ict opportunity in the emerging regions
TRANSCRIPT
FOCUSING FORWARD
OPPORTUNITY IN THE EMERGING REGION
Madu Ratnayake
NSF National Committee on ICT & Electronics
What is the state of IT/BPO industry in
Sri Lanka?
2
“
2009 2010 2011 2012 2013 2014 2015
210
310
387
484
605
750
946
IT/BPO Export Revenue in mill USD
Actual Estimated
IT/BPO Industry to become 1 Billion USD in Export Revenue and create 100,000 Jobs
Source: ICT Survey 2010
15,871 17,827
21,914 23,318
8,634
11,384 13,701
17,197
24,505
29,211
35,615
40,515
2008 2009 2010 2011
IT Sector
BPO Sector
Total
Employees over 40,000 people
Approach (Mid Term – 2015)
Build niche focus Global Center of Excellence
in
Financial Services, Mobile and Telco, Software Testing, Travel and
Aviation, Legal Process & Product innovation
for
Mid market (SME) companies and niche captives
with a USP of
Niche talent, lower attrition, lower operating cost
Ranked among Top 25 in the AT Kearney Global Services Location Index (GSLI) in 2011Ranked number 5 in financial attractiveness, ahead of India, China and all of CEE
Gartner's 30 Leading Locations for Offshore Services (2010-2011). Included among the Top 10 in Asia pacific.
12th in the top ranking destinations in IBM Global Location Trends Report
Ranked among the top 10 emerging global destinations by Global Services Magazine.
Sri Lanka is clearly emerging as a global IT sourcing destination
North America, Europe and Australia is
large part of our market today
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UK & Europe20%
USA16%
Canada4%Japan
3%
Australia9%Africa
3%
China2%
India9%
Sri Lanka17%
Asia (except India & Sri
Lanka)
15%
South America2%
What is happening in the Emerging
Regions?
8
ICT adoption in the emerging regions is
exploding…
• Internet (> 1b 2012) and Telephone/Mobile usage is
growing exponentially
• PC sales of 352.4 million units growing 10% YoY
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Significant growth in
emerging regions…
Rank Country
Number of
users Dec
2008
Number of
users Dec
2009
Number of
users Dec
2010
Number of
users Dec
2011
12 month
growth %
1 USA 42,078,960 101,303,240 145,749,580 157,418,920 8.01%
2 Indonesia 897,040 14,681,580 32,129,460 41,768,340 30%
3 India 1,071,280 5,397,480 17,288,900 41,399,720 139.5%
4 Brazil 209,460 2,413,900 8,821,880 35,157,560 298.5%
5 Mexico 1,440,640 6,505,040 18,488,700 30,985,340 67.6%
6 Turkey 7,934,340 16,943,780 24,163,600 30,963,100 28.1%
7 UK 14,937,180 22,625,300 28,661,600 30,469,920 6.3%
8 Philippines 390,700 8,387,560 18,901,900 27,033,680 43.0%
9 France 6,587,240 14,290,700 20,469,420 23,544,460 15.0%
10 Germany 1,255,480 5,799,520 13,678,200 22,123,660 61.7%
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What is happening in Sri Lanka with
ICT?
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•Internet - 2.5m (11.8%)
•Facebook - 1.1m
•Literacy - 35%
•Mobile – 16m (>80%)
•PC Penetration?
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Rapid increase in ICT adoption in the
emerging regions is creating a significant
opportunity
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“Emerging region” ICT opportunity is
growing
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…who can creates solutions for the
emerging regions?
15
Innovation happens at the periphery of
consumption
One has to be there to see the opportunities
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…who can creates ICT solutions for the
emerging regions?
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Why we think emerging region make
sense?
• Rapidly growing market
• Real opportunity to innovate
• Competitive position
• Address local opportunities and problems
• Build local entrepreneurs/exit with
acquisitions
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We have fair opportunity to create truly innovative
solutions, improve national productivity and generate
wealth and export revenue
Possible areas of innovation
• Health Care
• Education
• Agriculture
• Water/Sanitation
• Rural BPOs
• …
• …
19
Strategy: How do we create an eco system that would
create leadership in ICT for Emerging Regions for Sri
Lanka
Create Awareness and
Excitement
Encourage Entrepreneurs
Support Research & Innovation
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Strategy: Some initial ideas for Execution
• Create Awareness and Excitement
• Maker Fair in each region – engage the young
• Establish and award for ICT in ER
• Encourage Entrepreneurs
• Emerging Region Business Idea Competition
• Seed funding
• Connecting researchers and businesses
• Support Research and Innovation
• Research grants for identified areas of innovation
• Incubation centers in Universities
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NSF National Committee on ICT &
Electronics – ICT Track
• Chair Person Prof. Dileeka Dias ([email protected])
• Madu Ratnayake ([email protected])
• Dr. Koliya Pulasinghe ([email protected])
• Dr. Ruwan Weerasinghe ([email protected])
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