat.com)
Well – developed ICT universities producing
over 2000 specialist in ICT disciplines annually
17
outsource2Lithuania
Cultural compatibility and languages

Northern Europe culture

European business ethics

Very quality conscious

Versatile in English, Russian, German and Polish

Good understanding of eastern neighbors culture
mentality(Russia, Ukraine, Belarus)
18
outsource2Lithuania
Labour cost



Over 15 000 employees in ICT
software and services industry
Well-trained & low-cost
human resources available
Annual average programmer
salary – 9 000 Eur.
19
outsource2Lithuania
Association INFOBALT

Mission - enable the Lithuanian ICT
sector to fulfill its potential on global
markets
20
outsource2Lithuania
About Association INFOBALT



Uniting Lithuania – based companies of ICT, office
equipment and electronic industry for the common
activity (nearly 200 members)
Member of major international ICT associations
(EICTA, WITSA)
The Association Infobalt members employed
around 15 thousand highly-qualified specialist
21
outsource2Lithuania
Project
“Outsource2Lithuania”

Mission – to become number one
choice for near-shore outsourcing in
Europe
22
outsource2Lithuania
Lithuanian IT companies have
experience with:



“Bentley System Inc.”
“Deutsche Bank”
LHS (Former SchlumbergerSema)
23
outsource2Lithuania
Why outsource2Lithuania?

Stable economy

Strong government support for knowledge economy
and developing the domestic ICT industry

Solid infrastructure

Strong ICT association

Extremely well educated and cost competitive
labour

Fast growing economy and favorable legal
environment
24
outsource2Lithuania
Areas of outsourcing




Enterprice applications
Development services
IT infrastructure and solution
ICT enabled services
25
More information and contacts

Web site www.infobalt.lt

Association Infobalt office:
Vokiecių g. 28/17-16
LT - 01130 Vilnius, Lithuania
E-mail: [email protected]
26