Jordan’s ICT Industry

ICT Association of Jordan – int@j

            April 2011
int@j Background
 Driven by His Majesty’s vision for a strong private ICT Sector
 Established in 2000 as the ICT industry-support association under
  the REACH Initiative
 Lead the implementation of the REACH Initiative (2000-2006)
  and the National ICT Strategy (2007-2011) in partnership with
  MoICT
• Includes 200 companies in IT, Telecom, Outsourcing, Internet and
  Mobile businesses, membership is open for all ICT companies
• int@j focuses on advocacy, promotion and marketing, capacity
  building, research and publications.
int@j Vision
  To be the primary and exclusive
private sector representative of ICT
     and ITES- enabled services
 companies in Jordan representing
          the entire sector
int@j Mission
To provide members with a platform of
 products & services that support their
  continuous growth, expansion, and
prosperity toward a mature sector that
substantially contributes to the national
 economy and provides quality jobs for
               Jordanians
int@j Services

     Services                            Activities
                     • Position papers studies
    Advocacy
                     • Legal lobbying awareness
                     • Trade missions
  Marketing and
                     • ICT Connect
   Networking
                     • Business linkages
                     • Quarterly ICT magazine (going Online)
   Publications      • e-Communication (RFP’s, Announcements…)
                     • Annual industry statistics
                     • Professional training and certification
 Capacity Building
                       programs
                     • Corporate health insurance
Corporate services
                     • Other corporate deals
2010 Highlights
                       2010 Activities
               •   ICT Advisory Council
               •   ICT Export Exemption
 Advocacy      •   Government Procurement Procedures
               •   Reviewed Laws (e-Transactions, Labor, Cyber
                   Crimes, IP)
               •   MENA ICT Forum 10-10-10
               •   Arab Outsourcing Conference 2010
 Promotion     •   ICT Connect/Power Breakfast
               •   Investment and Business Development
               •   Trade Missions to India, Palestine, and Oman
               • Salary Scale
Research &
               • ISIC Classification/Statistics
Publications
               • ICT Magazine
2010 Highlights

                     2010 Activities
             •   Graduates Internship Program
             •   Microsoft Training Program
             •   Mobile Apps Development(iPhone/Blackberry)
  Capacity
             •   CMMI for IT Companies
  Building
             •   SPOT for Call Centers
             •   Higher Education Portal
             •   ICT Academy
             • BPO IAOP Chapter
   Sector
             • Internet Content Council
Segmentation
             • Jordan Games Development Task Force
Sector Vision
 Jordan to become a major regional
  ICT leader and an internationally
recognized exporter of ICT products
  & services, capitalizing on its core
      human capital advantage
Jordan’s ICT Sector
• Fastest growing sector in Jordan's economy (Avg. 25% growth)
• More than 80,000 jobs in total (direct/indirect/induced)
• Contribution of 14% to GDP (10% direct, 4% indirect)
• On the ground international companies (Cisco, Microsoft,
  Oracle, HP, Yahoo, Intel, Motorola, Ericsson)
• Average annual telecom local spending of more than USD
  500m into the economy (Orange, Zain, Umniah, …)
• More than USD 500m contribution to treasury
ICT Sector Landscape

                                                                                            $ 2.2b




                                                                            $1.3b

                                                         $895m
                                      $685m
                                                                    $500m           $560m
                   $210m
           $12m               $48m               $60m


           IT Export         IT Domestic          IT Total           Telecom         ICT Total
           Revenue             Revenue            Revenue            Revenue         Revenue
                                                    2000     2009
Source:
-    Telecom: Arab Advisors Group
-    IT: int@j Industry Classification and Statistics 2009
Contribution to Jordanian Economy
         17.70%

                           14.30%            14.10%

                 10.60%




                                     3.28%                    4.30% 4.50%
                                                                                         2.80%
                                                      1.23%                      2.30%



