Egypt Today

1
Egypt Today
Location
A regional hub Linking the Mediterranean,
Europe, Asia and the Arab World. From
North-to-South A gateway to Africa. From
East-to-West A crossroad of shipping lines and
optical fiber cables.
2
Egypt Today
Population

• A country of 70 million people
• 65 of the population under 25.
• Ranking 17th worldwide in number of yearly
  graduates
• 1,200,000 high school graduates last year.
• 250,000 university graduates.

3
Egypt Today
History Tourism

• Land of civilization
• Egypts long history and ancient civilization
  over thousands of years promoted the growth and
  the development of its remarkable identity and
  unique characteristics.
• Thus Egypt has remained a preferred destination
  for tourists interested in its cultural heritage
  as well as its beach resorts.

4
Egypt Today
Economy

• A remarkable recovery through
• an extensive economic and
• social reform program
• An emerging market with a multitude
• of opportunities for investments.
• A competent and cost-effective labor
• force.

5
Average Annual Inflation
6
Stock Exchange
Million L.E.
7
Egypt Today
Investment Climate

• Egypt is witnessing its reincarnation into a
  modern, liberal private sector led market
  driven economy.

8
Egypt Today
The Resources

• The Infrastructure
• Investing 80 billion during twenty one years in
  infrastructure electricity, airports, highways,
  new delta in Toshka, new industrial cities,
  communications information technologyetc.
• The Human Base
• Preparing young generations by investing in
  education, skills development and professional
  training.

9
Building the Egyptian Information Society
10
High level Commitment

• In September 1999, President Mubarak announced
  the launch of a national program for technology
  development.
• In January 2000, the Cabinet approved a national
  plan for CIT and mandated the new Ministry of
  Communications and Information Technology to
  execute it.

11
Our Strategy
12
Access
13
Steady Increase in Fixed Lines
9 million
11.5 million
5.1 million new lines since October 1999
14
A Boom in Mobile Phone Users
No. of subscribers, million
The number of subscribers increased more than
nine folds since October 1999
15
The Free Internet Initiative

• Providing dial-up internet access on every
  Operational
• phone-line country wide.
• A revenue-sharing model between Telecom-Egypt
  the
• Internet Service Providers.
• 0.15/hr of internet usage at home.
• 940000 of individual phone lines dialing up to
  the net.

16
Major Increase in the Number
of Internet Users
No. of Internet Users
Million
International internet traffic increased from 20
Mb/s to 1101 Mb/s in 4 years
17
A PC for Every Home Initiative

• TE offers PCs to its subscribers through CR
  outlets.
• Payment in monthly installments 15/17/20
  models financed by the banking sector.
• Bundling of ready made S/W applications.
• 18 companies providing local assembly of PCs.
• Market stimulation arises interest in local
  manufacturing.

18
IT Clubs

• Government subsidized internet cafés
• To date, there are 672 clubs.
• Created in youth centers, public libraries,
  schools NGOs.
• Focusing on deprived and low income communities.
• To-date, more than 100,000 citizens visit the
  clubs regularly.

19
Applications
20
e-Government

• A government portal that is citizen-centric.
• On-line Government Services.
• Information and Document Networking.
• More Automation of Internal Functions.

21
e- Government Portal Launching in January 2004
22
e-Learning

• Basic Skills Development.
• Professional Development.
• The Smart Schools Initiative.
• High Tech / Business Universities.

23
e-Health

• Telemedicine
• Visual inspection and diagnosis by a distant
• specialist.
• Immediate electronic transfer of medical
• imagery, pathological biopsy and lab results.
  
• Smart Health records
• Preventive care.
• Family planning.
• Medical history.

24
e-Culture
Using IT to preserve our rich cultural heritage
and share it more readily with the rest of the
world.

• Museums
• Manuscripts

• Historical sites
• Natural protectorates

25
e-Business

• E legislation ( e signature Cyber crime
  Taxation Arbitration ).
• A certificate authority and a public key system.
• On line banking and E Payment.
• Promoting IT in SMEs.

