Dr. Sherif Kamel, Associate Professor of MIS, The American

Linking Businesses with IT Through Public-Private Partnership Models

Sherif Kamel

Asia-Middle East Dialogue (AMED)First Meeting of the Working Group on Economic Issues

3-4 July 2006Thailand

Global Trends

Global and timely competition Consumer satisfaction and customer service orientation Information-based societies

From physical to intellectual capital

Massive investments in human resources

Convergence and Information intensive products and services Moving from the marketplace to the marketspace

Institutional Roles in IT Diffusion

A. Government National strategy and institutional development Building the national ICT infrastructure Community awareness and development

B. Private sector

C. Civil society

D. Media

Case of EgyptVision

Partnership between the government, the private sector and the civil society as a base for socioeconomic development Introducing the Information and Decision Support Program (1985) Building the National Information Infrastructure (1994) Establishing the Ministry of Communications and Information

Technology (1999) Egypt Information Society Initiative (2001)

www.mcit.gov.eg

Egypt Information Society Initiative (EISI)

To increase accessibility and connectivity as well as empower citizens to share equally and benefit from the opportunities enabled by different information and communication technology (business environment and investment opportunities)

Role of information and communication technology in development (ICT4D)

Public – Private sector partnership (PPP) in which the government articulates policy and regulatory frameworks for the private sector and civil society to implement for the benefit of citizens and as a base for socioeconomic development

Competition is the governing principle of socioeconomic reform and development (deregulation of ICT)

www.mcit.gov.eg

EISI Components

eReadiness

Egyptian Information Society Initiative

eGovernment

eGovernment

eSociety

Civil SocietyeHealth

eSociety

Civil SocietyeHealth

eKnowledge

eLearningeHeritageeContent

eKnowledge

eLearningeHeritageeContent

eBusinesseBusinessICT Industry Development

ICT Industry Development

www.mcit.gov.eg

eReadiness Initiatives

A Public–Private Partnership (PPP) in which the government articulates policy and regulatory frameworks for the private sector and civil society to implement for the benefit of the citizen

Building Blocks Human capital - Preparing a young and competitive generation through investing in…

Education (schools) Basic skills development (centers for eLearning) Professional capacities

Infrastructure Investing in building state-of-the-art ICT Amending existing laws v creating new laws (investment, IPR) Creating an organization for regulatory, licensing, and supervisory roles (ITIDA) Establishing the Telecommunications Regulatory Authority (NTRA) Liberalization of the telecom sector with variations between different services (fixed

lines, GSM, ISP) National legal and regulatory status on IPRs

Infostructure Completing the build-up of the national information infrastructure

ICT Growth

Growing ICT investments Increase in the number of

ICT companies from 312 (1999) to 1773 (2006)

Current number of employees of ICT companies exceeds 35,000 (more in indirect services across different sectors)

UN Regional Profile on the Information Society 2005

Initiatives Launched

eReadiness Subscription-Free Internet Services PC for Every Home IT Clubs Broadband Diffusion

Investing in Human Capital Basic and Professional Training Programs Nile University (in cooperation with IT companies and universities)

Incubators for startup companies

Ministry of Communications and Information Technology Quarterly Report 2006

Subscription-Free Internet Services

Launched in 2002 by MCIT in collaboration with Telecom Egypt and 210 Internet Service Providers

Providing free nationwide access to the Internet on all fixed lines (users do not pay a monthly subscription fee and only pay the regular local telephone rates)


PC for Every Home

Using phone line as collateral Payment on a monthly basis (no advance payment) Locally manufactured or assembled PCs Enabling the Egyptian family to obtain a PC PCs manufactured or assembled locally 150,000+ PCs were sold since 2002 Participants

24 Egyptian companies Telecom Egypt National Bank of Egypt – Bank Misr


IT Clubs

Availing technology to low income areas 1330 clubs located in 26 governorates and Luxor city

Youth centers Cultural centers Non governmental organizations Schools and Colleges

Club activities include Training courses Self training Using Internet applications


Broadband Diffusion

Launched in 2004 Reducing price by more than 70% per month Service provided by 9 private sector companies in

cooperation with Telecom Egypt


Fixed and Mobile Lines Evolution

Steady increase in fixed lines and boom in mobile telephony

Telephone capacity increased by 6.5 million new lines since October 1999

The number of mobile subscribers increased by 21 folds


eReadinessIndicators

Indicator(s) June 2006 2007 ForecastAnnual Rate of

Growth

Internet

Users

5.2

Million Users

7

Million Users29.5%

PC Diffusion2.75

Million PCs

3

Million PCs10.5%

IT Clubs1,300

IT Clubs

3,000

IT Clubs71%

Broadband Subscribers

115,765 500,000 377%


ICT Industry Development

Establishing a centre of excellence in Software Engineering cooperation with international companies to provide technical support and help in acquiring international certificates (IBM, Intel, IBM, Oracle, HP and Cisco)

Promoting ICT exports Financing and incubating start-up companies (ICT graduates)

through a high-tech development fund Establishing the Smart Village

High-tech business park with smart infrastructure on 300 acres Capacity of 54 companies (25,000 – 30,000 job openings) Investment incentives like tax exemptions are provided

Establishing a center to documenting cultural and natural heritage in cooperation with Bibliotheca Alexandrina

Promoting Egyptian civilization locally and internationally through electronic publishing

eHeritage

www.cultnet.org

Investing in Human Capital (eKnowledge)1. Illiteracy Eradication Project

Providing lessons for illiteracy eradication using the Internet and multimedia tools

Training facilitators to use technology in illiteracy eradication


2. Mobile ICT Units Project


Introducing ICT to communities in remote under-serviced areas Increasing the awareness of the different uses of ICT

3. Community Development Portal Project


Assisting citizens (in rural and urban areas) to avail a knowledge repository that covers Job opportunities Information on

HealthAgricultureLocal issues

4. eLibrary and Knowledge Creation Provide a wealth of locally

relevant knowledge Encourage citizens to gather,

develop and share knowledge Improve research abilities of

students and teachers alike Utilizing ICT to document and

exchange local experiences Encourage active participation

from communities


4. eLibrary and Knowledge Creation

Competitions/Free Articles Target groups are students and

teachers Suitable topics have been

selected by experts from various partners

Collect and document socioeconomic developmental ideas from different sectors of the community

5. Smart Schools Network Project

A pilot project for preparatory schools implemented in 13 governorates connecting schools to the Internet

Connecting over 12,000 schools to the Internet

Collaborative OpportunitiesPartnership Models

Investing in human resources (formulating professional development programs to exchange expertise and capacities)

Promoting incubators start-ups (supporting remote and rural areas) Investing in high-tech industries (collaborative research projects) Building an online business environment (eLearning applications) Using ICT in cultural and heritage preservation Contact Centers (call centers) Business process outsourcing