     Manufacturing         Tourism             ICT           Construction      Agriculture
                                GDP Contribution       Direct Employment
Source:
-    Manufacturing, Construction, and Agriculture GDP and Employment: Department of Statistics
-    ICT: int@j Industry Classification and Statistics 2009
-    Tourism: Ministry of Tourism
ICT Sector Exports
• Exporting to more than 45 countries
• Major Export Markets
    – USA $48m (22%)
    – Saudi Arabia $47m (21%)
    – Iraq $29m (13%)
    – UAE $16m (7%)
    – Palestine $9m (4%)
 Regional Opportunities
    – Saudi Arabia (Over $4b total IT spending in 2009) 50% of GCC Spending
    – UAE (Over $1b IT spending projected in 2010)
    – Kuwait (Over $700mn IT spending in 2008)
    – Qatar (Over $400mn IT spending in 2009)
ICT Impact on Jordan Overall Economy
•     ICT Impact on Employment is 84,000 Jobs
•     ICT Impact on GDP is 14.1%
       9.5%
                              GDP Contribution from ICT in other sectors: 4.6%




                                                                                       2.7%

                                  0.7%                       0.8%
                   0.1%                        0.1%                      0.3%

     ICT Sector   Education    Manufactring Health Sector   Financial   Wholesale   Other Sectors
                   Sector        Sector                     Services    and Trade
                                                             Sector       Sector




Source: 2009/2010 ICT Economic Impact Assessment - MoICT
Opportunities
Opportunities
E-Learning:


 Jordan Education Initiative
 ICT as a tool in education reform
 Local firms delivering world-class products
    – ITG - EduWave Platform, World Summit Award Winner
    – Rubicon, Math Curricula with Cisco
    – Menhaj, IT Curricula with Microsoft
 Model to be replicated
Opportunities
E-Health:


 Electronic Health Solutions Royal Initiative
 Based on VistA
 In partnership with Dell/Perot Systems
 Pilot in 3 Public Hospitals
 Model to build on and replicate in other countries
Opportunities
Telecommunications:


 Liberalized Telecom Sector
    – Liberalized mobile telephone subsector
    – Liberalized fixed line subsector
 Independent regulator – TRC
 Licensed WiMAX & 3G Infrastructure
 More than 6 million mobile phone subscribers
Opportunities
Business Process Outsourcing:


 9th globally in AT. Kearny Global Services Location Index (2009)
 Availability of necessary ingredients
    – Manpower and human talent
    – The “right” Arabic and English dialect
    – An alternative destination
    – The right telecom infrastructure
    – The investment climate
    – The political and economic stability
Online Content and Gaming
 1% Arabic content in the world – Jordan is the largest contributor
 Neutral Arabic speaking community
 Mobile:
    – Applications, Games, and Content
        • Multiplatform applications, content, and games (including iPhone
          and Blackberry)
 Online
    – Applications and Gaming Solutions (example online payment)
    – Communities (example web forums, football sites)
    – Media and Content (example Online Newspapers, social media, and
      directories)
Thank You

