and Project

Outsource2Lithuania”

Baltics ICT:

Lithuania –

Aiming the Europe

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Agenda General information about Lithuania Lithuania government support Lithuania ICT industry and infrastructure Lithuania ICT industry export Association Infobalt Project “Outsource2Lithuania”

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GENERAL INFORMATION ABOUT LITHUANIA

Population: 3.5 mln. Area: 65,300 sq. km Language:

Lithuanian

Neighbouring with:LatviaPoland BelarusRussia

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LITHUANIA: KEY FACTS AND FIGURES

Lithuania – the largest economy in the Baltics: Lithuania GDP increased by 8,9% in 2003 Deflation in 2003 was 1,3% FDI inflow in Lithuania was 500 mill. US $ in

2003 Lithuania will join ES and NATO in 2004 European Commission declare Lithuania as

market economy country

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Government support National agreement: all political parties have reached

consensus on knowledge economy as priority for country development

Long term strategy for economy development: knowledge economy priority(government declared knowledge economy as priority for country development)

Information society development committee under government of Lithuania www.ivpk.lt

Lithuanian development agency www.lda.lt

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Legal information Law on electronic signatures Law on Copyright and Related Rights Law on Personal data protection Law on electronic communications Telecommunication market de-monopolized

since 2003

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Lithuanian ICT sector In 2003, the sector of information and other new

technologies compounded 7.5 percent of the Lithuanian GDP

About 500 of ICT and electronics companies

ITT wholesale market increased by 8%, to 153 million Eur

There are 15 000 of high qualification specialists employed in the sphere of the information technologies alone.

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Lithuanian ICT sector Their competence gained the international

recognition as well – in 2003 more than 40 Lithuanian ICT companies exported their products and solutions to the EU, USA, Asian and CIS countries.

During 2002–2003, Lithuanian ICT market has not only been growing 27-30%, but also creating new quality and cheaper products for its users.

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Lithuania ICT Market Trends

2003 year Lithuanian ICT market size

In total – appr. 1 237 million Eur.

Note: Data on communication equipment and complex IT solutions market are tentative and approximate.

Million Euro

327

610

300

IT – appr.

Communications – appr.

Communication equipment,other IT services andcomplex solutions – appr.

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2003 year Lithuanian ICT market size

6,10%

1,40%

17,50%

7,70%

2003 2015

Services

Production

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In 2003, the sector of information and other new technologies

compounded 7.5 percent of the Lithuanian GDP

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Lithuania ICT industry export General Lithuanian export in 2003 increased by 8.7

percent Volume of Lithuanian ICT companies export is on the

average 7 percent Lithuanian TOP 10 IT companies exports increased

from 40 to 80 percent in 2003 Export of IT services in 2003 – about 45 million Euros The main Lithuanian ITT export markets: Germany,

Russia, Belarus, Finland, Denmark, USA, and Latvia

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Lithuania R&D In 2003, about 1950 ICT specialists studied in five

Lithuanian Universities; 1000 Masters of Science

About 500 ICT specialists are employed in Lithuanian or foreign ICT companies every year

Lithuania’s ICT businesses and the Government have initiated a program of investment into R&D seeking to achieve that by 2008 up to 2.5-3 percent of State budget funds is allocated for R&D projects and enlargement of the related scope of work

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Lithuania ICT industry strengths The strongest ICT association Infobalt in the

region Knowledge economy forum(cooperation between science and High - tech industry)

Private - public partnership (alliance “Window to the future”, clusters)

Copyright agencies to protect IPR

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Lithuania ICT infrastructure Location between the EU, Nordics, Belarus & Russia

Modern telecom infrastructure with a digitalization ratio of 100% and mobile penetration of 60%

In 2003, the penetration of mobile telecommunications reached 62 percent of Lithuanian population

National broadband program 2004 – 2007

Internet penetration growth >100% in 2003

1000 public internet access points in rural areas

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Lithuania ICT infrastructure

89% of business have web pages Government has an initiative to train 10% of total

population to use internet Government employees have a ECDL certificate 3 international airports, direct connection with major

cities in Europe. The same or close time zone. Relatively short geographical distance

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Data and IP security in Lithuania

IPR law Data protection law Active copyright agencies to

enforce IPR protection

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Most educated population in Europe (source www.eurostat.com)

Well – developed ICT universities producing over 2000 specialist in ICT disciplines annually

Education in Lithuania

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Northern Europe culture

European business ethics

Very quality conscious

Versatile in English, Russian, German and Polish

Good understanding of eastern neighbors culture mentality(Russia, Ukraine, Belarus)

Cultural compatibility and languages

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Over 15 000 employees in ICT software and services industry

Well-trained & low-cost human resources available

Annual average programmer salary – 9 000 Eur.

Labour cost

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Mission - enable the Lithuanian ICT sector to fulfill its potential on global markets

Association INFOBALT

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Uniting Lithuania – based companies of ICT, office equipment and electronic industry for the common activity (nearly 200 members)

Member of major international ICT associations (EICTA, WITSA)

The Association Infobalt members employed around 15 thousand highly-qualified specialist

About Association INFOBALT

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Mission – to become number one choice for near-shore outsourcing in Europe

Project

“Outsource2Lithuania”

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“Bentley System Inc.” “Deutsche Bank” LHS (Former SchlumbergerSema)

Lithuanian IT companies have experience with:

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Stable economy

Strong government support for knowledge economy and developing the domestic ICT industry

Solid infrastructure

Strong ICT association

Extremely well educated and cost competitive labour

Fast growing economy and favorable legal environment

Why outsource2Lithuania?

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Enterprice applications Development services IT infrastructure and solution ICT enabled services

Areas of outsourcing

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Web site www.infobalt.lt

Association Infobalt office:Vokiecių g. 28/17-16LT - 01130 Vilnius, Lithuania

E-mail: office@infobalt.lt

More information and contacts