Estonian ICT market

Key facts about Estonian ICT market

52 per cent of the population (aged 6-74 years) are Internet users (52 per cent of the population (aged 6-74 years) are Internet users (TNS EMORTNS EMOR, spring 2004). , spring 2004). 30 per cent of the households have a computer at home, 75 per cent of home computers are 30 per cent of the households have a computer at home, 75 per cent of home computers are

connected to the Internet (e-Track Survey, connected to the Internet (e-Track Survey, TNS EMORTNS EMOR, spring 2004). , spring 2004). All Estonian schools are connected to the Internet. All Estonian schools are connected to the Internet. There are over 700 Public Internet Access Points in Estonia, 51 per 100 000 people (one of There are over 700 Public Internet Access Points in Estonia, 51 per 100 000 people (one of

the highest numbers in Europe). the highest numbers in Europe). The number of Estonian websites surpassed one million already in 2001. The number of Estonian websites surpassed one million already in 2001. Income tax declarations can be submitted electronically via Internet. Income tax declarations can be submitted electronically via Internet. Expenditures made by the government can be followed on the Internet in real-time. Expenditures made by the government can be followed on the Internet in real-time. Cabinet meetings have been changed to paperless sessions using a web-based document Cabinet meetings have been changed to paperless sessions using a web-based document

system. system. 68 per cent of Estonian Internet users conduct their everyday banking via Internet (e-Track 68 per cent of Estonian Internet users conduct their everyday banking via Internet (e-Track

Survey, Survey, TNS EMORTNS EMOR, spring 2004). , spring 2004). 89 per cent of the population are mobile phone subscribers (89 per cent of the population are mobile phone subscribers (Eesti Telekom ASEesti Telekom AS, September , September

2004). 2004). Estonia is completely covered with digital mobile phone networksEstonia is completely covered with digital mobile phone networks

Estonian ICT sector data

in 2005 IT market growth in Estonia is expected to reach in 2005 IT market growth in Estonia is expected to reach 9.3%9.3%

Prime’s TOP-20 Estonian IT companies evidenced a Prime’s TOP-20 Estonian IT companies evidenced a significant growth of 24% in revenue in 2004. significant growth of 24% in revenue in 2004.

IT spending in Estonia in 2004 grew by 16.5%.IT spending in Estonia in 2004 grew by 16.5%. More than 90% mobile network usersMore than 90% mobile network users Implementation of new e-voting systemImplementation of new e-voting system

Estonian top 10 IT companies

1 Reaalsüsteemide AS Tallinn

2 Webmedia AS Tartu3 AQRIS SOFTWARE AS Tallinn4 Võrguvara AS Tallinn5 Elion Ettevõtted AS Tallinn6 Data Telecom OÜ Tallinn7 Microlink AS Tallinn8 Pro-STEP OÜ Tallinn9 Trigger Software OÜ Tallinn10 Makato Eesti OÜ Tallinn

Estonian R&D Five universities (University of Tartu, Tallinn Technical University, Five universities (University of Tartu, Tallinn Technical University,

Estonian Business School, University Nord, and Tallinn Pedagogical Estonian Business School, University Nord, and Tallinn Pedagogical University ), a number of polytechnic educational institutions and many University ), a number of polytechnic educational institutions and many training companies provide basic and specialized education in IT and IT training companies provide basic and specialized education in IT and IT management.management.

The E-Governance Academy was created in 2002 as a non-profit The E-Governance Academy was created in 2002 as a non-profit organization for the development and analysis of e-governance and e-organization for the development and analysis of e-governance and e-democracy, whose aim is to transfer knowledge to top policy-makers and democracy, whose aim is to transfer knowledge to top policy-makers and government Information and Communication Technologies (ICTs) government Information and Communication Technologies (ICTs) specialists in developing nations. EGA implements its mission through the specialists in developing nations. EGA implements its mission through the provision of training services, organizing research, facilitating networking provision of training services, organizing research, facilitating networking and enabling exchange of experience in broad areas of e-governance. and enabling exchange of experience in broad areas of e-governance. Located in Tallinn, Estonia, the Academy provides a platform for analyzing Located in Tallinn, Estonia, the Academy provides a platform for analyzing and systematizing both international and domestic experience into forms of and systematizing both international and domestic experience into forms of knowledge that can be transferred to those interested both in Estonia and knowledge that can be transferred to those interested both in Estonia and abroad. abroad.

The IT College was created in 2000 as a co-operation project between the The IT College was created in 2000 as a co-operation project between the two largest Estonian public universities, the Tallinn Technical University two largest Estonian public universities, the Tallinn Technical University and the University of Tartu, and the Estonian ICT industry. The IT and the University of Tartu, and the Estonian ICT industry. The IT College is a private institution, it works very closely with both universities College is a private institution, it works very closely with both universities as well as with the IT and telecom industries. as well as with the IT and telecom industries.

The main advisory body to the Government in R&D is the Estonian The main advisory body to the Government in R&D is the Estonian Research and Development Council (RDC). Priority has been given to Research and Development Council (RDC). Priority has been given to information technology, gene technology, environmental technology and information technology, gene technology, environmental technology and material science. In developing new technologies, one of the most material science. In developing new technologies, one of the most successful fields is also cryptography. successful fields is also cryptography.

The Estonian Academy of Sciences is an organisation unifying scientific The Estonian Academy of Sciences is an organisation unifying scientific pursuits. The Estonian Science Foundation, the Innovation Foundation pursuits. The Estonian Science Foundation, the Innovation Foundation and the Science Competence Council are involved in the financing of and the Science Competence Council are involved in the financing of R&D. The vast majority of R&D is carried out in universities and public R&D. The vast majority of R&D is carried out in universities and public research institutes.research institutes.