Jordan ICT Sector Apr 2011

  • 1.
    Jordan’s ICT Industry ICTAssociation of Jordan – int@j April 2011
  • 2.
    int@j Background  Drivenby His Majesty’s vision for a strong private ICT Sector  Established in 2000 as the ICT industry-support association under the REACH Initiative  Lead the implementation of the REACH Initiative (2000-2006) and the National ICT Strategy (2007-2011) in partnership with MoICT • Includes 200 companies in IT, Telecom, Outsourcing, Internet and Mobile businesses, membership is open for all ICT companies • int@j focuses on advocacy, promotion and marketing, capacity building, research and publications.
  • 3.
    int@j Vision To be the primary and exclusive private sector representative of ICT and ITES- enabled services companies in Jordan representing the entire sector
  • 4.
    int@j Mission To providemembers with a platform of products & services that support their continuous growth, expansion, and prosperity toward a mature sector that substantially contributes to the national economy and provides quality jobs for Jordanians
  • 5.
    int@j Services Services Activities • Position papers studies Advocacy • Legal lobbying awareness • Trade missions Marketing and • ICT Connect Networking • Business linkages • Quarterly ICT magazine (going Online) Publications • e-Communication (RFP’s, Announcements…) • Annual industry statistics • Professional training and certification Capacity Building programs • Corporate health insurance Corporate services • Other corporate deals
  • 6.
    2010 Highlights 2010 Activities • ICT Advisory Council • ICT Export Exemption Advocacy • Government Procurement Procedures • Reviewed Laws (e-Transactions, Labor, Cyber Crimes, IP) • MENA ICT Forum 10-10-10 • Arab Outsourcing Conference 2010 Promotion • ICT Connect/Power Breakfast • Investment and Business Development • Trade Missions to India, Palestine, and Oman • Salary Scale Research & • ISIC Classification/Statistics Publications • ICT Magazine
  • 7.
    2010 Highlights 2010 Activities • Graduates Internship Program • Microsoft Training Program • Mobile Apps Development(iPhone/Blackberry) Capacity • CMMI for IT Companies Building • SPOT for Call Centers • Higher Education Portal • ICT Academy • BPO IAOP Chapter Sector • Internet Content Council Segmentation • Jordan Games Development Task Force
  • 8.
    Sector Vision Jordanto become a major regional ICT leader and an internationally recognized exporter of ICT products & services, capitalizing on its core human capital advantage
  • 9.
    Jordan’s ICT Sector •Fastest growing sector in Jordan's economy (Avg. 25% growth) • More than 80,000 jobs in total (direct/indirect/induced) • Contribution of 14% to GDP (10% direct, 4% indirect) • On the ground international companies (Cisco, Microsoft, Oracle, HP, Yahoo, Intel, Motorola, Ericsson) • Average annual telecom local spending of more than USD 500m into the economy (Orange, Zain, Umniah, …) • More than USD 500m contribution to treasury
  • 10.
    ICT Sector Landscape $ 2.2b $1.3b $895m $685m $500m $560m $210m $12m $48m $60m IT Export IT Domestic IT Total Telecom ICT Total Revenue Revenue Revenue Revenue Revenue 2000 2009 Source: - Telecom: Arab Advisors Group - IT: int@j Industry Classification and Statistics 2009
  • 11.
    Contribution to JordanianEconomy 17.70% 14.30% 14.10% 10.60% 3.28% 4.30% 4.50% 2.80% 1.23% 2.30% Manufacturing Tourism ICT Construction Agriculture GDP Contribution Direct Employment Source: - Manufacturing, Construction, and Agriculture GDP and Employment: Department of Statistics - ICT: int@j Industry Classification and Statistics 2009 - Tourism: Ministry of Tourism
  • 12.
    ICT Sector Exports •Exporting to more than 45 countries • Major Export Markets – USA $48m (22%) – Saudi Arabia $47m (21%) – Iraq $29m (13%) – UAE $16m (7%) – Palestine $9m (4%)  Regional Opportunities – Saudi Arabia (Over $4b total IT spending in 2009) 50% of GCC Spending – UAE (Over $1b IT spending projected in 2010) – Kuwait (Over $700mn IT spending in 2008) – Qatar (Over $400mn IT spending in 2009)
  • 13.
    ICT Impact onJordan Overall Economy • ICT Impact on Employment is 84,000 Jobs • ICT Impact on GDP is 14.1% 9.5% GDP Contribution from ICT in other sectors: 4.6% 2.7% 0.7% 0.8% 0.1% 0.1% 0.3% ICT Sector Education Manufactring Health Sector Financial Wholesale Other Sectors Sector Sector Services and Trade Sector Sector Source: 2009/2010 ICT Economic Impact Assessment - MoICT
  • 14.
  • 15.
    Opportunities E-Learning:  Jordan EducationInitiative  ICT as a tool in education reform  Local firms delivering world-class products – ITG - EduWave Platform, World Summit Award Winner – Rubicon, Math Curricula with Cisco – Menhaj, IT Curricula with Microsoft  Model to be replicated
  • 16.
    Opportunities E-Health:  Electronic HealthSolutions Royal Initiative  Based on VistA  In partnership with Dell/Perot Systems  Pilot in 3 Public Hospitals  Model to build on and replicate in other countries
  • 17.
    Opportunities Telecommunications:  Liberalized TelecomSector – Liberalized mobile telephone subsector – Liberalized fixed line subsector  Independent regulator – TRC  Licensed WiMAX & 3G Infrastructure  More than 6 million mobile phone subscribers
  • 18.
    Opportunities Business Process Outsourcing: 9th globally in AT. Kearny Global Services Location Index (2009)  Availability of necessary ingredients – Manpower and human talent – The “right” Arabic and English dialect – An alternative destination – The right telecom infrastructure – The investment climate – The political and economic stability
  • 19.
    Online Content andGaming  1% Arabic content in the world – Jordan is the largest contributor  Neutral Arabic speaking community  Mobile: – Applications, Games, and Content • Multiplatform applications, content, and games (including iPhone and Blackberry)  Online – Applications and Gaming Solutions (example online payment) – Communities (example web forums, football sites) – Media and Content (example Online Newspapers, social media, and directories)
  • 20.