Digital Socio-Economic Development · Digital Dividend Readiness plan launched in May 2013 . Ministry of Communications & Information Technology ... Providing and driving a list of

Ministry of Communications & Information Technology - Egypt January 2014

Digital Socio-Economic Development

The Way Forward

To

Prosperity .. Freedom .. Social Equity

Ministry of Communications & Information Technology - Egypt 2

ICT Sector Short Term Priorities

ICT Sector Indicators and Short Term Objectives

Egypt ICT Sector Strategy (2013-2017)

Projected ICT Growth (2013-2017)

Outline






Outline


Telecommunications Post

Egypt Post

Teleco Companies

Teleco Services

Information Technology

FDI

IT Companies

FDI

ICT Sector

International & Regional Cooperation

Technology Innovation & Entrepreneurship

MCIT and Affiliates

Human Resource Development, Community Services and PWD Empowerment


ICT Sector| Priorities

Encouraging Creativity & Innovation

Fostering Transparency

Full Government Support to all Stakeholders

Maintain and Encourage Sector Growth

MCIT & Affiliates Institutional Consolidation

Ministry of Communications and



Maintain & Encourage Sector Growth| Telecommunications

Mobile Money Authorized in April 2013

Telecos` Spectrum Solving pending issues May 2013

Unified License Targeted Q4 of 2013

Tracking (AVL) Authorized in May 2013

Digital Dividend Readiness plan launched in May 2013


Maintain & Encourage Sector Growth| IT

Government Projects EGP 365 Mn

Training Projects EGP 65 Mn

Grow IT & NGOs Support EGP 14 Mn

Export IT EGP 30 Mn

New Incentive Initiatives for SMEs

EGP 25 Mn

Boosting Local Demand

New PPP & Revenue Sharing Models

Encouraging Open Source and mApps Technologies

Partnerships between MCIT , Ministries & Governmental Entities

(31 Protocols)


EGP 450 Mn Funding National Bank of Egypt, United Bank & Social Fund for Development

(currently 182 companies applied for)

Immediate actions to solve Financial Issues 26 Companies – EGP 44.1 Mn

Solved: 10 Companies – EGP 17.3 Mn

On Going: 16 Companies – EGP 26.8 Mn

Supporting & Promoting Egyptian IT Companies Global ICT Exhibitions & Conferences

GSMA, CeBit, Cairo ICT, Gitex, … etc.

Maintain & Encourage Sector Growth| IT

Government Support


Maintain & Encourage Sector Growth| FDI

Maintain Egypt’s Position as one of the top Outsourcing & Offshoring Destinations

Support & Maintain ICT Companies continuous growth

Dedicated Talent Pool for O&O EDUEgypt Program

8,500 University Graduates/year

Official Missions USA/ India/ KSA/ Algeria/ UAE

GSMA/WSIS & WTPF/ GITEX

Appealing Incentive Packages to Attract New Investments

Outsourcing & Offshoring


India Mission

MoU signed in Cyber-Security field CERT specialization

Areas of Cooperation : Electronic Devices eGovernment eLearning Innovation & Entrepreneurship Building Technology Parks Outsourcing & Offshoring, Telecommunication Centers & IT

Industry Internet Kiosks in the remote and marginalized areas

Strengthening & Supporting the bilateral ICT private sector companies

Participating in the bilateral Conferences, Forums & Exhibitions Broadband

Outcome


USA Mission

Maintain MNCs investments in Egypt & the possibility of its growth Microsoft, Oracle, Cisco, HP, Teradata, Intel, Apple, Yahoo!

MNCs participation in implementing ICT strategic plan Microsoft, Oracle, Intel, HP, Cisco, UnitedLayer

Taking advantage of MNCs in Innovation & Entrepreneurship fields TiE Silicon Valley, nestGSV

Collaborate with the Egyptian expatriates Brains4Egypt

Outcome


Maintain & Encourage Sector Growth| FDI

3 operational Buildings

Contractual area: 12,000m2

Total Seats 2,175

Job opportunities Direct: 3,700 Indirect: 9,250

MB1

Maadi Technology Park

Outsourcing & Offshoring

Fundamental Phase

5 operational Buildings


Total Seats: 4,500


MB3

3 New Buildings Under construction


Total Seats: 3,050


MB4

8 New Buildings Ready to be bid for

Contractual area: 45,000 m2

Total Seats: 7,500


MB5- MB6- MB7- MB8

Investments Phase


Maintain & Encourage Sector Growth| Egypt Post

Hiring Top Executives

Strategy Development (3 months)