Information Policy Public Information Act (2001)Public Information Act (2001)

Guarantees citizens’ constitutional right to information; regulates what Guarantees citizens’ constitutional right to information; regulates what information on the administrative apparatus and its activities is to be offered to the information on the administrative apparatus and its activities is to be offered to the public; asserts that all information must be accessible also through the Internet.public; asserts that all information must be accessible also through the Internet.

Digital Signatures Act (2000)Digital Signatures Act (2000)Stipulates the possibility to use digital signatures in public sector organisations as Stipulates the possibility to use digital signatures in public sector organisations as of June 1, 2001. The digital signature infrastructure is developed through the of June 1, 2001. The digital signature infrastructure is developed through the cooperation of public sector and private sector organisations, such as banks and cooperation of public sector and private sector organisations, such as banks and ICT vendors. ICT vendors.

Telecommunications Act (2000)Telecommunications Act (2000)The purpose of this act is to create favourable conditions for the development of The purpose of this act is to create favourable conditions for the development of telecommunications and to guarantee the protection of the users of telecommunications and to guarantee the protection of the users of telecommunications services by promoting free competition. telecommunications services by promoting free competition.

Other relevant acts related to the information society include Archives Act, Other relevant acts related to the information society include Archives Act, Databases Act, Personal Data Protection Act, Population Register Act. English Databases Act, Personal Data Protection Act, Population Register Act. English translations of these acts are available at translations of these acts are available at www.legaltext.eewww.legaltext.ee..

Development of e-servicesDevelopment of e-services for citizens, business sector and public for citizens, business sector and public administration administration

Creating and analyzing IT solutions that stimulate development of Creating and analyzing IT solutions that stimulate development of eDemocracyeDemocracy

Creating an operational Creating an operational electronic voting systemelectronic voting system Increasing effectiveness of the public sector. An emphasis will be put on the Increasing effectiveness of the public sector. An emphasis will be put on the

electronic communicationselectronic communications and and electronic informationelectronic information exchange exchange by state by state and local governmentsand local governments

Increasing computer literacy of the population, Increasing computer literacy of the population, eEducationeEducation eSecurityeSecurity. Improving and developing Information Technology Security . Improving and developing Information Technology Security

PolicyPolicy Sustaining international reputation of Estonia as a well developing Sustaining international reputation of Estonia as a well developing

information and communication technology nation. Improving weaker IT information and communication technology nation. Improving weaker IT sectors to average EU level. Participating in EU projectssectors to average EU level. Participating in EU projects

eInvolvementeInvolvement. Increasing opportunities for society in IT and digital solutions . Increasing opportunities for society in IT and digital solutions usage. Making sure the society has access to the Internet by increasing the usage. Making sure the society has access to the Internet by increasing the number of public Internet sites. number of public Internet sites.

IST – Principles of the Estonian Information Policy in 2004-2006

In August 2000, the Government of Estonia, as a world pioneer, changed its In August 2000, the Government of Estonia, as a world pioneer, changed its Cabinet meetings to paperless sessions using a web-based Cabinet meetings to paperless sessions using a web-based eGovernmenteGovernment system. Ministers peruse draft bills and regulations, make comments and system. Ministers peruse draft bills and regulations, make comments and suggestions, and vote entirely online at computer terminals. The system, suggestions, and vote entirely online at computer terminals. The system, coupled with the use of digital signatures, eliminates need of sending coupled with the use of digital signatures, eliminates need of sending mountains of papers between ministries for consultationmountains of papers between ministries for consultation

Current election laws will include Current election laws will include e-votinge-voting option starting from 2005 option starting from 2005

elections, provided that all crucial technical issues ( e.g. safeguarding against elections, provided that all crucial technical issues ( e.g. safeguarding against fraud) are solved by that time fraud) are solved by that time

In summer 2001, the Government created a web page In summer 2001, the Government created a web page I decide today.I decide today. Ministries upload all their draft bills and amendments there, allowing people to Ministries upload all their draft bills and amendments there, allowing people to review, comment on and make proposals on the legislative process as well as review, comment on and make proposals on the legislative process as well as propose amendments to existing legislation propose amendments to existing legislation

Since January 2002, the Citizenship and Migration Board issues a new primary Since January 2002, the Citizenship and Migration Board issues a new primary domestic identification document - the domestic identification document - the ID cardID card

IST – eDemocracy and eGoverment

WithWith digital signaturesdigital signatures you can use electronic paperless communications you can use electronic paperless communications instead ofinstead of us usinging paper and handwritten signatures paper and handwritten signatures

In Estonia anyone who has a valid In Estonia anyone who has a valid ID cardID card can give digital signatures. can give digital signatures. According to Estonian law, digital signatures are equivalent to handwritten According to Estonian law, digital signatures are equivalent to handwritten ones if the ones if the corresponding corresponding systems meet certain regulations  systems meet certain regulations  

ID cardID cardss areare mandatory for all Estonian residents, including Estonian citizens mandatory for all Estonian residents, including Estonian citizens and resident aliensand resident aliens

FFunction of ID card unction of ID card isis twofold twofold:: -- I It is very convenient to use it as a regular ID, t is very convenient to use it as a regular ID, e.g. while e.g. while proving your age or proving your age or

identity when paying at a retailer using a bank card, or at a local government identity when paying at a retailer using a bank card, or at a local government office. office.

- - The ID card also functions as an electronic identity, enabling you to use The ID card also functions as an electronic identity, enabling you to use services online conveniently and securelyservices online conveniently and securely

IST – Digital signature and ID card