26
The CIT Industry
27
Deregulation

• Transforming ARENTO into Telecom Egypt by law 19
  for the year 1998.
• Establishment of the Telecommunication Regulatory
  Authority by presidential decree number 101 for
  the year 1998.
• A new telecommunication law that promotes
• Transparency in licensing.
• Phased deregulation of services.
• Establishment of a universal fund to accelerate
  tariff rebalance.

28
Deregulation

• An Intellectual Property Right Law 82 was passed
  in 2002 covering software industry.
• A draft Law for E signature establishing the
  legal status for the electronic signature and
  documents.
• Establishment of IT Industry Development
  Organization .

29
Smart Village at the Pyramids
30
The Smart Village at the Pyramids

• A high tech business park with Smart
  infrastructure, investor friendly services and
  investment incentives.
• 300 acres (20 minutes from downtown Cairo, 10
  minutes from the great pyramids).
• 53 office plots (336 000 sq.m. of office space).

• Business center
• Conference center
• Exhibition center
• Press center

• Recreational facilities
• Health center
• Hotel
• Shopping and restaurants

Developed and operated by private investors
31
The Smart Village at the Pyramids
32
The Smart Village at the Pyramids
33
The Smart Village at the Pyramids
34
High-Tech Incubator Fund

• Establishment of VC fund of 50 million L.E.
• Establishment of first incubator on 2500 m2
  fully equipped with required infrastructure.
• Provides technical, financial and administrative
  support for start ups as well as small and medium
  IT enterprises.

35
Software Engineering Certification Center (SECC)

• SECC aims at supporting the S/W industry in
  Egypt and has established cooperation with SEI,
• S/W Engineering Institute, in USA.
• Capacity Building
• Software Process Improvement Training Track.
• Orientation workshops to Executives and Top
  Management.
• SEI Courses to qualify Assessors.
• Assessment
• SECC supports top level software companies in
  Egypt to be qualified for CMM assessment and
  accreditation.

36
Steady Increase in No. of IT Companies
No. of IT Companies
Source The General Authority For Investment
Free Zones
Accumulative Data
37
Steady Increase in No. of IT Labor Force
Source The General Authority For Investment
Free Zones
38
Drop in Piracy Rate

Source The Economist Intelligence Unit, 2002
39
E-Business-Readiness Rating
Source Business Software Alliance
40
Partnerships
Cooperation between government and private sector
creating new initiatives that promote the
development of CIT industry.
41
International Alliances
Training university students and professors on
large scale database programming
Establishing Cisco regional academies for
professional development
Establishing software development center
servicing MEA region
42
International Alliances
Establishing in Egypt the Regional Network
Support Center
Establishing in Egypt the Regional IP Support
Center
Establishing in Egypt a regional manufacturing
facility for telecom equipment in cooperation
with local companies
43
International Alliances Contd
An ambitious training program to prepare world
standard software development professionals
Establishment of a center of excellence for
software engineering

• Providing software tools for the academic sector
  and government at reduced prices.
• New e-government initiative.

Establishment of a regional mobile IP development
and training center
44
Frame agreements
A Win-Win strategy

• The objective is to create export oriented
  industries to compensate for the imports of
  Technology
• Companies Participating in the execution of the
  CIT Master Plan commit to substantial investments
  in technology transfer activities.
• Investments focus on S/W development, technical
  Support, training and business process
  outsourcing.

45
Patnership in S/W Development

• Benefit from
• Professional S/W engineers certified by IBM,
  ICL, Oracle,
• Nortel, Qualcomm, Microsoft, Lucent and Cisco

At very cost-effective salaries

• Over 300 S/W houses.
• Largest media-city in MEA.
• High speed optical connections to all countries.

46
Contact Centers Business Opportunities in Egypt

• Why in Egypt?
• Quality Focused.
• Human Resources.
• Telecommunications Infrastructure.
• Geographic Location.
• Government Incentives.
• CAGR for contact centers outsourcing in MEA will
  grow by 24 over the next 4 years. (14 for
  EMEA)
• Source Datamonitor 2003

47
Egypt The Cradle of Civilization is Quickly
Becoming the Center for IT and
Telecommunications in the Middle East and North
Africa
This presentation is available at www.mcit.gov.eg
www.citegypt.com www.egy-cebit04.com