Corporate Governance Model

New Services


Maintain & Encourage Sector Growth| International Cooperation

World Summit on the Information Society (WSIS) 2014

Nile Basin Initiative African ICT Ministers` Council (October 2013)

Executive Office of the Council of Arab Ministers of ICT (Sept 2013) Arab Initiatives (Iraq/Libya…etc)

Hosting Top ICT World Events

Regional Initiatives


Maintain & Encourage Sector Growth| Tech. Innovation & Entrepr.

Encouraging the Innovation in the ICT field & maximizing the Intellectual Property development revenue

Linking Egypt with the International Innovation & Entrepreneurship through

Attracting MNCs to participate with the local companies & Egyptian universities in the Innovation & Entrepreneurship field


Maintain & Encourage Sector Growth| Reaching out to Citizens

Children Safety

SMEs Empowerment

Remote & Rural Areas

Professional Training

Human Resource Development, Community Services and PWD Empowerment

PWDs Empowerment

Farmers Community

eLearning

Innovation & Entrepreneurship

O&O

Government Framework






Outline


ICT Sector| Workforce T

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cos

Telecom Egypt (+ TE Data) 50,347

Vodafone 7,405

Mobinil (+ Link Dot Net) 4,514

Etisalat (+ Related ISPs) 3,202

Rest of Communications Companies 5,147

Total # of Telecommunications Employees 70,615

IT IT Local Companies 117,000

ITO & BPO Companies 43,000

Total # of IT Employees 160,000

Egypt Post 49,000

Total 279,615

Number of Employees

Companies


ICT Sector| Telecommunications Indicators

6.84 Mn Fixed Line Subscribers

8.28 % Fixed Line Penetration

96.74 Mn Mobile Subscribers

115.40 % Mobile Penetration

37.21 Mn Internet Users

44.39 % Internet Penetration Rate

2.45 Mn ADSL Subscribers

14.23 Mn Mobile Internet Users

Indicators August 2013


ICT Sector| IT/O&O Indicators

BPO ITO

Innovation

18,200 Offshore

Employees

23,000 Offshore Employees

1,500

Offshore Employees

http://www.bobsguide.com/logos/29476.gif

http://www.vodafone.com.eg/en/Home/index.htm

http://en.wikipedia.org/wiki/File:HSBC.svg

http://www.esnad-bpo.com/index.htm


http://en.wikipedia.org/wiki/File:Ericsson_logo.svg

http://www.catalyst-us.com/index.html

http://en.wikipedia.org/wiki/File:Oracle_logo.svg

http://en.wikipedia.org/wiki/File:EMC_logo.png

http://www.rdi-eg.com/index.htm

http://en.wikipedia.org/wiki/File:EMC_logo.png

http://www.rayacorp.com/


http://www.rayacorp.com/


ICT Sector| Post Indicators

3,830 office Number of Post offices

4.74 Mn/month Number of pensions distributed through Post offices

3.249 Bn EGP/month Value of pensions distributed through Post offices

120.75 Bn EGP Value of savings in the Postal Saving Fund

21.91 Mn Number of accounts in the Postal Saving Fund

August 2013 Indicators


ICT Sector| Key Indicators (2011-2012)


EGP 53 B

ICT Revenues EGP 65 B

ICT GDP EGP 48 B

ICT Contribution to National GDP

3.2%

ICT Growth Rate 6 %

Telecommunications

EGP 12 B

Total Number of Companies 4129


ICT Sector| Quantitative Targets (2013-2014)

Total Number of Companies 5,767

10,000

Direct

Job Opportunities

50,000

Total

40,000

Indirect


EGP 76 B

ICT Revenues EGP 96 B

ICT GDP EGP 66 B

ICT Contribution to National GDP

4.1 %

ICT Growth Rate 10 %

Telecommunications

EGP 20 B






Outline


Prosperity, Freedom and Social Equity for All,

using simple and affordable access to knowledge

and services

through ICT; Anywhere , Anytime.

Vision

ICT Sector Strategy (2013-2017)


Enabling the development of a knowledge-based society and a strong information economy relying

on: equitable and affordable access to knowledge,

digital rights and the development of a competitive, innovative national ICT industry


Mission



MCIT is enabling the development of a knowledge-based society and a strong information economy

adding value to: the ICT community, Foreign Investors, Local and

International Markets, The Governmental Organizations, MCIT and its affiliates` Employees

and The citizens with a focus on disable and marginal segments of

the society through:

Value Proposition



Providing processes and tools to ensure the effective collaboration between all stakeholders, with a focus on Innovation, Entrepreneurship and SME’s

Providing resources and means to grow Egyptian ICT industry competitiveness locally and globally, opening-up new domestic and global markets and drive the ICT

legislations and policies

Providing and driving a list of mega projects thru various business models such as O&O and PPP

Sustainable investment in; ICT multilingual and multi-skills talents’ building, Innovation and entrepreneurship…

Providing professional support in accelerating the development of Digital society services and adopting the ICT technologies

Providing an efficient and scalable ICT infrastructure (Broad Band, Cloud Computing, Sub Marine Cables, … ) at reasonable cost coupled with policies that can allow and deliver

simple and affordable access to knowledge for everybody, anywhere and anytime

All backed with an effective monitoring and coaching closed loop mechanism.


Main Pillars

Cyber Security & eSignature

Information Infrastructure

& Digital Content

Electronics Design &

Manufacturing

Legislative & Policies

Framework

Digital Society

Government DBs & Applications Framework

Open Source

Egypt Digital Hub

m Apps

Building on Egypt unique geographical location

& optimum utilization of Submarine Cables

To become a Global Internet Hub

Developing a National Integrated Digital

Platform to Contribute in achieving the Socio-

Economic Development & Social Equity

ICT Industry Programs & Initiatives

Industry Development

O&O

Regional & International Cooperation


Professional Capacities

ICT Companies Support

Technology Parks

Supporting ICT Industry Development, Technology

Innovation Creating Job Opportunities

& Attracting Foreign Direct

Investments

Basic Infrastructure

Community Development

ICT Sector Strategy| Strategic Objectives

Iraq

Indonesia

Malaysia Thailand

Myanmar Bangladesh

Morocco Algeria

France

Qatar India

Pakistan Iran

Oman Yemen

U.A.E Saudi Arabia

Turkey Syria Lebanon

Egypt

North Sudan

Ethiopia Somalia

Libya

Mozambique Madagascar

Tanzania

Kenya

Greece Tunisia

Djibouti Sri Lanka

Jordan

Maldives

Taiwan

Brunei

Vietnam

Philippin

e

Japan

Korea

Belgium UK

Singapore

Germany

Australia

China

Cyprus

Italy Portugal

Eritrea

South Sudan

Uganda Rwanda Burundi

DRC

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ICT Sector Strategy| Technology Infrastructure

High Council National

Strategy Cyber

Security Law eSignature

Cyber Security & eSignature

Education Health Justice Culture Tourism

Information Infrastructure

& Digital Content

eTablet Mobile

Phones Fiber Optics

Electronics Design &

Manufacturing

Telecom. Law Tenders &

Auctions Freedom of

Info. Privacy of

Info. Online Safety

Policy Green ICT

Policy

Legislative & Policies

Framework

O&O Technology

Parks ICT

Companies & NGOs support


Regional & International Relations

ICT Industry Programs & Initiatives

Broadband Cloud

Computing Submarine

Cables

Basic Infrastructure

Training for employment

Skills Development and illiteracy

PWDs Empowerment

Community Development

Digital Society

Government DBs & Applications Framework

Open Source

Egypt Digital Hub

m Apps

Industry Development

O&O

Regional & International Cooperation



ICT Companies Support

Technology Parks Iraq

Indonesia

Malaysia Thailand

Myanmar Bangladesh

Morocco Algeria

France

Qatar India

Pakistan Iran

Oman Yemen

U.A.E Saudi Arabia


Egypt

North Sudan

Ethiopia Somalia

Libya


Tanzania

Kenya

Greece Tunisia

Djibouti Sri Lanka

Jordan

Maldives

Taiwan

Brunei

Vietnam

Philippin

e

Japan

Korea

Belgium UK

Singapore

Germany

Australia

China

Cyprus

Italy Portugal

Eritrea

South Sudan


DRC

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ICT Sector Strategy| Digital Society

Innovative Approach - PPP in ICT

Law #67 year 2010 Amendments to suite ICT Projects

Mega Projects Model EGP 100+ Mn

100% Private (Revenue Sharing with the Government)

National Subsidy, Education, Health, Justice, eTrade, Financial Services …etc

EGP 22 Bn (10% Government)





ICT Sector Strategy| Digital Society

Well Established Basic Infrastructure - Broadband

Phase I (3-4 Years)- 2017 EGP 17 Bn

(20 % Government)

Phase II (3-4 Years)- 2020 EGP 28 Bn

(10 % Government)





ICT Sector Strategy| Industry Development

Technology Parks (Maadi-Assiut -Aswan-Beni Swef -Burg Arab- Sadat)

EGP 23 Bn (20 % Government)

Technology Innovation & Entrepreneurship EGP 3-4 Bn

(10 % Government)

Electronic Design & Industry EGP 4 Bn

(20 % Government)

Supporting ICT Industry Development, Technology Innovation

Creating Job Opportunities &

Attracting Foreign Direct Investments


ICT Sector Strategy| Egypt Digital Hub

Building large Datacenters & utilizing Submarine Cables


Technology Valley (Ismailia)


Building on Egypt unique geographical location & optimum utilization of

Submarine Cables To become a

Global Internet Hub Iraq

Indonesia

Malaysia Thailand

Myanmar Bangladesh

Morocco Algeria

France

Qatar India

Pakistan Iran

Oman Yemen

U.A.E Saudi Arabia


Egypt

North Sudan

Ethiopia Somalia

Libya


Tanzania

Kenya

Greece Tunisia

Djibouti Sri Lanka

Jordan

Maldives

Taiwan

Brunei

Vietnam

Philippin

e

Japan

Korea

Belgium UK

Singapore

Germany

Australia

China

Cyprus

Italy Portugal

Eritrea

South Sudan


DRC






Outline


Growth Rate 10% 20%

Contribution to GDP 4.1% 6%

Job Opportunities (Direct/ Indirect)

10 / 40 Thousand

100 / 400 Thousand

ICT Services Exports (O&O) EGP 11 Bn EGP 18 Bn

2013/2014 2017/2018

ICT Sector Strategy| Quantitative Targets


Broadband EGP 7 Bn EGP 45 Bn

Technology Parks EGP 3 Bn EGP 24 Bn

Electronics Design & Industry EGP 300 – 400 Mn EGP 4 Bn

Digital Dividend EGP 2 Bn

Technology Incubators Programs EGP 3-4 Bn

Digital Society & Cloud Computing EGP 20 Bn + EGP 2 Bn (PPP)

Egypt Digital Hub (Suez Canal National Project) (Submarine Cables – Cloud Computing- Logistic Apps)

EGP 12 Bn

2013/2014 2017/2018

ICT Sector Strategy| Major Investments


66.00 73.92 85.01 100.31 120.37

4.14% 4.39% 4.74% 5.20% 6.02%

10% 12%

15%

18% 20%

0%

5%

10%

15%

20%

25%

30%

0

20

40

60

80

100

120

140

2013/2014 2014/2015 2015/2016 2016/2017 2017/2018

Bil

lio

n E

GP

ICT GDP Contribution to GDP (%) ICT GDP Growth Rate (%)

Direct Jobs: 100K Indirect Jobs: 400K

Total: 500K

ICT vs GDP Growth


Digital Socio-Economic Development

The Way Forward

To

Prosperity .. Freedom .. Social Equity

Alex.Abu Talat

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GBI

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EIG

TabaAqaba

Flag

Aletar

FLAGHAWK

FLAGFALCON

Owned/ Consortium memberPrivate Cables

Suez

GBI

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Documents

Digital Socio-Economic Development · Digital Dividend Readiness plan launched in May 2013 . Ministry of Communications & Information Technology ... Providing and driving a list of